The renewable energy industry is looking for measures to support domestic production | Today’s news

NEW DELHI: India’s renewable energy industry has urged the government to expand its domestic manufacturing push beyond solar modules and wind turbines to include battery energy storage systems (BESS) and other critical components, seeking action under the Approved List of Models and Manufacturers (ALMM) framework, Santosh Kumar Sarangi, secretary of the Union Ministry of New and Renewable Energy (MNRE), said on Thursday

The demand comes as India seeks to reduce its reliance on imports, particularly from China, for key components across the renewable energy supply chain. it also follows a Chinese proposal to limit exports of equipment used to make solar components such as cells and wafers.

Reducing dependence on specific geographies was a recurring theme of discussions with industry executives and investors at the Bharat Renewable Energy Summit, Sarangi said.

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“The lesson (from the Bharat Renewable Energy Summit 2026) is to continue our journey of progress in renewable energy and some of the things that are being discussed at the CEO round table obviously refer to reducing critical dependence on specific geographies. So if we are tied to specific geographies for certain items, then there is a need to think about manufacturing in those segments,” he said.

A wider range of ALMM

On Wednesday, the Ministry organized a round table with Chief Executive Officers (CEOs) from the renewable energy sector and investors. Sarangi said industry executives have called for extending the ALMM framework, currently applicable to solar modules and wind turbines, to other components, including battery storage systems.

“So many CEOs have actually appreciated the ALMM framework that MNRE has implemented for modules and wind turbines and have requested that similar things be tried for components, battery storage systems, etc. So this has been a recurring request from CEOs and MNRE has stayed in touch with the industry on this. And whatever needs to be done to support domestic manufacturing, we will definitely work on that.”

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The ALMM framework requires government-supported projects to procure specified equipment from approved domestic manufacturers. ALMM-I and ALMM-II cover locally manufactured solar modules and cells, while the list of approved models and manufacturers for wind power includes quality-certified turbines that are approved for use in utility-scale projects.

While the frames for the modules and wind turbines are operational, the requirement for solar cells has been delayed until December 31, 2026 due to concerns about supply constraints.

These measures, which also act as non-tariff barriers to imports, along with government incentives, have helped India significantly expand its domestic solar generation capacity. The country currently has more than 200 GW of module manufacturing capacity and 50 GW of cell manufacturing capacity. The ministry also announced plans to include wafers and ingots in the framework from June 2028.

Storage capacity in the spotlight

Reducing import dependency is also emerging as a priority for the battery supply chain, where India is heavily dependent on imports, primarily from China. The government is trying to develop a domestic battery storage ecosystem to boost energy independence and security.

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As a step towards this goal, the Union Cabinet on Wednesday approved the Viability Gap Funding (VGF) scheme for grid-scale energy storage systems and committed ₹14,500 crore in financial support between FY27 and FY31.

The aim of the scheme is to support the development of 92 GWh of additional grid energy storage capacity across the country. The new capacity would be equivalent to 170% of India’s existing storage capacity and help meet the country’s requirement of 411 GWh by 2032.

Battery energy storage systems are essential for integrating renewable energy into the grid. Solar and wind power generation is variable and unpredictable, so it is necessary to store electricity when it is available and use it when needed, even when there is no sunlight. Storage systems also help stabilize the electricity grid and strengthen the transmission network.