Shares of Suzlon Energy jumped 8% on Monday after the Ministry of New and Renewable Energy (MNRE) issued a draft notification mandating local procurement of key components used in wind turbine manufacturing. The move aims to boost domestic production and reduce reliance on foreign suppliers, particularly Chinese manufacturers.
Government’s New Policy
The MNRE’s Revised List of Models & Manufacturers (RLMM) now requires wind turbine manufacturers to source blades, towers, gearboxes, and generators from Indian vendors. Additionally, companies must establish data centers and R&D facilities within India within six months.
Impact on Suzlon Energy
Suzlon Energy, one of India’s leading wind energy firms, saw its stock price rise to ₹59.22, marking a 7.5% increase. The company’s CEO, JP Chalasani, previously highlighted challenges in executing wind energy projects but expressed optimism about the government’s push for local manufacturing.
Industry Reaction
The policy is expected to pressure Chinese OEMs while strengthening Indian manufacturers like Suzlon Energy and Inox Wind. Inox Wind’s stock also gained 3.7%, trading at ₹168.9. Analysts believe the mandate will enhance India’s wind energy sector, ensuring greater self-sufficiency and job creation.
