Niti Aayog and RMI India published a survey report, which highlighted that there is a requirement for 260 gigawatt-hours of batteries by the end of 2030
In an effort to boost the growth of electric vehicles in the country, the government of India has recently unleashed a whopping Rs 8000 Crore for the purpose of manufacturing EV batteries. Now, the government is all set to commence the bidding process so that they can set-up top-notch battery production facilities, which will create a capacity of 20 gigawatt-hours. The bidding from probable investors is expected to start from December.
Prominent global companies such as South Korea's LG Energy Solution Ltd., and India’s Mahindra & Mahindra Ltd., Amara Raja Energy & Mobility Ltd., Exide Industries Ltd., and Larsen & Toubro Ltd., have also shown interest in setting-up the facilities during a meeting with the government officials. For a term of five years, the incentives will be provided to the companies if the batteries are completely manufactured in the country.
According to some media reports, Mukesh Ambani's Reliance Industries Ltd., Ola Electric Mobility Pvt., and Rajesh Exports Ltd. were given incentives by the government a year back for producing 30 gigawatt-hours of battery capacity. Speculating a massive spike in demand, Niti Aayog and RMI India published a survey report, which highlighted that there is a requirement for 260 gigawatt-hours of batteries by the end of 2030. According to them, the requirement will also help in boosting the EV market, consumer electronics, and grid-scale energy storage.
This battery incentive initiative undertaken by the government is in accordance with the aim of net zero emissions. Prime Minister Modi’s government has been working for a long time to reduce import duties for battery-backed cars to magnetize global firms such as Tesla. Apart from the battery incentive package, there is an additional incentive of $3.2 billion to spur the growth of electric vehicles in the country.