The Government has said that it has received bids from seven companies including Reliance and JSW Neo Energy regarding production-linked incentives.
The Union Cabinet, In May 2021 had approved the Production Linked Incentive(PLI) scheme for the National Programme on ACC battery storage with an outlay of Rs.18,100 crore. The government offers incentives to firms to boost local production for battery manufacturing. This time various companies including Reliance and JSW Neo Energy have bidded.
What is The PLI Scheme approved by The Cabinet?
The Union Cabinet, In May 2021 had approved the Production Linked Incentive(PLI) scheme for the National Programme on Advanced Chemistry Cell battery storage with an outlay of Rs.18,100 crore. The target is to accomplish a domestic manufacturing capacity of 50 GigaWatt hours (GWh) of battery storage.
The Scheme also aims to give a boost to the ecosystem for electric mobility and battery usage In India and it also tends to further improve India’s manufacturing facilities for advanced chemistry Cells and Batteries.
The first round for this bidding was taken into action in March 2022, Three Companies were granted a capacity of 30 GigaWatt hours(GWh) in total, Ola Cell Technologies won the largest share of 20GWh in its bag, while ACC Energy Storage and Reliance New Energy Battery Storage bagged incentives worth for 5GWh each, The agreement with these selected companies was signed in July 2022.
Which Companies Have Bid This Time?
The government on Tuesday said that it has received bids from Seven companies including Reliance Industries and JSW Neo Energy, The other bidders on this list include ACME Cleantech Solutions Private Limited, Amara Raja Advanced Cell Technologies Private Limited, Anvi Power Industries Private Limited, Lucas TVS Limited, and Waaree Energies Limited, for production-linked incentives to set up battery manufacturing facilities of 10 GWh capacity with an outlay of Rs.3,620 crore. With this, The Ministry has said the scheme has received an amazing response of 7 times the Manufacturing Capacity of 10GWh.
Conclusions
As India is committed towards renewable energy, energy storage is going to play a crucial role, And The Union Minister of Power, New and Renewable Energy has said that the government is considering introducing another Production Linked Incentive scheme for batteries. With various schemes coming various companies will tend to bid up for these Production-Linked Incentives Ahead.
Disclaimer: This post has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.