Whalesbook
Ministry Stands Firm on Deadline
The Ministry of New and Renewable Energy has decided against a widespread extension for the Approved List of Models and Manufacturers (ALMM) List-II compliance deadline, keeping the June 1, 2026, enforcement date. This decision reinforces the government's commitment to boosting domestic solar manufacturing and reducing dependence on imported components.
Targeted Relief for Developers
Acknowledging global supply chain volatility and geopolitical impacts, the ministry will permit extensions of two to four months on a case-by-case basis. To be considered, developers must demonstrate substantial progress on project milestones like land acquisition or financial closure. Applications for this relief must be submitted through the National Institute of Solar Energy's portal by June 30, 2026, and will be reviewed by an Expert Committee.
Favorable Outlook for Integrated Manufacturers
This policy is expected to benefit large integrated manufacturers such as Adani Solar, Tata Power, and Waaree Energies, who have invested in domestic cell production. These companies hold a competitive edge as the market shifts towards mandatory domestic content. Smaller firms and project developers might face challenges due to limited domestic capacity for high-efficiency cells like TOPCon, potentially increasing costs for commercial and industrial clients.
Project Risks and Potential Delays
Developers with tight margins face risks of cost inflation due to the supply-demand gap for approved domestic modules. Bottlenecks may arise if domestic manufacturers cannot meet projected production targets, leading to commissioning delays, penalties, and revenue losses. The process for applying for relief also carries a risk of bureaucratic delays, potentially impacting project financing and timelines.