₹50,000 Cr Wind Investment in India At Risk Over New Localisation Rule.

A recently proposed rule by the Ministry of New and Renewable Energy (MNRE) mandating significantly higher indigenisation of wind turbine components has met with strong opposition from the wind energy industry, with leaders cautioning that the move could jeopardise investments worth ₹50,000 crore.

Industry executives have reportedly been writing to the ministry seeking more time or modifications to the proposed compliance requirements, which they argue are overly stringent for immediate implementation.

The contentious rule is detailed in a 'Draft amendment to Procedure for inclusion/ updating Wind Turbine Model in the Revised List of Models and Manufacturers of wind turbine (RLMM),' issued by the ministry on April 17.

Under the draft amendment, the ministry states that it will only approve a wind turbine model for sale and inclusion in the RLMM list if key components – specifically the blades, tower, gearbox, and generator – are all manufactured locally within India. The RLMM list is crucial as it approves wind turbine models for use in projects eligible for certain benefits or grid connectivity.

An industry leader, who requested anonymity to speak freely on the sensitive issue, stated that the proposed rule could potentially endanger a substantial ₹50,000 crore of upcoming and planned investments in the sector, highlighting concerns about supply chain readiness and the feasibility of rapidly scaling up local manufacturing for all critical components.