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Why your rooftop solar system might not qualify for its subsidy anymore
If you installed — or are about to install — rooftop solar under PM Surya Ghar, there’s a DCR rooftop solar rule — a Domestic Content Requirement — that has nothing to do with your panels’ wattage or your inverter’s brand, and everything to do with where the components inside your modules actually came from.
Since June 1, 2026, India’s Ministry of New and Renewable Energy (MNRE) requires that modules used in subsidy-linked, net-metered, and open-access rooftop solar projects be certified under ALMM List-II — the Approved List of Models and Manufacturers for domestically made solar cells. Get this wrong, and the subsidy or net-metering approval can be denied, no matter how well the system was installed.
Most homeowners have never heard of ALMM. Most installers don’t explain it clearly. Here’s what actually changed, who’s exempt, and what to check before you sign anything.
What DCR actually requires — and where sources disagree
The rule most people repeat is that DCR compliance comes down to cell origin: a module using cells certified under MNRE’s ALMM List-II counts as compliant. That’s the definition several solar-industry publications use, and it’s the one that gets cited most often.
It’s worth knowing this isn’t universally how every source describes it — some guidance frames DCR as requiring domestic content at both the cell and module-assembly stage, not cell origin alone. MNRE has published its own formal clarification on DCR definitions under its schemes, but the underlying circular wasn’t something we could pull the exact defining language from directly for this piece. If your subsidy or net-metering approval hinges on this distinction, don’t take any single blog’s word for it — including this one. Ask your installer for the specific scheme document your project falls under, and confirm the DCR definition it actually uses.
For subsidy-linked and net-metered projects, your supplier has to generate a 16-digit DCR certificate number through the national NISE (National Institute of Solar Energy) portal. That certificate is what confirms compliance for subsidy disbursement and grid-connection approval. If an installer can’t explain what that certificate is or produce one for your specific modules, that’s worth pausing on regardless of which definition applies.
Where DCR rooftop solar rules are mandatory — and where they aren’t
Here’s the short version of the DCR rooftop solar rules — DCR/ALMM List-II compliance is required for:
- Government-tendered solar projects
- PM Surya Ghar residential rooftop installations (with one exception below)
- PM KUSUM Components B and C
- Any project claiming open access or net-metering grid benefits
It is not required for purely private, behind-the-meter commercial and industrial installations that take no government scheme, no subsidy, no open access, and no net metering. And there’s a specific carve-out inside PM Surya Ghar itself: residents who voluntarily give up the central subsidy — the “Give It Up” category, applied for through the PM Surya Ghar National Portal — can use non-DCR panels through March 31, 2027.
That last point matters for anyone doing the math on whether the DCR premium is worth it for their specific situation. Foregoing the subsidy to skip the requirement is a real, if unusual, tradeoff some buyers are making — and before you weigh that tradeoff at all, it’s worth checking whether you qualify for the current MNRE subsidy in the first place.
The exemption that saved delayed projects
The rule that created the most anxiety wasn’t the mandate itself — it was what happens to a system that was physically installed before June 1, 2026, but got stuck waiting on DISCOM (Distribution Company — your local electricity utility) commissioning approval past that date.
MNRE addressed this on June 15, 2026, with a one-time exemption: if 100% of the solar PV modules required for a project were installed before June 1, 2026, the project can bypass the new ALMM requirement, provided the delay in commissioning was attributable to the DISCOM rather than the installer or homeowner. The eligibility window ran one month from the June 15 memorandum, and qualifying projects needed geo-tagged photos, invoices, installation reports, and self-certification to claim it.
Separately, MNRE confirmed on its own site there would be no blanket extension of the ALMM List-II mandate beyond June 1, 2026 — “subject to Protection of Investments already made.” A further window through December 31, 2026 was opened specifically for commissioning net-metering and open-access renewable energy projects already in the pipeline. If you’re comparing how TNEB and KSEB handle net metering on either side of the Tamil Nadu–Kerala border, this breakdown covers what changes state to state.
None of this is a loophole to plan around going forward. It was relief for people already caught mid-installation when the rule changed — not a standing option for new projects. For most homeowners today, the DCR rooftop solar question is simpler than the exemption: check compliance before you sign, not after.
What to actually check before you sign
- Ask directly whether your project falls under a scheme that requires DCR/ALMM List-II compliance (subsidy, net metering, open access) — if none of those apply, the rule doesn’t touch you.
- Ask your installer for the 16-digit DCR certificate number, and confirm it was generated through the NISE portal for the cells actually going on your roof.
- If your installation is already underway and stuck on DISCOM approval, ask specifically whether it falls inside the June 15 exemption window and what documentation was filed for it — don’t assume it applies automatically.
- Check the ALMM List-II’s current revision before procurement, not an old one. As of its 8th revision (July 22, 2026), certified domestic solar-cell capacity under List-II stood at roughly 9.95 GW — still well short of India’s total rooftop demand, which is part of why compliant cells carry a cost premium and why the list keeps getting revised.
The real question to ask your installer
It isn’t “are your panels good.” It’s “can you show me the DCR certificate for the specific cells in my modules, and do you know which ALMM List-II revision they’re certified under.” An installer who answers that cleanly has actually done the compliance work. One who can’t is asking you to find out the hard way — at subsidy disbursement, not at signing. That single question tells you more about DCR rooftop solar compliance than any brochure will.
DCR Rooftop Solar Compliance Checklist
Before signing any contract for a DCR rooftop solar project — whether under PM Surya Ghar or a net-metered commercial system — verify these five things in writing:
- ALMM List-II module certification: Ask for the exact model number and manufacturer, then cross-check directly on the current MNRE ALMM List-II. A certificate from six months ago may not be valid today — the list updates regularly, and your DCR rooftop solar approval depends on the panel being listed at the time of commissioning, not at the time of purchase.
- Your subsidy route in writing: Are you applying through PM Surya Ghar (DCR panels mandatory) or going subsidy-free (non-DCR permitted through March 2027)? This single decision determines which panels are eligible for your DCR rooftop solar system. Get the installer’s recommendation in writing so there’s no confusion later.
- Net metering intention: DCR rooftop solar compliance is required for all net-metered systems — even if you are not claiming a subsidy. Confirm with your installer whether your project is being registered for net metering with your DISCOM before finalising the panel choice.
- Installation date documentation: If your modules were 100% physically installed before June 1, 2026, but your DISCOM commissioning is still pending, preserve dated photographic evidence and your work order. This documentation is what triggers the June 15 DCR rooftop solar exemption.
- A written ALMM guarantee from your installer: Any installer handling a DCR rooftop solar project should commit in the contract that the modules supplied are ALMM List-II certified at the time of installation. If they will not put this in writing, that is a serious red flag.

DCR Rooftop Solar: Common Questions Answered
Does the DCR rooftop solar rule apply to commercial and industrial systems?
Yes. The ALMM List-II mandate covers all grid-connected rooftop solar projects applying for net metering or open access — residential, commercial, and industrial. The trigger is grid connectivity and DISCOM approval, not the subsidy category. Commercial buyers need DCR rooftop solar-compliant panels to qualify for any net-metered setup under the current MNRE notification.
I installed non-DCR panels after June 1, 2026. What now?
The June 15 exemption window is closed for post-June 1 installations. For a DCR rooftop solar installation in this situation, you have two realistic options: ask your installer about switching to ALMM List-II certified modules before your DISCOM commissioning visit, or proceed with the existing panels and forfeit the subsidy and net-metering benefits.
Is there a meaningful price difference between DCR and non-DCR panels?
Domestically manufactured ALMM List-II panels typically cost 10–20% more than imported alternatives at the module level. However, the PM Surya Ghar subsidy (₹30,000 to ₹78,000 depending on system size) more than recovers this premium for most residential buyers. The right comparison for any DCR rooftop solar buyer is not DCR versus non-DCR on panel price alone — it is DCR panels with full subsidy versus non-DCR panels with no subsidy.
How often does MNRE update the ALMM list?
MNRE updates the ALMM lists on a rolling basis. Models are added when manufacturers are certified and can be delisted if compliance lapses. For any DCR rooftop solar project, always check the live MNRE ALMM List-II for the specific model your installer is supplying — not a printed version from an earlier date.
Not sure whether your rooftop solar quote is DCR-compliant, or whether you even need it to be? Talk to the Kondaas team — we’ll walk through your specific scheme eligibility before you sign anything.