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India Mandates Transparency in Solar Manufacturing with New ALMM Directive

Updated: Aug 09, 2024 02:29:05pm
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India Mandates Transparency in Solar Manufacturing with New ALMM Directive

New Delhi, Aug 9 (KNN) In a significant move to enhance transparency and promote domestic solar manufacturing, the Indian government has issued a new directive requiring solar cell and module manufacturers to disclose key operational details.

The notification, released on Wednesday, August 7, mandates companies to upload information about their annual imports, exports, and manufacturing facility locations on two designated online portals.

This initiative is part of the Approved Models and Manufacturers of Solar Photovoltaic Modules (Requirements for Compulsory Registration) Order, 2019, known as ALMM, which came into effect in April this year.

The order aims to distinguish genuine manufacturers from mere importers or assemblers by requiring voluntary submission to facility inspections by the National Institute of Solar Energy (NISE), an autonomous body under the Ministry of New and Renewable Energy (MNRE).

The recent notification states, "All the existing ALMM enlisted manufacturers shall feed-in data... in respect of their solar pv (photovoltaic) manufacturing facilities from April 2023 onwards, within four weeks from the date of issuance of this order... failing which, manufacturers who have not fed the data in the aforesaid portal, are liable to be de-listed from ALMM."

This move aligns with India's ambitious solar energy goals and recent policy initiatives. Earlier this year, the government announced the Rs 75,000 crore PM Surya Ghar Muft Bijli Yojana, aiming to provide 300 units of free solar electricity to one crore households. A key condition for benefiting from this scheme is the use of components from Indian solar manufacturers.

The push for domestic manufacturing comes as India targets to add at least 200 GW of solar energy capacity by 2030, up from the current 85 GW. Presently, a significant portion of India's solar installations rely on imported components, primarily from China.

Gaurav Upadhyay, Energy Finance Specialist at India Sustainable Finance, commented on the development: "The amendments also focus on verifying Domestic Content Requirement [DCR] compliance through a newly established digital portal.

The DCR policy, which is essential for promoting local manufacturing, has faced enforcement challenges due to the rapid expansion of the solar industry.

The new portal will streamline and enhance transparency in the DCR verification process, ensuring that manufacturers meet these critical domestic content standards."

(KNN Bureau)

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