The Indian government will require clean energy firms to use locally made solar cells in government projects from June 2026. The Renewable Energy Ministry announced that only solar cells from an approved list of companies will be allowed. This move aims to reduce reliance on Chinese imports.
India already mandates the use of locally made photovoltaic (PV) modules for government projects. The new rule now extends to solar cells as well.
The government aims to boost non-fossil fuel capacity to 500 gigawatts (GW) by 2030, up from the current 156 GW. India’s current PV module-making capacity is around 80 GW, but its solar cell-making capacity is just over 7 GW. Currently, companies rely heavily on Chinese solar cells to manufacture PV modules.
The Renewable Energy Ministry stated that a list of approved cell manufacturers will be released soon. This comes as India’s cell-making capacity is expected to increase significantly next year.Industry Experts on the Impact
Vikram V, Vice President of Corporate Ratings at ICRA, said, “Modules using locally made cells may be costlier than imported ones. Scaling up production and improving cost-efficiency will be crucial for India’s solar cell market.”
