Rule change could make it difficult to import solar modules

A note was published last Monday (11/11/2019) on the SISCOMEX website that changes the rules for importing some products into Brazil. SISCOMEX (Integrated Foreign Trade System) is a system maintained by the MDIC (Ministry of Economy, Industry, Foreign Trade and Services). The note, reproduced below, could affect the import of photovoltaic modules and caused concern for the solar energy market in the country.

The alert was made to Canal Solar by the director of Talesun Brazil, Alex Alonso, who reported that since Wednesday morning (13/11) several customers, companies that distribute photovoltaic modules, were reporting that their cargo was being held at the port as a consequence of this sudden change in rules.

The photovoltaic solar energy sector is a major job generator in Brazil, with an extensive import, manufacturing and service chain. The market was strongly structured based on the import of photovoltaic modules from China, a country that holds almost all of the world's production of this product.

O Canal Solar also spoke with Daniel Pansarella, sales manager at Trina Solar in Brazil and member of the fiscal council of ABSOLAR – Brazilian Association of Photovoltaic Solar Energy. According to Pansarella, the rules may actually affect some operations in the sector. However, the main distributors of solar products have already contacted INMETRO and are reversing the scenario, at least with regard to the import of products whose manufacturers have representation in Brazil and are themselves responsible for the registration and approval of their products in the country, as is the case with Trina Solar. He also added that some brands of photovoltaic modules that do not have a presence in Brazil and are registered by “rent-to-registration” companies may actually face difficulties with INMETRO's new positioning.

“Rent for registration” companies may actually face difficulties with INMETRO’s new positioning.

Understand what's going on

The import of photovoltaic modules in Brazil has always been guided by ordinance 649/2012, which requires INMETRO approval to grant an import license for photovoltaic modules. According to the ordinance, the import license is granted to a legal entity that is responsible for the approval and registration of the product (and brand) in Brazil. However, the ordinance opens up the possibility for other legal entities to import with the authorization of the license holder.

In compliance with this ordinance, global manufacturers of photovoltaic modules established offices in Brazil and had their products certified by INMETRO, enabling the extension of the import license to their customers, companies that import and distribute modules in Brazil.

Ordinance 516/2016 was later published, which excludes the possibility of companies importing products with the license of another company. According to the interpretation of this ordinance, only the company that has the registration can import a certain product. As a consequence of this, each importer would have to individually carry out certification of their photovoltaic modules at INMETRO.

The import of photovoltaic modules has always been guided by ordinance 649/2012. With the publication of SISCOMEX note 061/2019, the import of photovoltaic modules is now guided by ordinance 516/2016, which could halt import operations already underway and cause some confusion in the market.

According to the latest information received by the Canal Solar In the late afternoon of Wednesday (13/11), several companies had already contacted INMETRO and the situation was being reversed. A new note will possibly be released, according to sources heard by the Canal Solar.

Complementation (14/11 – 9:09)

On Wednesday afternoon (13/11) a new note (062/2019) was published on the SISCOMEX website, rectifying the previous one: http://www.siscomex.gov.br/importacao/importacao-n-062-2019/ With this note, instead of imposing the requirement for all compulsory certification products, the rule was set only for products dependent on the Supplier's Declaration of Conformity. Import licenses for photovoltaic modules are now being issued normally.