India is about to start bidding for lithium-ion battery projects in order to plan to build a 50-GW lithium-ion battery production capacity in India, which is a further increase from the 40 GW previously proposed.
According to a senior official of the Indian government think tank NITI Aayog, in an interview with local media, the government will consider introducing financial incentives such as subsidies and tax cuts within a week, including the reduction of import and export taxes for successful bidders for up to 8 years, the lowest Alternative tax halving and other measures.
To ensure the timely establishment of the desired lithium-ion battery manufacturing base, it is expected that the government tender and project completion schedule will be very strict.
Official reports said, "NITI Aayog must complete the bidding within six months after cabinet approval. Successful bidders must establish production facilities by 2022, after which they will receive 8 years of incentives by 2030."
The government has sought advice from states on land supply and cooperation between battery manufacturers. Overall, the government may determine 5-20 locations, and companies interested in bidding will be invited to establish battery factories in the shortlisted locations.
The Energy Storage Alliance of India predicts that by 2025, the Indian energy storage market will increase to more than 300 GWh. Almost all lithium-ion batteries in India currently depend on imports. Therefore, India hopes to reduce its dependence on imports by building a lithium-ion battery manufacturing base.
In addition, the Indian government aims to ensure that electric vehicles account for 30% of car ownership by 2030.
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