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The move has come to avoid misuse of policy.
The Government of India (GoI), through the Ministry of New and Renewable Energy (MNRE), has issued a memorandum titled - “Penalties for violation of norms of Domestic Content Requirement (DCR) under Solar PV power projects under MNRE's Schemes / Programmes”.
The memorandum was published on the MNRE website stated that, “In order to avoid misuse of policy, it has been decided that with respect to solar PV power projects under MNRE’s Schemes/ Programmes, where Domestic Content Requirement (DCR) has been mandated in a WTO compliant manner, the following actions shall be taken by MNRE or any agency acting on behalf of MNRE for violation of DCR provisions prescribing use of domestically produced cells and modules.”
The government will take strict actions such as - it can file a criminal case under IPC 420 & related sections, blacklist developer for 10 years, forfeit relevant Bank Guarantee(s), disciplinary case against the officers of concerned CPSU/State Government, and any other action, in addition to these.
Go through the MNRE website for more information by clicking here.