Solar Panel Case: MNRE Removes DCR Clause From 5 GW Phase-II Batch-IV VGF Scheme

The amendment comes in response to the US allegation that India had not complied with the World Trade Organisation’s ruling in the solar panels dispute case.

In a significant development, the Ministry of New and Renewable Energy (MNRE) has announced an amendment for the implementation of a scheme for setting-up of more than 5 GW of grid-connected solar PV power projects with Viability Gap Funding (VGF) under Batch-IV Phase-II of Jawaharlal Nehru National Solar Mission (JNNSM), dated March 14, 2016.

The amendment comes in response to the US allegation that India had not complied with the World Trade Organisation’s ruling in the solar panels dispute case. This is why, according to the notification issued by the Ministry, it has canceled several projects related to its domestic content requirement (DCR) and stated that it has complied with the DSB ruling.

The notification has deleted the whole para 3.2 (ix)and 3.9 in the amendment provsion. In the existing provision, it had stated Domestic Content Requirement (DCR): “MNRE may fix some quantity of power to be procured with domestic content requirement of cells and modules made in India depending on availability and price.”

Besides the amendments have been made in other clauses. For more information that shows how the new statement and provision from different clauses of the scheme have been deleted and/or amended, respectively, go through the notification here.