India is planning to offer subsidies to boost domestic manufacturing of electric vehicle (EV) batteries. The government is considering a production-linked incentive (PLI) scheme. This scheme would provide incentives to companies setting up battery cell manufacturing plants in India.
The scheme is similar to the one already implemented for solar cells and modules. Incentives would be based on the number of battery cells produced and would be phased out over eight years.
The government has set a target to achieve a manufacturing capacity of 50 gigawatt hours (GWh) of battery cells by 2030. In order to reach this goal, the government has implemented the Production Linked Incentive (PLI) scheme.
These initiatives are part of the government’s efforts to promote the adoption of EVs in India. They have set a target for 30% of all new vehicles sold in India to be electric by 2030.
The PLI scheme is seen as a positive step that will attract investment, create jobs, reduce dependence on battery imports, and make EVs more affordable.
