Govt extends exemption for renewable energy projects
What's the story
The Indian government has extended the exemption timeline for net metering and open access renewable energy (RE) projects till December 31, 2026. The extension comes under the Approved List of Models & Manufacturers (ALMM)-II policy. Earlier, this exemption was set to end on May 31, 2026. The Ministry of New and Renewable Energy (MNRE) clarified that there will be no change in the implementation of ALMM List-II for solar photovoltaic (PV) cells.
Policy clarification
No blanket extension for solar power projects
The MNRE has clarified that there will be no blanket extension in the applicability of ALMM List-II for solar power projects.
However, a limited window has been provided for net metering and open access RE power projects. These projects can now commission without ALMM List-II compliance (for solar PV cells) until December 31, 2026.
This move is aimed at supporting domestic solar PV module manufacturers and their existing inventories.
Investment protection
Ministry aims to protect investments of manufacturers
The MNRE said this extension will also help standalone solar PV module manufacturers by protecting their already made investments, in the form of inventories.
The ministry added that this move will create additional demand and give these manufacturers enough time to effectively increase their sourcing of solar cells from ALMM List-II enlisted manufacturers.
This is part of India's larger strategy to be self-reliant in solar PV manufacturing and become a global leader in the value chain.