The Indian government has tightened quality standards for solar PV modules, inverters, and storage batteries—boosting local manufacturing, challenging Chinese imports, and accelerating India’s transition to green energy.
The Union Ministry of New and Renewable Energy (MNRE) has introduced the Solar Systems, Devices, and Components Goods Order, 2025, revising the 2017 version to enforce stricter quality and efficiency standards for solar photovoltaic (PV) modules, inverters, and storage batteries. Effective 180 days from January 27, 2025, this move aims to boost product reliability, safety, and efficiency, ultimately supporting India’s ambitious renewable energy goals.
Impact on Domestic Manufacturers
Boost for Local Production:
- The mandatory BIS certification ensures higher quality control, which will benefit Indian manufacturers who comply with domestic regulations.
- Local players with advanced R&D capabilities can capitalize on the push for high-efficiency solar modules (minimum 18% for Mono Crystalline Silicon and 17% for Poly Crystalline Silicon).
Encouraging Innovation:
- Stricter efficiency benchmarks will push Indian companies to invest in innovation and develop competitive solar technologies.
- Startups and MSMEs specializing in storage batteries and solar inverters may receive increased investments.
Market Expansion & Competitiveness:
- The exemption for export-oriented products allows Indian firms to compete internationally while adhering to global quality norms.
- With greater trust in quality standards, Indian manufacturers can secure government tenders and increase private sector adoption of domestic solar components.
Challenges for Chinese Solar Players
Stricter Quality Compliance:
- China has traditionally dominated India’s solar market, supplying over 75% of PV modules. However, the new BIS compliance requirements could slow down Chinese imports that do not meet efficiency benchmarks.
- Chinese firms will need to align with Indian testing and certification processes, which could create delays and additional costs.
Reduced Market Share:
- With India promoting local manufacturing under Atmanirbhar Bharat, Chinese players may face tighter restrictions on low-cost imports.
- The Production-Linked Incentive (PLI) scheme for solar manufacturing further strengthens Indian companies, reducing dependency on China.
Opportunity for Premium Chinese Products:
- High-end Chinese solar PV modules with better efficiency and safety standards could still find its space in Indian market.
- However, smaller Chinese manufacturers, especially those relying on cheaper, lower-efficiency panels, may struggle.
Does This Create More Opportunities for Indian Manufacturers?
Yes! The QCO, 2025 will help Indian solar manufacturers gain a stronger foothold by ensuring a level playing field through stringent quality checks.
- Increased investments in local manufacturing will drive job creation and technological advancements in India’s solar sector.
- The government’s push for high-efficiency standards aligns with global trends, positioning India as a hub for premium solar technology.
- Indian firms can attract foreign investments and partnerships, especially in solar storage and advanced inverters.
Will It Help India Achieve Its Green Energy Targets?
Absolutely! The QCO, 2025 will play a crucial role in India’s renewable energy roadmap:
- By ensuring only high-performance solar products enter the market, India can maximize solar energy generation efficiency.
- The move aligns with India’s goal of 500 GW non-fossil fuel capacity by 2030 and reaching net-zero by 2070.
- Better quality control = longer-lasting solar panels = reduced e-waste and better sustainability.
The Solar Quality Control Order, 2025 is a game-changer for India’s solar industry. While domestic manufacturers gain a competitive edge, Chinese players will face challenges unless they upgrade their offerings. More importantly, the policy aligns with India’s green energy goals, ensuring sustainable growth in the renewable sector.
As India moves towards solar self-reliance, the focus now shifts to implementation, enforcement, and innovation—crucial factors that will determine the long-term success of this ambitious policy.