ALMM List-II for Solar PV Cells Mandate Takes Effect: A Factual Report on India’s New Manufacturing Requirement

The June 1st Mandate

As of June 1, 2026, the Ministry of New and Renewable Energy (MNRE) has officially implemented the Approved List of Models and Manufacturers (ALMM) List-II for solar PV cells. Approved by the Minister for New and Renewable Energy, Shri Pralhad Joshi, and codified through several Office Memoranda (OM), this regulatory milestone mandates that solar modules utilized in specific project categories must source their solar cells exclusively from manufacturers listed under ALMM List-II. This mandate is a structural realignment of the domestic solar industry, designed to transition the sector from simple module assembly toward a vertically integrated manufacturing ecosystem.

Regulatory Scope and Project Applicability

The ALMM List-II requirement applies to all solar modules procured for non-exempt projects. The mandate explicitly covers the following categories:

• Government and Government-Supported Projects: All installations under central or state government schemes.
• Net-Metering Installations: Residential and social sector rooftop projects, including those under the PM Surya Ghar: Muft Bijli Yojana.
• Open-Access Installations: Renewable energy initiatives for commercial and industrial (C&I) consumers.
• Subsidized Projects: Any installation receiving Central Financial Assistance (CFA).

To maintain compliance, modules must utilize cells from approved List-II manufacturers. Failure to adhere to these Domestic Content Requirement (DCR) standards for non-exempt projects may result in the module manufacturer being delisted from the primary ALMM List-I.

Current Market Status and Enlisted Capacity

The implementation of List-II follows a significant expansion in India’s cell manufacturing landscape. Total enlisted cell capacity reached 30,509 MW (approximately 30.5 GW) by the mandate’s effective date. According to data from JMK Research & Analytics, 27.23 GW of this capacity is specifically enlisted under the Approved List of Cell Manufacturers (ALCM), which serves as the regulatory nomenclature for List-II.

Key Metrics: India’s Solar Cell Manufacturing Landscape

The 5 GW addition in Q1 2026 was the third-highest quarterly increase in the last six years. Key contributors to this growth include Cosmic Power (1.6 GW), Websol Energy (1.2 GW), Jupiter International (1 GW), and Premier Energies (0.4 GW). Other major enlisted manufacturers include Mundra Solar (Adani) and ReNew Photovoltaics.

Policy Framework: Compliance, Grandfathering, and List-I(a)

The MNRE framework provides specific protocols for the transition to domestic cell sourcing:

• Grandfathering Provisions: Projects for which the last date of bid submission occurred on or before August 31, 2025, are exempt from the List-II cell requirement. These projects may utilize modules with imported cells, provided the modules are listed in ALMM List-I.
• ALMM List-I(a): The Ministry maintains this sub-list for modules that meet quality standards but use imported cells. These modules are restricted for use in exempt projects; their use in non-exempt projects after the deadline constitutes non-compliance.
• Thin-Film Technology Provision: Under the current amendments, thin-film solar modules manufactured in integrated solar PV module manufacturing units are considered compliant with List-II requirements, recognizing this technological nuance in the integrated supply chain.

Provisions for Extensions and Force Majeure

The government has clarified that “no blanket” extension of the June 1, 2026, deadline will be granted. However, two distinct relief mechanisms exist for projects facing specific disruptions:

1. West Asia Force Majeure

Due to disruptions in West Asia, the MNRE recognizes an ongoing force majeure event. Procuring entities may seek extensions for contractual obligations for a period of two to four months, provided the following conditions are met:

• The contract was not in default as of February 27, 2026.
• The disruptions were directly attributable to the prevailing West Asia situation.

2. Protection of Existing Investments (“Effective Steps”)

Projects that were grounded but not commissioned prior to June 1, 2026, may apply for a case-by-case extension via the National Institute of Solar Energy (NISE) portal. The submission deadline for these claims is June 30, 2026. To qualify, developers must prove they took “Effective Steps” prior to June 1, 2026, including:

• Land Possession: Clear possession of at least 75% of required land.
• Financial Closure: Achievement of financial closure prior to June 1, 2026.
• Connectivity: Receipt of an in-principle grant of connectivity prior to June 1, 2026.
• Electrical Drawings: Approval of electrical drawings by the Electrical Inspectorate prior to May 1, 2026.
• Module Status (Category E1): 100% of the required solar PV modules arrived at the project site.
• Module Status (Category E2): More than 50% of the required solar PV modules installed on the project site.

Economic and Industrial Objectives

The MNRE aims to foster a self-reliant domestic supply chain while reducing the carbon footprint associated with global logistics. This policy has already impacted trade dynamics, specifically regarding module imports from China:

• Import Statistics: Direct module imports from China declined from 8.2 GW in 2020 to 2.1 GW in 2025.
• Capacity Growth: India’s module production capacity has surged from less than 10 GW in 2018 to 172 GW in 2026.
• Economic Impact: Industry estimates indicate installation costs for rooftop systems may increase by approximately Rs 3,000 per kilowatt (roughly Rs 15,000 for a 5-kW system). This increase is attributed to higher domestic production costs and current supply limitations as the cell manufacturing base scales to meet the 50 GW annual demand.

The commencement of ALMM List-II establishes a mandatory domestic cell-sourcing requirement for the majority of India’s solar installations. This shift from module-level to cell-level regulation is a key component of India’s strategy to reach 500 GW of non-fossil fuel-based capacity by 2030. Compliance will be monitored through the ALMM framework and the NISE portal, with the expert committee examining all extension claims based on the documented “Effective Steps” taken by developers.