India Regulations P2 Reference 4 min read Reviewed July 8, 2026 Nimesh Katariya Nimesh Katariya

DCR (Domestic Content Requirement)

Domestic content requirement (DCR) means solar modules made in India from Indian cells. See which schemes need DCR, how it differs from ALMM and how to verify.

Quick answer

DCR (Domestic Content Requirement) means a solar project must use PV modules manufactured in India from solar cells also made in India. The Ministry of New and Renewable Energy applies DCR to government-supported schemes such as the CPSU Scheme Phase II, PM-KUSUM and subsidised PM Surya Ghar rooftop systems, to build domestic manufacturing capacity.

Domestic content requirement (DCR) rules decide which modules a subsidised or government solar project in India may use. This entry is for EPCs, rooftop installers, procurement teams and homeowners claiming subsidy who need to know what DCR means, which schemes require it and how it differs from ALMM.

What is the domestic content requirement (DCR)?

DCR is a sourcing rule: both the solar cells and the finished module must be manufactured in India.

DCR vs. ALMM

RequirementCoverageVerifies
ALMMMost subsidized/govt projectsQuality + manufacturer registration
DCRSpecific govt schemes onlyIndia-manufacture provenance
BothGovernment CFA projectsQuality + domestic origin

Where DCR Comes Into a Project

DCR is a provenance test, not a quality test, it asks where a module was made, not how well it performs. Consider a residential rooftop system built under a state subsidy that draws CFA: the homeowner isn’t free to pick any ALMM-listed module. The chosen brand also has to appear on the DCR-eligible list, meaning both the solar cells and the module assembly happened in India.

The same rooftop system installed without CFA support has no such restriction and can use any ALMM-listed module, domestic or imported. This is why two visually identical residential installs can have different module sourcing rules purely based on whether government subsidy money is involved.

Every DCR-eligible module still has to clear BIS Solar certification on top of the DCR check, BIS verifies the module meets Indian safety and performance standards, while DCR separately verifies where it was manufactured.

Key Takeaways

  • DCR = India-made module + cell requirement for government solar projects.
  • Distinct from ALMM (which verifies quality).
  • DCR-eligible modules are an ALMM subset.
  • Required for CPSU Phase II, some CFA projects, PM-KUSUM.
  • Verify via MNRE-issued DCR certificate at point of purchase.

DCR compliance is one detail among many that a design and permitting package has to get right before a subsidized project can be signed off, alongside the state-specific processing steps covered in Solar Permits India: State-Wise Processing Times 2026.

Because DCR turns on module provenance rather than performance, it’s worth pairing this term with how solar modules are specified and sourced for a project before the eligibility question is even asked. Teams handling CFA-linked rooftop or government-tender work should confirm DCR status early in the design phase, our Solar Permit Design service accounts for module eligibility documentation as part of the submittal package.

Disclosure: Heaven Green Energy is a Heaven Designs group company.

Frequently Asked Questions

4 commonly searched questions about DCR (Domestic Content Requirement).

What is the domestic content requirement (DCR) for solar?
The domestic content requirement is an MNRE rule that schemes receiving government support must use modules made in India with Indian-made cells. Imported cells assembled into modules in India do not qualify as DCR. Suppliers provide a DCR certificate or declaration for each project.
Which solar projects require DCR modules?
DCR applies to MNRE-backed schemes, including the CPSU Scheme Phase II, PM-KUSUM components and rooftop systems claiming central financial assistance under PM Surya Ghar. Private projects without subsidy are not bound by DCR, though they still follow ALMM rules where those apply.
How is DCR different from ALMM?
ALMM is the approved list of manufacturers and models, focused on quality and factory approval. DCR is a provenance rule about where the cells and modules were made. A DCR module must also come from an ALMM-listed manufacturer, but many ALMM-listed modules are not DCR.
Does DCR apply to every rooftop solar system in India?
No. DCR applies when the system claims central financial assistance or falls under a scheme that requires it. A homeowner paying fully without subsidy can usually use any ALMM-listed module. Check the DISCOM and scheme rules before choosing modules.

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