India's Solar Manufacturing Faces Challenges Amid ALMM Policy Changes
India's Solar Manufacturing Faces Challenges Amid ALMM Policy Changes
IN · Published Jul 27, 2026
India's solar manufacturing sector is grappling with three major challenges: supply chain dependency on China, outdated technology, and industry consolidation.
The Ministry of New and Renewable Energy (MNRE) recently extended the ALMM List-II compliance deadline for net metering and open access projects to December 31, 2026, providing temporary relief to manufacturers.

Impact & Risks

The challenges could lead to a significant shakeout in the industry, with smaller manufacturers struggling to survive. This may result in job losses, particularly in module assembly units concentrated in states like Gujarat. India's reliance on Chinese inputs also poses a risk to supply chain stability, especially if export restrictions are imposed by Beijing. The technology gap may limit India's ability to compete in global markets, affecting its renewable energy goals.

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