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MNRE Rejects Blanket ALCM Extension, Offers Case-By-Case Relief For Stranded Solar Projects Photograph: (Archive)
The Ministry of New and Renewable Energy (MNRE) has decided against granting any blanket extension to the implementation deadline of the Approved List of Models and Manufacturers (ALMM) List-II for solar cells, while allowing project-specific relief for renewable energy projects that had already made substantial progress before June 1, 2026.
In an office memorandum dated May 25, the ministry reiterated that all net-metering and open access renewable energy projects commissioned on or after June 1, 2026 will be required to mandatorily source solar modules from ALMM List-I and solar PV cells from ALMM List-II. MNRE said it had received multiple representations from industry stakeholders regarding the implementation timeline, with some seeking an extension and others opposing any deferment.
The ministry also referred to the Department of Expenditure’s recent office memorandum on invocation of force majeure in contracts impacted by the ongoing geopolitical situation in West Asia. Following consultations with solar manufacturers and renewable energy developers, MNRE said there was broad consensus that policy stability should be maintained to ensure long-term investor confidence in domestic solar manufacturing.
At the same time, the ministry acknowledged that investments already made by renewable energy developers also required protection. Accordingly, the government has decided that while the June 1, 2026 implementation date will remain unchanged, projects where solar modules have already been installed or where “effective steps” have been taken toward project execution may be considered for case-by-case exemption from ALMM List-II requirements.
Under the exemption framework, developers will need to satisfy multiple eligibility conditions related to land acquisition, financial closure, connectivity approvals, electrical drawing approvals and module procurement or installation progress. For projects seeking exemption under the “effective steps” category, developers must demonstrate possession of at least 75% of project land before June 1, 2026, achieve financial closure, secure in-principle connectivity approvals and obtain electrical drawing approvals prior to the deadline.
Additionally, developers will need to establish that either all solar modules had already arrived at the project site or that more than 50% of the required modules had been installed before June 1. MNRE said all such claims would be examined project-wise by an expert committee based on documentary evidence submitted through a dedicated portal developed by the National Institute of Solar Energy (NISE).
The notification comes amid a sharp divide within India’s solar manufacturing ecosystem over the implementation of ALMM List-II for solar cells. One section of the domestic solar industry had strongly pushed for strict and timely implementation of the June 1 deadline, arguing that India now has adequate domestic solar cell manufacturing capacity and that further delays would undermine the country’s efforts to build a self-reliant solar manufacturing supply chain. These companies — largely comprising several mid-sized module manufacturers and newer players investing aggressively in backward integration — maintained that a firm implementation timeline was essential to provide long-term demand visibility for domestic cell makers and reduce dependence on imported Chinese solar cells. 
On the other hand, several large integrated solar manufacturers, cell makers and renewable energy developers had sought an extension of the ALMM List-II implementation, citing inadequate availability of domestic solar cells across technologies and volumes. Industry executives had warned that immediate enforcement could disrupt ongoing utility-scale projects, delay commissioning timelines and increase project costs due to constrained domestic cell supply.
The concerns became more pronounced as developers and manufacturers feared project execution bottlenecks amid rising solar installation targets and continued dependence on imported cells for several high-efficiency module technologies. The latest MNRE notification is being seen as a calibrated middle path that preserves the sanctity of the June 1 implementation deadline while offering limited protection to projects where significant investments and execution activities had already taken place.
The decision is also expected to reinforce the government’s broader push toward domestic solar manufacturing self-reliance without triggering large-scale disruption to projects already under development.
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