Centre to expand ALMM to solar cells

  • Industry News
  • Sep 06,24
Currently, the ALMM only covers solar modules, limiting government-supported projects to modules made in India.
Centre to expand ALMM to solar cells

The Ministry of New and Renewable Energy is set to bring solar cell imports under the Approved List of Modules and Manufacturers (ALMM) in a move aimed at reducing dependency on Chinese supplies and bolstering domestic production. Union Minister for New and Renewable Energy, Pralhad Joshi, confirmed that a decision on the proposal is expected shortly. 

Currently, the ALMM only covers solar modules, limiting government-supported projects to modules made in India. Introduced in 2021, the ALMM framework was suspended until FY24 to address concerns about insufficient module supply, but it was reinstated in April 2024 with a capacity of 54 GW. Including solar cells in the ALMM would significantly boost domestic manufacturing as India aims to lead in clean energy production.

India has ambitious renewable energy targets, including 500 GW of installed non-fossil fuel power generation capacity by 2030, with 292 GW coming from solar. Currently, India’s solar cell manufacturing capacity exceeds 6 GW, and expansion is seen as crucial to meet increasing demand and reduce reliance on imports.

To support domestic solar manufacturing, the government has imposed high import duties on modules and cells and introduced Production Linked Incentive (PLI) schemes. These efforts aim to attract investment, build manufacturing capacity, and promote exports.

At the POWERGEN India 2024 event, Minister Joshi highlighted India’s renewable energy progress, noting that installed capacity has grown from 75.52 GW in 2014 to 203 GW in 2024—a 165% increase. He also invited global investors to explore opportunities in India’s renewable energy and green hydrogen sectors.

Joshi further emphasised India’s commitment to accelerating renewable energy projects, including a Rs 74.53 billion investment in 1,000 MW of offshore wind energy, as the country works toward achieving its net-zero emissions target by 2070.

(ET)

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