MNRE Issues Order Mandating Procurement of Locally Made Products

Department of Industrial Policy and Promotion had earlier issued a notification in June 2017, mandating public procurement should encourage Make in India policy.

Ministry of New and Renewable energy has issued an order mandating that public procurements should encourage Make in India to promote manufacturing and production of goods and services in India with a view to enhancing income and employment.

Department of Industrial Policy and Promotion had earlier issued a notification in June 2017, (DIPP notification no. P-45021/2/2017-B.E.-11) mandating public procurement should encourage Make in India policy of the Indian government. MNRE implemented this order for all renewable energy projects to be taken up by the government.

For wind power projects, apart from civil construction, preference shall be given to domestically manufactured/produced products such as the gear box, blades, rotor, generator, tower, hub, parts of controller, bearing and yaw mechanism components.

For off grid solar projects, preference shall be given to domestically manufactured/produced solar street lights, solar home lighting systems, solar power packs/micro grid, solar water pumps, inverter and batteries.

For grid connected solar projects, preference shall be given to domestically manufactured/produced solar PV modules and other components needed for a grid connected solar project.

The minimum percentage of locally sourced material for wind projects is 80%, while that of off-grid solar projects is 70% and for grid connected solar projects; the minimum requirement for procuring local content is 100% for solar modules and 80% for other products.

Click here to read the order