Domestic Solar Cells Mandate Being Advanced To 2025 For Pushing Local Manufacturing

(MENAFN- KNN India) New Delhi, Jul 30 (KNN) The government has accelerated its timeline for mandatory use of domestically manufactured solar cells, moving the implementation date from June 2026 to this year as part of efforts to align solar cell production with module manufacturing capacity.

The Ministry of New and Renewable Energy issued the directive on July 28, targeting a reduction in the significant gap between India's solar manufacturing capabilities.

The ministry has instructed major power public sector undertakings, including NTPC, SJVN, NHPC, and Solar Energy Corporation of India, to incorporate the domestic solar cell requirement into their renewable energy project tenders.

These entities serve as renewable energy implementing agencies supporting India's objective to achieve 500 gigawatts of non-fossil fuel power capacity by 2030.

Implementation of the mandate will commence 30 days following the release of the ministry's List II, which will specify approved modules and manufacturers for solar cells.

According to a senior ministry official, this list is anticipated next month, with tenders issued by implementing agencies from October onward expected to include the domestic solar cell requirement. The official noted that the list remains under finalization.

Bidders participating in tenders conducted within the 30-day period following the list's publication will receive exemptions from the solar cell mandate.

However, existing government programs including the PM Surya Ghar Muft Bijli Yojana and PM KUSUM schemes will continue to require domestically produced solar modules and cells under current domestic content requirement regulations, with no exemptions permitted.

The government anticipates the directive will stimulate demand for Indian solar cells and address the substantial disparity in manufacturing capacity.

India currently possesses 91 gigawatts of solar photovoltaic module production capacity compared to only 27 gigawatts for solar cells, creating reliance on Chinese imports to meet demand.

India's solar manufacturing landscape includes leading cell producers such as Tata Power, Adani Green Energy, and Waaree Energies.

The country's total solar module manufacturing capacity of approximately 91 gigawatts includes 17.5 gigawatts developed through the Production Linked Incentive scheme.

Similarly, of the 27 gigawatts in solar cell manufacturing capacity, 6 gigawatts have been established under the incentive program.

(KNN Bureau)

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