Question

UPSC Prelims 2017 Question:

The term ‘Domestic Content Requirement’ is sometimes seen in the news with reference to

1. Developing solar power production in our country
2. Granting licenses to foreign T.V. channels in our country
3. Exporting our food products to other countries
4. Permitting foreign educational institutions to set up their campuses in our country

Answer (Detailed Solution Below)

Option 1: Developing solar power production in our country

Detailed Solution

Explanation:

Domestic content requirement (DCR) mandates the use of both solar cells and modules manufactured domestically as per specifications and testing requirements fixed by the Ministry of New and Renewable Energy (MNRE).
The DCR was incorporated into the Jawaharlal Nehru National Solar Mission (JNNSM) or National Solar Mission (NSM) adopted in 2010 with the objective of developing domestic solar manufacturing and making India a solar manufacturing hub. The NSM had an initial target of 20 GW of solar power by 2022 which was, in 2015, revised to 100 GW.
- Jawaharlal Nehru National Solar Mission (JNNSM) required that 20 gigawatt (GW) of solar power should be generated from domestically produced modules or solar cells.

Therefore, option (1) is the correct answer.

Knowledge Box

The World Trade Organization (WTO) found that the mandatory domestic content requirement under JNNSM violated the National Treatment provision of the WTO agreement. The Indian government has significantly reduced the domestic content requirement after the initiation of proceedings at the WTO.
At the beginning of the mission, the domestic content requirement in the auctioned contracts was as much as 50% of the total output generating capacity. This value dropped significantly through the auctions and is currently down to 5%.

Subject: Environment | Renewable and Energy Resources

Latest UPSC Exam 2026 Updates

Last updated on January, 2026

→ Check out the latest UPSC Syllabus 2026 here.

→ Join Vajiram & Ravi’s Interview Guidance Programme for expert help to crack your final UPSC stage.

→ UPSC Mains Result 2025 is now out.

→ UPSC Notification 2026 Postponed for CSE & IFS which was scheduled to be released on 14 January 2026.

→ UPSC Calendar 2026 has been released.

→ UPSC Prelims 2026 will be conducted on 24th May, 2026 & UPSC Mains 2026 will be conducted on 21st August 2026.

→ The UPSC Selection Process is of 3 stages-Prelims, Mains and Interview.

→ Prepare effectively with Vajiram & Ravi’s UPSC Prelims Test Series 2026 featuring full-length mock tests, detailed solutions, and performance analysis.

→ Enroll in Vajiram & Ravi’s UPSC Mains Test Series 2026 for structured answer writing practice, expert evaluation, and exam-oriented feedback.

→ Join Vajiram & Ravi’s Best UPSC Mentorship Program for personalized guidance, strategy planning, and one-to-one support from experienced mentors.

→ UPSC Result 2024 is released with latest UPSC Marksheet 2024. Check Now!

→ UPSC Toppers List 2024 is released now. Shakti Dubey is UPSC AIR 1 2024 Topper.

→ Also check Best UPSC Coaching in India

Tags: current affairs UPSC Prelims 2017 UPSC Prelims 2017 Question