India Plans Higher Solar Module Efficiency Rules by 2027

The solar landscape in India is about to see a significant shift. The MNRE has issued a draft notification proposing to raise the minimum efficiency thresholds for solar photovoltaic (PV) modules under the Approved List of Models and Manufacturers (ALMM). The move effective from 1 January 2027 (and further tightening in 2028)  is aimed at phasing out lower-efficiency modules and raising the performance bar for all government-supported and large-scale solar projects nationwide.

What are the proposed changes?

Here’s how the new thresholds stack up, depending on application and module technology:

• Utility / Grid-Scale Projects

  • Crystalline-Si (c-Si) modules: from current 20.0% to 21.0% in 2027, then 21.5% in 2028.

  • Thin-film Cadmium Telluride (CdTe) modules: from 19.0% to 20.0% in 2027, then 20.5% in 2028.

• Rooftop Solar & Solar Pump Projects

  • c-Si modules: from 19.5% to 20.5% (2027), then 21.0% (2028).

  • CdTe modules: from 18.5% to 19.5% (2027), then 20.0% (2028).

• Off-grid / Small-capacity (<200 Wp) & Other Applications

  • Both c-Si and CdTe modules: thresholds to rise to 19.0% in 2027, then 19.5% in 2028.

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Importantly, modules currently enlisted under ALMM — or those to be enlisted soon — that don’t meet the revised thresholds will be delisted once the new norms come into effect.

Why is MNRE doing this?

1. Raise the Quality & Performance Bar

With rapid advances in solar PV technology globally from Mono-PERC and TOPCon to emerging HJT and high-performance thin-film variants module efficiencies have improved significantly. By increasing the minimum thresholds, MNRE aims to ensure that India’s solar installations deploy top-tier, high-efficiency modules rather than outdated, low-performance ones. This will lead to higher energy yield per panel, greater reliability, and better long-term returns.

2. Phase Out Obsolete Modules & Encourage Innovation

The updated norms serve as a filter against obsolete technologies. Manufacturers will be pushed to upgrade production lines, adopt the latest PV technologies, and invest in higher-quality manufacturing — which in turn will strengthen the domestic solar manufacturing ecosystem.

3. Support India’s Solar Growth Goals Sustainably

India’s module manufacturing capacity is projected to rise substantially — from about 109 GW currently to roughly 165 GW by March 2027. By ensuring more efficient modules are deployed, this capacity growth aligns with higher-quality output and helps in achieving long-term sustainability and grid stability objectives.

What does this mean for developers, businesses & end-users?

• Developers / EPC Contractors: Projects awarded under government schemes must only use ALMM-compliant modules. The new standards mean that low-efficiency modules currently in inventory might become unusable for new government tenders post-2027.

  
  

• Businesses & Commercial Buyers (like you at ReNova Pulse Energy): This is a chance to lock in high-efficiency modules now — ensuring better lifetime performance, future-proofing investments, and potentially higher returns (through better yield, lower balance-of-system costs per unit energy).

  
  

• Manufacturers & Suppliers: There will be a push for upgrading module designs and manufacturing lines. Those not willing to upgrade may risk being delisted.

• End Consumers / Rooftop and Small-scale Users: The stricter norms translate to better-performing solar systems, higher energy generation per installed kW, and improved long-term reliability.

  
  

Why this change matters — especially for firms like ReNova Pulse Energy

For a company like ReNova Pulse Energy, which focuses on solar panels, inverters, and solar heat pumps, this policy shift provides a strong opportunity:

• You can differentiate your offerings by emphasizing high-efficiency modules that meet or exceed the upcoming MNRE standards.

• You can tailor proposals not just for compliance, but for long-term value — clients will appreciate the higher energy output, better returns on investment, and durability.

• With growing domestic manufacturing capacity, sourcing compliant high-efficiency modules is increasingly feasible, reducing dependence on imports and supply uncertainties.

Conclusion

The MNRE’s draft proposal to raise minimum module efficiency marks a pivotal moment for India’s solar industry. It signals a shift from volume-driven deployment toward quality-driven, performance-oriented growth. For manufacturers, developers, and solar service providers — this is a call to upgrade, adapt, and align with next-gen solar standards. For businesses and end-users, it opens doors to more efficient, reliable, and future-proof solar installations.

As India accelerates toward its renewable energy targets, embracing these higher-efficiency norms will help ensure that solar power remains not just abundant, but also robust, efficient, and sustainable.