MNRE announces major reforms to promote domestic production of solar photovoltaic modules

The reforms include an 80% reduction in the application fee and substantial reductions in inspection fees, with cuts in some cases being as high as 70%.

Saurav Anand
Updated15 May 2023, 05:27 PM IST
The reforms are aimed at boosting the domestic manufacturing capacity of solar modules and the vertical integration of the value chain in India. (File Photo: Bloomberg)
The reforms are aimed at boosting the domestic manufacturing capacity of solar modules and the vertical integration of the value chain in India. (File Photo: Bloomberg)

New Delhi: The Ministry of New & Renewable Energy (MNRE) on Monday announced significant reforms in the Approved List of Models and Manufacturers (ALMM) for solar photovoltaic modules, aimed at reducing costs and increasing ease of doing business in the sector.

The reforms include an 80% reduction in the application fee and substantial reductions in inspection fees, with cuts in some cases being as high as 70%. Manufacturers will also be allowed to withdraw their applications prior to factory inspection, with a refund of 90% of the application fee.

In addition, the ALMM enlistment validity has been increased from two years to four years, and the time limit for factory enlistment and final enlistment has been reduced to two months, failing which deemed enlistment will occur.

The ministry has also introduced end-use category-wise minimum module efficiency thresholds for enlistment in ALMM, including 20.00% for utility/ grid scale power plants, 19.50% for rooftop and solar pumping, and 19.00% for solar lighting.

Commenting on the changes, secretary at MNRE, B. S. Bhalla, said that the easing of the ALMM charges and regulations is a step in the direction of enhancing the ease of doing business, lessening the compliance burden, and reducing the charges incurred in various processes of listing under ALMM.

“The changes in the ALMM for photovoltaic modules would enhance the ease of doing business and help in ramping up the domestic production of solar photovoltaic modules for catering to the current and the future demand,” he said.

The reforms are aimed at boosting the domestic manufacturing capacity of solar modules and the vertical integration of the value chain in India, which is expected to create more demand for the renewable energy sector.

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