A PLI program for advanced chemistry cell batteries with an estimated investment of Rs 18,100 crore was approved by the government in May 2021.
According to Union Power Minister R K Singh, the government will introduce a new production-linked incentive (PLI) program for grid-connected batteries to reduce their price and increase the country’s adoption of electric vehicles.
The minister told the crowd gathered at the EV Ready India Dashboard of the OMI Foundation, “We are releasing another PLI to boost the quantities (of storage or battery).
“Adding volumes is the only way to reduce the cost of storage. Because of this, storage is eligible for a production-linked incentive (PLI),” he stated.
A PLI program for advanced chemistry cell batteries with an expected investment of ‘18,100 crore was approved by the government in May 2021. The program’s objectives were to produce 50GW of battery storage and draw in Rs 45,000 crore in local and foreign investment.
The minister claimed that the high cost of EVs is a result of the limited capacity for battery production.
“For us as a nation, the transition to electric mobility is crucial. You cannot be energy dependent, which has emerged as a power (economy). That is the main reason we are pushing for EV,” Singh remarked.
The minister added that India’s switch to EVs will lower emissions, assisting India in meeting its sustainability goals.
The minister emphasized that demand increased by 16% in the first half of October when discussing the rising need for power in India.
The installed capacity of electricity generation in India is 425 GW, and it will increase to 800 GW by 2030 because the country’s demand will have doubled by then.
The installed capacity of India’s non-fossil fuel-based power generating is 43% of the overall capacity, or 185 GW, according to the ministry.