MNRE’s ALMM Expansion to Solar Wafers: Boosting India’s Solar Manufacturing Sector
The Ministry of New and Renewable Energy (MNRE) has taken a landmark decision to strengthen India’s solar manufacturing ecosystem. The draft amendment to the Approved List of Models and Manufacturers (ALMM) Order now includes solar wafers, effective from 2028.
The Strategic Importance of Solar Wafers
Solar wafers form the foundation of photovoltaic technology – these ultra-thin silicon slices convert sunlight into electricity. Currently, India imports 80% of its wafers from China and Vietnam, creating critical supply chain vulnerabilities.
ALMM’s Transformational Expansion
From originally covering only modules and cells, ALMM’s expansion to wafers signals a complete solar supply chain shift. Manufacturers must now either establish local wafer production or partner with domestic suppliers, reducing import dependence.
Cost Implications and Long-Term Benefits
While initial costs may rise slightly, domestic wafer production will reduce:
- Import duties (currently 25% for solar components)
- Supply chain risks
- Foreign exchange fluctuations
The PLI scheme for gigafactories will further drive economies of scale in wafer manufacturing.
The 2028 Timeline: Urgent Industry Preparation
Companies must immediately:
- Secure land near silicon production hubs
- Invest in precision cutting technology (within 1 micron tolerance)
- Establish supply agreements with cell manufacturers
This 3-year window requires rapid action to meet the deadline.
Quality Assurance Measures
The policy includes stringent BIS certification (IS 16077) for wafers, following Japan’s rigorous JIS system model, ensuring only high-quality products enter the market.
Conclusion: A New Era for Indian Solar Manufacturing
This ALMM expansion represents a comprehensive strategy to build domestic solar manufacturing capacity across the entire value chain – from polysilicon to finished panels.
