India to Mandate Domestic Components for Solar Panels, Boosting ‘Make-in-India’ Initiative

Credit: Asia Chang/Unsplash

In a strategic move to advance its ‘Make-in-' initiative and bolster the domestic manufacturing sector, the Indian government is set to introduce a policy over the next 3-4 years. This policy will mandate that solar panels must incorporate domestically manufactured cells, wafers, and polysilicon to be eligible for registration under the Approved List of Models and Manufacturers (ALMM). The endeavor is aimed at reducing the reliance on imported components and nurturing the growth of indigenous manufacturing.

Minister for New and , RK Singh, has directed his ministry's officials to craft this significant policy shift. Under the ALMM, modules with lower efficiency, which currently make up a substantial portion of the market, will be phased out. Only solar panels featuring Indian-made cells will qualify for registration, signaling a fundamental shift in the industry's landscape. Minister Singh also outlined the government's intention to extend this requirement to encompass wafers and polysilicon in the near future.

The overarching objective is to curtail the import of solar panel components, a move aimed at safeguarding the interests of the Indian people. Minister Singh emphasized that the practice of merely importing cells from abroad, assembling them in India, and labeling the product as “Made in India” would no longer be considered acceptable, as a substantial portion of the components typically originate from other countries, primarily .

Furthermore, the Ministry for New and Renewable Energy is committed to conducting a thorough review of the ALMM in the coming year. This review is designed to ensure that manufacturers do not promote outdated equipment or technologies. The government's policy shift reflects its unwavering commitment to nurturing the domestic solar manufacturing industry, all while maintaining a steadfast focus on quality and transparency within the sector.

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