The logo of Reliance Industries.
Credit: Reuters File Photo
New Delhi: Mukesh Ambani-led Reliance Industries Limited will get Rs 3,620 crore worth of government sops under the production linked incentive (PLI) scheme for manufacturing advanced chemistry cell (ACC) batteries, the Ministry of Heavy Industries said on Wednesday.
According to a statement released by the ministry, RIL has won the bid for setting up ACC battery manufacturing facility of 10 GWh (gigawatt-hours) capacity. Reliance emerged as the winner from among seven bidders for the tender that was put out in January this year.
Other companies, which were in the race for the government sops included ACME Cleantech Solutions Private Limited, Amara Raja Advanced Cell Technologies Private Limited, Anvi Power Industries Private Limited, JSW Neo Energy Limited, Lucas TVS Limited, and Waaree Energies Limited.
“The Ministry has awarded the 10 GWh PLI ACC capacity to the shortlisted bidder with highest the overall score, i.e., Reliance Industries Limited, and the remaining five shortlisted bidders are put in the waiting list as per their rank, starting from Rank II onwards,” the government said in a statement.
This is the second bid won by Reliance for ACC battery manufacturing. In the previous round of bidding conducted in 2022, RIL had won 5 GWh battery capacity. Out of the total 40 GWh battery capacity awarded under PLI scheme for ACC battery manufacturing RIL has got 15 GWh. In the earlier round, Ola Electric Mobility was awarded 20 GWh capacity and Rajesh Exports 5 GWh capacity.
In May 2021, the union cabinet had approved the PLI scheme on ‘National Programme on Advanced Chemistry Cell battery storage’ for achieving manufacturing capacity of 50 GWh of ACC with an outlay of Rs 18,100 crore.
ACC batteries are a new generation of advanced storage technology and mostly used in electric mobility. Through the PLI scheme the government seeks to make ACC battery manufacturing in India globally competitive.
According to the scheme guidelines, the beneficiary firm has to ensure achieving a domestic value addition of at least 25% and increase it to 60% within 5 years. The firms will also have to mandatorily invest Rs 225 crore per GWh for committed capacity within two years.