Consumers Who Opted Out of Subsidies Can Install Rooftop Solar with Non-DCR Equipment

Key Takeaways

Residential consumers can use non-DCR solar modules for rooftop installations under the PM Surya Ghar scheme.
Exemptions from the ALMM List-II apply only until March 31, 2027, for those opting out of central financial assistance.
All other rooftop solar projects must adhere to existing sourcing requirements from approved manufacturers.

Clarification on Solar Module Usage

The New and Renewable Energy Ministry has clarified that residential rooftop solar consumers who choose not to receive central assistance may utilize non-DCR (domestic content requirement) solar modules under the PM Surya Ghar scheme. This exception applies to those who opt for Net Metering via the “Give It Up” initiative and forgo central financial aid.

These consumers are exempt from the requirement to use modules listed in the Approved List of Models and Manufacturers (ALMM) List-II for solar PV cells, but this exemption is valid only until the scheme’s conclusion on March 31, 2027. To benefit from this provision, applicants are required to use the PMSG National Portal, eliminating the need for separate applications through the DCR Portal of the National Institute of Solar Energy (NISE) for ALMM-II exemptions.

However, this limited exemption does not apply to other Rooftop Solar (RTS) projects, which must comply with current regulations. Earlier this year, the ministry reiterated that there would be no blanket extension of the ALMM deadline set for June 1, 2026, which requires solar projects to source equipment from manufacturers listed in the ALMM.

The ministry’s clarification on utilizing non-DCR solar modules highlights potential benefits for consumers willing to forgo central financial assistance. This approach could stimulate domestic manufacturing, technological advancement, and enhance overall competitiveness within the solar energy sector. Karthik Raju, Executive Director of Atria Renewable, emphasized that the effective implementation of this policy could serve as a significant long-term driver for India’s energy security and bolster its aspirations of becoming a competitive hub for solar manufacturing globally.

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