From June 1, solar projects must use only locally made cells

In a major push towards self-reliance in renewable energy, the Union Government has mandated that only domestically manufactured solar cells can be used in domestic, commercial, and industrial solar power projects from June 1, 2026 onwards.

The move is aimed at reducing India’s dependence on imported solar components and strengthening the country’s solar manufacturing ecosystem.

Approved List of Models and Manufacturers (ALMM)

The Ministry of New and Renewable Energy (MNRE) has operationalized the Approved List of Models and Manufacturers (ALMM) for solar cells.

ALMM is an official list of approved manufacturers and models from which solar project developers can procure solar equipment. The policy seeks to encourage domestic production while ensuring quality standards in solar installations.

Why the Mandate?

India has witnessed a rapid increase in solar power demand, particularly due to the PM Surya Ghar Muft Bijli Yojana, which aims to install more than 10,000 rooftop solar systems daily.

This surge in demand has increased the need for:

• Domestically produced solar cells,
• DCR (Domestic Content Requirement)-compliant modules,
• A resilient domestic supply chain.

Current Manufacturing Scenario

India possesses a strong solar module manufacturing base of nearly 200 GW per year. However, its solar cell manufacturing capacity is only about 30 GW annually.

As a result:

• Most solar modules produced in India currently rely on imported solar cells.
• The new mandate seeks to bridge this gap by incentivizing investment in domestic cell manufacturing.

Understanding Solar Cell Manufacturing

Solar cells are the fundamental units that convert sunlight directly into electricity and are assembled into solar modules (panels). The manufacturing process involves:

1. Polysilicon Production – Raw material for solar manufacturing.
2. Ingot Manufacturing – Polysilicon is processed into cylindrical or rectangular ingots.
3. Wafer Production – Ingots are sliced into thin wafers.
4. Solar Cell Fabrication – Wafers are processed to create photovoltaic cells.
5. Module Assembly – Multiple cells are connected and encapsulated into solar panels.

Source: IE