**Executive Summary**
The document contains the Minister of State for New & Renewable Energy and Power's response to questions in Lok Sabha concerning the assessment of storage readiness, grid balancing infrastructure, and power evacuation capacity in key renewable zones. It details measures to incentivize domestic manufacturing and R&D in solar modules, wind turbines, and battery technologies, and identifies Madhya Pradesh as the location for a pilot renewable energy equipment manufacturing zone. The response references initiatives planned up to 2030, and sets out relevant programs, incentives, and manufacturing guidelines.
**Key Points / Main Content**
* **Assessment and Planning:**
* Government has undertaken assessments and planning initiatives related to storage readiness, grid-balancing infrastructure, and power-evacuation capacity in key renewable energy zones.
* These include transmission planning up to 2030.
* The Green Energy Corridor is developing new transmission lines and substations.
* Renewable Energy Management Centres (REMCs) are established for improved forecasting and real-time monitoring.
* Grid-stability measures like STATCOMs installation and compliance with CEA's technical standards are being implemented.
* **Energy Storage Systems (ESS) Requirements:**
* By 2029-30: 41.65 GW BESS and 208.25 GWh PSP are required.
* By 2031-32: 18.98 GW BESS and 128.15 GWh PSP are required.
* Total ESS required: 60.63 GW BESS and 336.4 GWh PSP.
* **Incentivizing Domestic Manufacturing and R&D:**
* The Ministry of New and Renewable Energy (MNRE) has policies to promote domestic manufacturing of solar energy equipment.
* Implementing "Renewable Energy Research and Technology Development Programme (RE-RTD)" to develop indigenous technologies and manufacturing.
* **Manufacturing Zones for Power and Renewable Energy Equipment:**
* Government proposed a scheme for "Setting up of Manufacturing Zones for Power and Renewable Energy Equipment".
* The Ministry of Power has sanctioned a Brownfield manufacturing zone in Madhya Pradesh with an outlay of Rs. 400 Crore over the years 2022-23 to 2026-27.
* **Solar Manufacturing Incentives (Annexure-I):**
* Production Linked Incentive (PLI) Scheme for High Efficiency Solar PV Modules (outlay Rs. 24,000 crore).
* Domestic Content Requirement (DCR) for government-subsidized schemes.
* Imposition of Basic Customs Duty (BCD) on import of solar PV cells, modules, inverters, and solar glass.
* Exemption of Custom Duty on capital goods for manufacturing solar cells and modules.
* **Wind Manufacturing Incentives (Annexure-I):**
* Approved List of Models & Manufacturers (Wind) (ALMM (Wind)) mandates domestic Hub and Nacelle assembly / manufacturing.
* Mandatory sourcing of Major Wind Turbine Components from ALMM enlisted facilities.
* Current annual wind turbine production capacity is around 20000 MW.
**Impact Analysis**
**Government of India (MNRE, Ministry of Power):**
* **Impact:** Responsible for implementing the initiatives, managing the programs, and overseeing the manufacturing zones.
* **Action Required:** Continue implementing the outlined programs and policies, monitor progress, and make necessary adjustments.
**Renewable Energy Manufacturers (Solar and Wind):**
* **Impact:** Opportunity to benefit from incentives, expand manufacturing capacity, and access the domestic market.
* **Action Required:** Apply for PLI scheme, comply with DCR requirements, participate in RE-RTD program, and register in ALMM (Wind) for wind turbine manufacturers.
**Research Institutions:**
* **Impact:** Opportunity to participate in the Renewable Energy Research and Technology Development Programme (RE-RTD).
* **Action Required:** Engage with the MNRE and industry partners to develop indigenous technologies for renewable energy.
**Madhya Pradesh Industrial Development Corporation (MPIDC):**
* **Impact:** Selected to develop the Manufacturing Zone for Power and Renewable Energy Equipment (Pilot Project).
* **Action Required:** Develop the manufacturing zone at Mohasa Babai, Narmadapuram District and promote green manufacturing activities.
**Consumers and General Public:**
* **Impact:** May benefit from increased renewable energy availability, grid stability, and job creation in the renewable energy sector.
* **Action Required:** Be aware of the initiatives and support the adoption of renewable energy solutions.
Key Entities Referenced
Ministry of New and Renewable Energy (MNRE): The primary ministry responsible for policies promoting domestic manufacturing of solar and wind energy equipment.
Production Linked Incentive (PLI) Scheme: A scheme to incentivize domestic manufacturing of High Efficiency Solar PV Modules.
Domestic Content Requirement (DCR): A requirement under various schemes to source solar PV cells and modules from domestic sources where government subsidy is involved.
Approved List of Models & Manufacturers (Wind) (ALMM (Wind)): A list specifying the wind turbines and their manufacturers, mandating Hub and Nacelle assembly / manufacturing facility shall be in India.
Madhya Pradesh: The location where the Manufacturing Zone for Power and Renewable Energy Equipment (Pilot Project) is being set up.
GOVERNMENT OF INDIA
MINISTRY OF NEW AND RENEWABLE ENERGY
LOK SABHA
UNSTARRED QUESTION NO. 532
ANSWERED ON 03.12.2025
DOMESTIC MANUFACTURING OF SOLAR MODULES AND WIND TURBINES
532. SHRI YADUVEER WADIYAR
Will the MINISTER OF NEW & RENEWABLE ENERGY be pleased to state:
(a) whether the Government has undertaken an assessment of storage of readiness, grid balancing
infrastructure and power evacuation capacity across key renewable zones and if so, the details
thereof;
(b) the measures being taken to incentivize domestic manufacturing and R&D in solar modules,
wind turbines and battery technologies under Aatmanirbhar Bharat; and;
(c) whether the Government has identified specific States or clusters for accelerated renewable
energy industrialisation linking energy availability with job creation and green manufacturing hubs
and if so, the details thereof?
ANSWER
THE MINISTER OF STATE FOR NEW & RENEWABLE ENERGY AND POWER
(SHRI SHRIPAD YESSO NAIK)
(a) Yes, the Government has undertaken multiple assessments and planning initiatives related to
storage readiness, grid-balancing infrastructure and power-evacuation capacity in key renewable
energy zones. These include transmission planning up to 2030, development of new transmission lines
and substations under the Green Energy Corridor for renewable-power evacuation, establishment of
Renewable Energy Management Centres (REMCs) for improved forecasting and real-time
monitoring. Further, grid-stability measures including installation of STATCOMs and mandatory
compliance with CEA’s technical standards for grid connectivity also support integration and
balancing of renewable power.
Energy storage systems (ESS) are required to manage the intermittency and its requirements as per the
National Electricity Plan of Central Electricity Authority are give below:
BESS
Year
BESS PSP
By 2029-30 41.65 GW 208.25 GWh
By 2031-32 18.98 GW 128.15 GWh
Total ESS 60.63 GW 336.4 GWh
(b) The Ministry of New and Renewable Energy (MNRE), Government of India, has been consistently
bringing out policies to promote domestic manufacturing of solar energy equipment such as solar
panels. Various initiatives taken for domestic manufacturing of solar & wind equipment, inter-alia,
include those mentioned at Annexure-I.The Ministry is also implementing a “Renewable Energy Research and Technology Development
Programme (RE-RTD)” through various research institutions and industry to develop indigenous
technologies and manufacturing for widespread applications of new and renewable energy including
solar modules, wind turbines battery technologies and smart grids in efficient and cost-effective
manner in the country.
(c) The Government of India proposed a scheme for “Setting up of Manufacturing Zones for Power
and Renewable Energy Equipment”. As a pilot, Ministry of Power has sanctioned to set-up a
Brownfield manufacturing zone with an outlay of Rs. 400 Crore over the years 2022-23 to 2026-27.
Madhya Pradesh Industrial Development Corporation (MPIDC) was selected as the successful
proposer for developing the Manufacturing Zone for Power and Renewable Energy Equipment (Pilot
Project) at Mohasa Babai, Narmadapuram District, Madhya Pradesh. The zone facilitates green-
manufacturing activities and generates direct and indirect employment through the creation of an
integrated renewable-energy industrial ecosystem.
*****Annexure-I
Annexure-I referred to in reply of parts (b) of the Lok Sabha Unstarred Question
No. 532 to be answered on 03.12.2025
A. Initiatives taken to encourage domestic solar manufacturing, inter-alia, include:
(i) Production Linked Incentive (PLI) Scheme: The Government of India is implementing
the Production Linked Incentive (PLI) Scheme for High Efficiency Solar PV Modules, for
achieving domestic manufacturing capacity of Giga Watt (GW) scale in High Efficiency
Solar PV modules, with an outlay of Rs. 24,000 crore. Under the Scheme, Letters of Award
have been issued for setting up of 48,337 MW of fully/ partially integrated solar PV module
manufacturing units.
(ii) Domestic Content Requirement (DCR): Under some of the current schemes of the
MNRE, namely CPSU Scheme Phase-II, PM-KUSUM Components B & C, and PM Surya
Ghar: Muft Bijli Yojana, wherein government subsidy is given, it has been mandated to
source solar PV cells and modules from domestic sources.
(iii) Imposition of Basic Customs Duty on import of solar PV cells, modules, Solar
Inverters and Solar Glass: The Government has imposed Basic Customs Duty (BCD) on
import of solar PV cells, solar PV modules, solar inverters, and solar glass.
(iv) Exemption of Custom Duty on capital goods for manufacture of Solar Cells and
Modules: The Government has exempted customs duty on import of the goods specified
in List 41 of the notification No. 30/2024-Customs dated 23.07.2024, for the manufacturer
of solar PV cells and modules.
B. Initiatives taken to encourage domestic wind manufacturing, inter-alia, include:
Ministry has put in place a procedure to enlist type and quality certified wind turbines under
‘Approved List of Models & Manufacturers (Wind) (i.e. ALMM (Wind)). It mandates Hub
and Nacelle assembly / manufacturing facility shall be in India. Further, an amendment to
ALMM (Wind) issued mandating sourcing of Major Wind Turbine Components like blade,
tower, Gearbox, Generator and Special Bearings (Yaw, Pitch and Main Bearing) only from
manufacturing facilities enlisted in Approved List of Models & Manufacturers (Wind Turbine
Components) after inspection. Presently, 14 Manufacturers with 33 models with capacity
ranging from 225 kW – 5.2 MW are in the latest ALMM (Wind) list of the Ministry. The
current annual production capacity of wind turbines in the country is around 20000 MW.