No Advisory Issued to Pause or Halt New RE Financing, Clarifies MNRE
The Ministry of New and Renewable Energy has clarified that it has not advised lenders to halt financing for renewable energy projects or manufacturing facilities. It, however, called for calibrated, well-informed financing across the solar manufacturing ecosystem and prioritise funding for upstream components manufacturing.
December 08, 2025. By Mrinmoy Dey
The clarification is issued as “At several places it is being reported that MNRE has issued advisory to lenders to pause fresh financing to Renewable Energy Projects amid significant overcapacity concerns”, the ministry stated.
As of October 31, 2025, the installed capacity from non-fossil sources stands at about 259 GW, with 31.2 GW added in the current financial year up to October 2025.
As reported by Energetica India earlier, MNRE has circulated to the Department of Financial Services and NBFCs like PFC, REC and IREDA the status of present installed domestic manufacturing capacities across various sectors of solar PV manufacturing. This includes solar modules and upstream stages like solar cells, ingots-wafers and polysilicon. It also covers ancillary equipment like solar glass and aluminium frames.
The purpose is to help financial institutions adopt a calibrated and well-informed approach while evaluating proposals for financing any manufacturing facility in the solar PV manufacturing sector. MNRE wants these institutions to explore and expand their solar PV manufacturing portfolio to upstream stages like solar cells, ingots-wafers and polysilicon, as well as solar module ancillaries like solar glass and aluminium frames. This is instead of being limited to financing solar PV module manufacturing facilities alone.
The Government of India is committed to make India self-reliant in solar PV manufacturing and establish the country as a major player in the global value chain. This commitment is supported through a comprehensive set of initiatives, including the PLI Scheme for High Efficiency Solar PV Modules and measures to provide a level playing field for the Indian manufacturers. The catalytic effect of these interventions has resulted in an expansion in solar module manufacturing capacity, from just 2.3 GW in 2014 to around 122 GW enlisted in MNRE’s Approved List of Models and Manufacturers (ALMM) today, stated MNRE.
The ministry further asserted that it remains committed to further strengthening the solar manufacturing ecosystem through continued policy support, infrastructure development, and innovation. The Ministry will continue engaging with stakeholders to ensure India’s solar journey remains inclusive, competitive, and future ready, it said.
please contact: contact@energetica-india.net.
Rajat Singh
Co-founder and CEO
Why Unified Intelligence is Key for C&I Renewables? Rajat Singh of EarthSync Answers
Nidhi Sharma
Director
R&D is an Integral Part of Zuvay Technologies' Growth Strategy, Says Director Nidhi Sharma
Anilkumar Mukundan
President – Sales
How Can India–Sweden Partnership Drive Decarbonisation?
Rajiv Kumar
CEO
What’s Behind Vedanta Aluminium’s Clean Energy Push? Rajiv Kumar Answers
Nirmal Reddy
President
Electric Mobility Success Depends on Execution, Not Intent, says ETO Motors’ Nirmal Reddy