Govt announces re-bidding of PLI incentives for 10GWh Advanced Chemistry Cell manufacturing scheme

In May 2021, the Cabinet had approved the technology agnostic PLI Scheme on 'National Programme on ACC Battery Storage’ for achieving manufacturing capacity of 50 GWh of ACC with an outlay of Rs.18,100 crore.

The Union Ministry of Heavy Industries (MHI) on January 24 announced the re-bidding of Production Linked Incentives (PLI) for 10 GWh Advanced Chemistry Cell (ACC) manufacturing.

With this bidding process, prospective applicants can submit their bids to set-up domestic manufacturing facility for ACC, which will help them qualify for incentives under PLI ACC scheme.

Bidding process details

According to a government release, the bidding process will be held online through a transparent two-stage process, under the Quality and Cost-Based Selection (QCBS) mechanism through CPP Portal.

The tender documents are available from today, January 24, and pre-bid conference shall be held on February 12. The due date for bidding is April 22 bids will be opened on April 23.

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Union Minister of Heavy Industries Mahendra Nath Pandey, said that MHI is supporting the growth of India's manufacturing capabilities and exports in the automobile and automobile component sector and MHI is fully committed for taking forward Prime Minister Narendra Modi's resolve of a self-reliant ('Atmanirbhar') and developed India ('Viksit Bharat').

Prime Minister Narendra Modi has adopted the vision of making the country net zero by 2070. Keeping this in mind, in recent years, MHI has taken several initiatives to promote environment friendly product manufacturing in the automotive industry, such as PLI-Auto, PLI - Advanced Chemistry Cell and FAME-II schemes, he further added.

EV Push

The Government through MHI is committed to provide clean and green public transport through Faster Adoption and Manufacturing Electric Vehicles (FAME-II) scheme.

It also aims to reduce dependence on fossil fuel and to address the issue of vehicular emissions.

Also Read | Ministry of Heavy Industries advocates high-tech localisation for global competitiveness

In May 2021, the Cabinet had approved the technology agnostic PLI Scheme on 'National Programme on ACC Battery Storage’ for achieving manufacturing capacity of 50 GWh of ACC with an outlay of Rs.18,100 crore.

The first round of the ACC PLI bidding was concluded in March 2022, and three companies were allocated a total capacity of 30 GWh, and the program agreement with selected companies was signed in July 2022.

MHI and the government has also released Request for Proposal (RfP) for Shortlisting and Selection of bidders under the PLI Scheme 'National Programme on ACC Battery Storage’ for setting up of Battery Manufacturing Units with a total manufacturing capacity of 10 GWh with maximum budgetary outlay of Rs 3,620 crore.