TNGECL's mandate to use Made-In-India solar panels upsets captive generators

CHENNAI: The Tamil Nadu Green Energy Corporation Ltd (TNGECL) has instructed its field officials to implement the Union Ministry of New and Renewable Energy's (MNRE) Approved List of Models and Manufacturers (ALMM). 

The list comprises Made-In-India manufacturers of solar PV cells and modules, on all solar energy promoters, including private entities. However, this directive has caused concern among captive power generators.

In a letter to the MNRE secretary, Chief Advisor K Venkatachalam of the Tamil Nadu Spinning Mill Owners Association (TASMA) noted that the MNRE had made it mandatory, via a memorandum dated January 2, 2019, for solar energy promoters to use the modules and manufacturers included in the ALMM for government projects, as well as projects under government schemes and programmes.

Notably, private entities intending to generate solar energy for their use were not bound by the ALMM and were free to source imported solar modules.

Venkatachalam highlighted that the import of solar PV modules was a smooth process for private entities looking to set up solar power projects for their captive use, without constraint from the ALMM. He also noted that 75% of the state's total installed solar generation capacity of 8574 MW belongs to the Textile industry, and these industries market products produced under 100% renewable energy.

However, TNGECL's instructions dated August 19, 2024, to implement the ALMM for all solar promoters, including private entities, could lead to denial of connectivity to the grid for those using imported solar modules, he said.

"This has created great chaos, among all the stakeholders of solar energy investors in the state and they are now running pillar to post to get the matter rectified suitably, as they have already placed orders with their foreign suppliers to supply the required PV solar modules, which may not have ALMM clearance, as of now," Venkatachalam expressed, adding that such promoters are afraid if they would get the connectivity from the TNGECL anymore.

The TASMA has urged the MNRE secretary to address this issue with the chairman and managing director of the TNGECL, requesting for the withdrawal of the communication from the chief engineer of the Non-Conventional Energy Sources dated August 19.

Meanwhile, a senior TNGECL official said that the MNRE has now mandated that captive solar generators should also comply with the ALMM. Earlier, the ALMM was mandatory only for government projects and assisted ones and also for domestic rooftop systems, the official noted.