Indian government to punish veiled use of imports in DCR solar projects

Facebook
Twitter
LinkedIn
Reddit
Email
Power minister R.K. Singh and MNRE secretary Anand Kumar. Credit: MNRE Twitter

The government of India has issued a memorandum informing that it will come down hard on those flouting the Domestic Content Requirement (DCR) rules – in WTO permitted cases – where imported solar modules are used, but declared as locally made.

Via the Ministry of New and Renewable Energy (MNRE), the government said that DCR local content rules were set up to encourage domestic PV manufacturing.

This article requires Premium SubscriptionBasic (FREE) Subscription

Try Premium for just $1

  • Full premium access for the first month at only $1
  • Converts to an annual rate after 30 days unless cancelled
  • Cancel anytime during the trial period

Premium Benefits

  • Expert industry analysis and interviews
  • Digital access to PV Tech Power journal
  • Exclusive event discounts

Or get the full Premium subscription right away

Or continue reading this article for free

However, it noted: “Apprehensions have been raised that the policy may be misused by way of mis-declaration and imported solar cells and modules may be used in DCR projects instead of domestically produced cell and modules.”

As result, the government has tasked the MNRE or any agency acting on behalf of the MNRE, to take the following actions in the case of such violations:

  1. Filing of criminal case under IPC 420 & related sections
  2. Blacklisting of developer for period of 10 years
  3. Forfeiting of relevant Bank Guarantee(s)
  4. Disciplinary case against the officers of concerned CPSU/State Govt.
  5. Any other action, in addition to those above

The US and India are currently embroiled in a spat over India's compliance with a WTO ruling against its DCR policy. The latest move saw Washington block New Delhi's request to establish a WTO compliance panel. It's also worth noting that MNRE has removed the DCR from the next 5GW of solar projects coming out under Batch IV, Phase II of the National Solar Mission, as per this amendment.

Read Next

July 10, 2026
The financing will support the Government of India’s PM Surya Ghar: Muft Bijli Yojana (PMSMGBY) initiative.
July 10, 2026
Australia and India have formalised a broadened energy partnership that spans renewable energy deployment, supply chain resilience, critical minerals, rooftop solar training and uranium exports.
July 9, 2026
India added approximately 26GW of solar capacity and 3GW of wind capacity during the first half of 2026, according to JMK Research. 
July 9, 2026
The latest Silicon Industry Branch figures indicate continued weakness in the Chinese polysilicon market this week, though the decline slowed markedly.
July 9, 2026
Premier Energies expects to begin construction of the first phase of its planned 10GW ingot and wafer manufacturing facility in Andhra Pradesh shortly.
July 9, 2026
India's power transmission sector is set for a multi-year investment cycle between FY2027 and FY2032, according to ICRA.

Upcoming Events

Solar Media Events
October 13, 2026
San Francisco Bay Area, USA
Solar Media Events
November 3, 2026
Málaga, Spain
Solar Media Events
November 24, 2026
Warsaw, Poland
Solar Media Events
April 20, 2027
Istanbul, Türkiye