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MNRE extends ALMM List-II exemption for net-metering, open access projects

The Ministry of New and Renewable Energy (MNRE) has extended the exemption from Approved List of Models and Manufacturers (ALMM) List-II requirements for solar PV cells for net-metering and open access renewable energy projects until December 31, 2026.

The decision was communicated through an Office Memorandum (OM) dated July 18, 2026, and supersedes a series of earlier OMs issued between May and June 2026. It marks a shift from the Ministry’s OM dated May 25, 2026, which had stated that there would be “no blanket extension” of ALMM List-II requirements beyond June 1, 2026.

Regulatory timeline

Under MNRE’s OM dated December 9, 2024, which was subsequently reiterated on July 28, 2025, all net-metering and open access renewable energy projects commissioned on or after June 1, 2026, were required to use solar PV modules listed under ALMM List-I and solar PV cells listed under ALMM List-II.

With the latest OM, the Ministry has provided a six-month relaxation for compliance with ALMM List-II for solar PV cells. As a result, eligible projects commissioned up to December 31, 2026, will be permitted to proceed without meeting the domestic solar cell sourcing requirement.

Projects commissioned after December 31, 2026, will be required to comply with ALMM List-II provisions mandating the use of domestically manufactured solar PV cells.

Policy rationale

MNRE stated that the decision was taken after “detailed deliberations with various stakeholders of the solar industry, to ensure a smooth transition to ALMM List-II (for solar PV cells), for the net-metering projects and Open Access renewable power projects.”

The latest extension is limited to solar PV cells and does not alter the requirement for projects to use modules approved under ALMM List-I.

The decision provides additional time for developers in the rooftop solar and open access segments that have been preparing for the implementation of domestic cell sourcing requirements. It also preserves the Ministry’s broader objective of strengthening domestic solar manufacturing under the ALMM framework while deferring the cell mandate for a defined period.

The reference to a “smooth transition” in the OM indicates the Ministry’s effort to align the rollout of ALMM List-II requirements with prevailing market conditions and project execution timelines.

The featured photograph is for representation only.

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