Ministry of New and Renewable Energy (MNRE) has modified the ‘Approved List of Models and Manufacturers (ALMM) for Solar Modules (Requirements for Compulsory Registration) Order, 2019,’ deferring the compliance deadline for open access and net metering projects. Starting October 1, 2022, open access and net metering (rooftop solar) projects must source modules from manufacturers listed in the ALMM.
The modification was originally scheduled to take effect on April 1, 2022. Most open access and rooftop solar developers will be relieved by the announcement, which will give them more time to complete their existing projects.
ALMM Order
Solar cell and module producers were required to register under the ALMM. Only ALMM-registered manufacturers were eligible to bid on government projects, which mostly included utility-scale and subsidized residential and government rooftop solar.
However, MNRE eventually revised the law to encompass all net metering and open access programs. As a result, consumers who wanted to become green had to buy modules from the ALMM list, which was restricted.
There are currently no Chinese
module providers on the ALMM’s list.
For a variety of reasons, the industry strongly opposed the restriction of exclusively sourcing from the ALMM list. One of the most significant was that it restricted consumers’ ability to choose high-power output modules with innovative technologies.
Because space is a constraint in commercial and industrial (C&I) projects, developers typically utilize modules with power ratings of 400W or greater and higher generation efficiency. There are only a few vendors on the ALMM list that offer higher-wattage modules, leaving C&I solar projects with limited options.
The developers claim that the supply of modules is a difficulty because domestic supplies must match the demand of larger projects with tight timelines.
Module costs have risen as a result of the demand and supply discrepancy. Under the ALMM order, MNRE has been updating the list of models and module manufacturers regularly.
The ALMM now has 46 domestic module manufacturers on its list.
Industry appeals to the Court
The Distributed Solar Power Association (DiSPA), an industry group of distributed solar project developers, has filed an appeal with the Delhi High Court. The ALMM rule, according to DiSPA, might have a negative influence on open access and net metering projects. MNRE should postpone the implementation of the ALMM for the C&I solar projects by at least one year.
In response to the plea, the Delhi High Court has requested clarity from the Ministry of Natural Resources and Environment (MNRE) on the provisions put in place to protect C&I solar projects in the pipeline that will be harmed by the ALMM Order.
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Resource: Economic Times
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