The Ministry of New and Renewable Energy (MNRE) has issued revised domestic content requirement (DCR) norms for solar cells, specifying that only those based on crystalline-silicon technology and manufactured in India using undiffused silicon wafers (black wafers) will qualify as domestically produced.
These wafers fall under Customs Tariff Head 3818, and all manufacturing processes, from wafer to solar cell, must be carried out within India. Solar cells made using imported diffused silicon wafers (blue wafers) will not be eligible under MNRE’s DCR-mandated programmes. Thin-film solar modules are exempt from this requirement, and those manufactured in integrated Indian factories will continue to qualify under DCR mandates. The updated norms have raised concerns over the limited supply and rising costs of DCR-compliant solar modules, impacting key government initiatives such as the PM Surya Ghar: Muft Bijli Yojana and the Pradhan Mantri Kisan Urja Suraksha evam Utthaan Mahabhiyan. Supply constraints could challenge the implementation of these large-scale renewable energy schemes, potentially affecting project timelines and investment strategies in the sector.