Developers, EPC Players Wary as MNRE Sticks to ALMM Solar Cells Mandate

The government’s decision highlights a divide between solar developers and manufacturers

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The Ministry of New and Renewable Energy’s (MNRE) decision not to grant a blanket extension of the Approved List of Models and Manufacturers (ALMM) List-II deadline beyond June 1, 2026, has reinforced regulatory certainty for India’s solar manufacturing ecosystem.

However, it has also raised concerns among developers and engineering, procurement, and construction (EPC) contractors who fear near-term project delays and cost pressures.

Under the mandate, net-metered and green energy open-access projects commissioned on or after June 1, 2026, must use modules made with cells listed under ALMM-II.

MNRE said it had received representations both for and against an extension, but after review, concluded that a general postponement was not required. Instead, projects where substantial investments have already been made may be considered for relief on a case-by-case basis.

While the decision is expected to support domestic cell manufacturing and improve policy certainty for manufacturers, developers, and EPC contractors worry that the transition may be difficult to manage without broader relief.

Their concerns are centered on the availability of ALMM-compliant solar cells, potential increases in module prices, execution delays in rooftop, commercial, and industrial (C&I), and open-access projects, and working capital pressure on EPC companies and MSMEs.

The Rajasthan Solar Association (RSA) has intensified industry discussions on the already implementedALMM List-II, urging policymakers to adopt a balanced, industry-ready transition framework for India’s solar sector.

RSA highlighted that India currently has around 30.8 GW of approved domestic solar cell manufacturing capacity, which remains significantly lower than the country’s rapidly expanding module manufacturing ecosystem. The association said this gap could create a major supply-demand mismatch as the mandate takes effect.

The association warned that a sudden transition could lead to limited availability of compliant domestic solar cells and higher module prices under the domestic content requirement (DCR) mandate. This could lead to delays in rooftop, C&I, and open-access projects, working capital pressure on EPC companies and MSMEs, and supply chain disruptions across ancillary industries.

RSA also noted that India’s manufacturing ecosystem remains heavily dependent on mono PERC technology, while market demand is increasingly shifting toward TOPCon technology. This, it said, adds another layer of complexity to the transition.