Solar modules remain availablity, affordability struggle post ALMM reinstatement: Industry.

By Oliver Townsend Jul 8, 2024
Solar module availability, affordability issue persist post ALMM reinstatement: Industry.jpegOrginal image from: https://energy.economictimes.indiatimes.com/news/renewable/solar-module-availability-affordability-issue-persist-post-almm-reinstatement-industry/111558746

Solar module availability and affordability continue to be pressing issues in the industry even after the reinstatement of the Approved List of Models and Manufacturers (ALMM). Two months post ALMM restoration, challenges in sourcing solar modules persist, affecting both availability and pricing in the domestic market. Industry stakeholders highlight the ongoing struggles faced by solar power developers in procuring modules, shedding light on the impact of ALMM on domestic supply and pricing.

Challenges in Solar Module Availability and Affordability

Despite the efforts to promote domestic manufacturing through ALMM, the availability and affordability of solar modules remain a concern for industry players. The cost disparities between N-type DCR modules and non-DCR modules using Chinese cells pose challenges for developers. Imported modules, even with additional customs duties, are priced lower than domestic options, creating a competitive imbalance in the market.

Impact of ALMM Reinstatement

The reinstatement of ALMM has led to a surge in orders for domestic module manufacturers, indicating a shift towards local sourcing. However, the capacity constraints and production timelines of these manufacturers raise uncertainties about meeting the demand for solar modules. The impact of ALMM on project costs and working capital due to module unavailability further exacerbates the challenges faced by developers.

Quality and Capability Concerns

While domestic OEMs are making strides in module manufacturing, concerns remain regarding quality standards and performance compared to Chinese manufacturers. The need for process improvements and scale-up in production to meet international benchmarks is crucial for the growth of the domestic solar industry. Despite showcasing capabilities in exports, addressing quality control issues and process efficiencies is vital for sustainable growth.

Government Support and Industry Outlook

The government’s emphasis on enhancing domestic manufacturing capabilities is commendable, but striking a balance between promoting local production and achieving renewable energy capacity targets is essential. Industry experts stress the need for aligning domestic manufacturing with global standards to ensure competitiveness and sustainability in the solar sector. Addressing challenges in module availability and pricing under ALMM is crucial for driving growth and investment in renewable energy.

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