India Achieves Historic Milestone of 100 GW Solar PV Module Manufacturing Capacity India’s renewable energy journey has reached a major t...
India Achieves Historic Milestone of 100 GW Solar PV Module Manufacturing Capacity
India’s renewable energy journey has reached a major turning point. The country has officially crossed 100 GW of solar PV module manufacturing capacity listed under the Ministry of New and Renewable Energy’s (MNRE) Approved List of Models and Manufacturers (ALMM).
This milestone represents more than just a number — it signifies India’s transformation from a solar panel importer to a global-scale manufacturer. In just over a decade, policy interventions like ALMM, the Production Linked Incentive (PLI) Scheme, customs duties, and infrastructure investment have built an industrial base capable of meeting both domestic and export demand.
In this article, we explore:
- What ALMM is and why it matters
- India’s solar manufacturing growth story year-by-year
- The policies that drove this expansion
- Global market positioning and export potential
- Challenges and the road ahead
Understanding ALMM
The Approved List of Models and Manufacturers (ALMM) is an MNRE-mandated registry of solar PV module and cell manufacturers whose products meet quality, traceability, and performance standards.
When ALMM compliance is active, only modules listed in this registry can be used for government-supported solar projects — including those under central and state schemes, DISCOM procurement, and open access projects linked to government programs.
Key Points about ALMM:
- Introduced: March 2019 (effective from April 2021)
- Purpose: Ensure quality and reliability of solar PV products deployed in India
- Scope: Initially for modules (List-I); later expanded to include cells (List-II from 2026)
- Impact: Created a domestic market safeguard, ensuring Indian manufacturers have a demand pipeline
India’s Manufacturing Growth Timeline
Below is the year-by-year progression of India’s solar PV module manufacturing capacity, highlighting policy and market developments.
2010–2014: Early Stage
- Domestic capacity: ~2–3 GW modules, negligible cell production
- Heavy reliance on Chinese imports
- National Solar Mission (launched 2010) begins stimulating demand
- Domestic Content Requirement (DCR) in some tenders provided small boost
2015–2017: First Expansion Wave
- Capacity grows to ~5 GW modules by 2017
- Anti-dumping investigations considered but no final duties
- Private players like Waaree, Vikram Solar, and Adani Solar expand lines
- Still heavily import-dependent (~90% market share from China)
2018–2019: Policy Shift Towards Self-Reliance
- MNRE notifies ALMM framework (2019)
- Safeguard Duty (SGD) on imports from China/Malaysia introduced (25% → 15%)
- Capacity grows to ~8 GW
2020–2021: ALMM Operational + Tariff Protection
- ALMM List-I operational from April 2021
- Basic Customs Duty (BCD) announced: 40% on modules, 25% on cells (effective April 2022)
- COVID-19 supply disruptions highlight vulnerability to imports
- Capacity ~10–12 GW modules
2022: PLI Scheme Kick-Off
- PLI Tranche-I awards ~8.7 GW integrated manufacturing capacity
- Major players commit to vertical integration from polysilicon to modules
- BCD implemented, sharply reducing imports
- Capacity ~18–20 GW modules
2023: Aggressive Capacity Announcements
- PLI Tranche-II awards ~39.6 GW capacity
- States like Gujarat, Tamil Nadu, Andhra Pradesh roll out manufacturing parks
- Capacity grows past 30 GW
- ALMM enforcement temporarily paused (March 2023–March 2024) to avoid supply bottlenecks
2024: ALMM Reinstated + Production Surge
- ALMM compliance reinstated April 1, 2024
- First PLI-supported plants come online
- Surge in orders for domestic modules
- Capacity exceeds 60 GW
2025: The 100 GW Milestone
- August 2025: India crosses 100 GW of ALMM-listed module capacity
- Over 70 manufacturers listed in ALMM List-I
- Several companies start exporting to US, Europe, and Middle East markets
Factors Driving This Achievement
1. ALMM Enforcement
- Guaranteed demand for domestic products in government-backed projects
- Quality assurance, reducing risk of substandard imports
2. PLI Scheme
- Incentives for integrated manufacturing reduce dependency on imports
- Tranche-I + Tranche-II together cover ~48.3 GW capacity
- Supports high-efficiency technologies (TOPCon, HJT, Bifacial)
3. Tariff Measures
- Basic Customs Duty (40% modules, 25% cells) from April 2022
- Made imports significantly costlier, boosting domestic sales
4. Infrastructure Support
- Solar manufacturing parks with plug-and-play facilities
- State-level capital subsidies, cheap land, and power supply
5. Global Market Opportunities
- US anti-China tariffs and EU’s push for diversified sourcing
- India positioned as a trusted supplier
Technology Trends in India’s New Manufacturing Lines
- TOPCon (Tunnel Oxide Passivated Contact) gaining rapid adoption for higher efficiency
- Bifacial modules with up to 30% more yield in suitable conditions
- M10 & G12 wafer formats for higher power output per module
- Automation & AI-driven quality control reducing defects and improving throughput
Impact of 100 GW Capacity
1. Energy Security
India can meet its solar demand without relying on imports
2. Export Potential
Ability to supply over 20–25 GW annually to global markets
3. Job Creation
An estimated 200,000+ direct and indirect jobs in manufacturing, logistics, and O&M
4. Downstream Ecosystem Growth
Boost for glass, EVA, junction box, and inverter manufacturing
Challenges Ahead
- Cell Manufacturing Gap: While module capacity is at 100 GW, cell capacity is still catching up (~50–60 GW)
- Raw Material Dependence: Polysilicon and wafers mostly imported
- Global Price Volatility: Oversupply in global markets could squeeze margins
- Sustainability: Recycling of end-of-life panels still in early stages
The Road Ahead
- Cell ALMM to be implemented in 2026 — will require domestic cells in listed modules
- Expansion into upstream manufacturing of wafers and polysilicon
- Strengthening R&D and testing facilities for next-gen solar tech
- Building a solar recycling ecosystem to handle future waste volumes
India’s achievement of 100 GW ALMM-listed solar PV module manufacturing capacity is not just a domestic victory — it is a statement of global ambition. With strong policy backing, industry investment, and technology adoption, India is poised to be a leader not only in solar deployment but also in manufacturing excellence.
This journey from 2 GW in 2010 to 100 GW in 2025 reflects the country’s ability to align industrial policy with climate goals. The challenge now is to sustain competitiveness, close the cell–module gap, and position India as a solar manufacturing superpower for decades to come.
Quick FAQs
Q1: Is 100 GW the same as India’s installed solar capacity? No. This is manufacturing capacity, not installed generation capacity.
Q2: When was ALMM first enforced? April 2021 for modules (List-I).
Q3: Why was ALMM paused in 2023? To ease supply shortages until domestic capacity could ramp up.
Q4: What changes in 2026? Cell ALMM (List-II) will be enforced, linking module listing to domestic cell use.
Q5: Does 100 GW capacity mean full output every year? No — actual production depends on demand and plant utilization rates.
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