ALMM List-II solar PV exemption extended to December 31 for net metering, open access projects

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ALMM List-II solar PV exemption extended to December 31 for net metering, open access projects

Synopsis

India's solar policy just got a firm deadline: the MNRE has extended ALMM List-II relief for net metering and open access projects to 31 December 2026 — but explicitly ruled out any blanket extension. After that date, full domestic sourcing compliance kicks in, making this the last transition window before India's Atmanirbhar solar mandate becomes non-negotiable.

Key Takeaways

MNRE extended the ALMM List-II solar PV cell exemption for net metering and open access projects to 31 December 2026 .
The previous exemption deadline was 31 May 2026 — the new window adds approximately seven months.
No blanket extension will be granted; all projects commissioned after 31 December 2026 must comply with ALMM List-I (modules) and ALMM List-II (cells).
The extension is designed to protect standalone solar PV module manufacturers with existing inventory investments.
The decision followed deliberations with solar industry stakeholders to enable a smooth compliance transition.
The government reaffirmed its commitment to Atmanirbhar solar manufacturing and India's role in the global solar value chain.

The Ministry of New and Renewable Energy (MNRE) on Saturday, 18 July announced an extension of the exemption from mandatory sourcing of Approved List of Models and Manufacturers (ALMM) List-II solar PV cells for net metering and open access renewable energy projects until 31 December 2026. The government simultaneously made clear that no blanket extension will be granted across all solar project categories, drawing a firm line at the year-end deadline.

What the Extension Covers

The relief applies exclusively to net metering and open access renewable energy projects — a limited transition window, not a wholesale policy rollback. Previously, this dispensation had been available only until 31 May 2026, making the new deadline a roughly seven-month extension for the affected segments.

All projects commissioned after 31 December 2026 will be required to source solar PV modules from ALMM List-I and solar PV cells from ALMM List-II, in line with existing policy. The ministry has left no ambiguity on this point.

Why the Government Acted

According to the MNRE, the decision followed detailed deliberations with solar industry stakeholders aimed at ensuring a smooth transition to mandatory domestic sourcing. The extension is also intended to protect standalone solar PV module manufacturers, who had made inventory investments ahead of the original deadline. By creating additional near-term demand, the window helps cushion those investments.

Notably, domestic cell manufacturing capacity under the approved list continues to expand, and the ministry indicated the extension gives manufacturers sufficient time to gradually increase their sourcing from ALMM List-II-listed producers.

Government's Atmanirbhar Solar Commitment

'The government is committed to making India self-reliant (Atmanirbhar) in solar PV manufacturing and establishing India as a major player in the global value chain,' the ministry stated. Strengthening domestic solar manufacturing, it reiterated, remains a key policy priority.

This comes amid a broader push to reduce India's dependence on imported solar cells — predominantly from China — and build out a vertically integrated domestic supply chain under the Make in India framework.

What Happens Next

The hard deadline of 31 December 2026 now sets a clear compliance clock for project developers and module manufacturers alike. Industry bodies and developers operating in the net metering and open access segments will need to align procurement pipelines accordingly. Any project missing that commissioning date will face full ALMM List-II compliance requirements, with no further relief signalled by the ministry.

Point of View

But the government's explicit refusal to offer a blanket rollback signals that the Atmanirbhar solar manufacturing agenda is non-negotiable past year-end. What is notable is the dual purpose: protecting module manufacturers sitting on inventory while simultaneously buying time for domestic cell capacity to scale — a balancing act that reflects how incomplete India's solar supply chain still is. The real test arrives on 1 January 2027: if domestic ALMM List-II cell capacity has not kept pace with project demand by then, developers will face either cost inflation or compliance risk, and the government will face pressure to blink again. That pattern — deadline, extension, repeat — has marked India's ALMM journey so far, and breaking it requires credible capacity data, not just policy resolve.
NationPress
19 Jul 2026

Frequently Asked Questions

What is the ALMM List-II exemption extension for solar projects?
The MNRE has extended the exemption from mandatory sourcing of ALMM List-II solar PV cells for net metering and open access renewable energy projects until 31 December 2026. This is a limited transition window, not a policy change — full compliance will be required for all projects commissioned after that date.
Which solar projects are covered by the ALMM List-II extension?
Only net metering and open access renewable energy projects are covered by this extension. The government has explicitly stated there will be no blanket exemption for all solar project categories.
What was the previous ALMM List-II exemption deadline?
The previous exemption deadline was 31 May 2026. The new extension moves that date to 31 December 2026, providing approximately seven additional months for the affected project segments.
What happens after 31 December 2026 for solar projects?
All net metering and open access projects commissioned after 31 December 2026 must source solar PV modules from ALMM List-I and solar PV cells from ALMM List-II, in line with existing mandatory domestic sourcing policy. No further relief has been indicated.
Why did the government extend the ALMM List-II exemption?
The extension followed deliberations with solar industry stakeholders and is aimed at enabling a smooth transition to mandatory domestic sourcing. It also helps protect standalone solar PV module manufacturers who had already invested in inventories, while giving domestic cell manufacturers more time to scale up ALMM List-II-compliant capacity.
Nation Press
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