India's MNRE says solar projects commissioned by March 31, 2024, will not have to source PV modules from the Approved Models and Manufacturers (ALMM) list.

Imported module costs remain competitive compared to panels sourced from domestic manufacturers using imported solar PV cells. Prices of mono PERC modules have moderated over the past five to six months, falling from a peak in December 2022, says ICRA.

Domestic module manufacturing capacity in India has jumped significantly over the last two years. While this is positive for the solar power sector, a lack of backward integration and limited capacity for cell manufacturing are keeping module manufacturers dependent on imported PV cells.