SME Times News Bureau | 21 Nov, 2021
Minister of Heavy Industries Mahendra Nath Pandey on Sunday said that the
Automotive Research Association of India (ARAI) should develop
technology to reduce the charging time for electric vehicles.
speaking at a press conference yesterday, after an industry interaction
meet organised by the Ministry of Heavy Industries in association with
ARAI, SIAM and ACMA to share information about the production linked
incentive (PLI) scheme for the automotive sector.
Minister said, "The auto field contributes to about 14-15 per cent of
GDP, which can go up to 25-30 per cent and can support the PM's vision
for making India a USD 5 trillion economy.The sale of electric vehicles
has increased drastically in the last few months due to the various
schemes and subsidies provided by the government."
to the challenges in EV adoption, including the time taken for
charging vehicles, he said that since charging is the main concern when
it comes to the use of EVs, the government has chosen 9 expressways
where 6,000 charging stations have been sanctioned and about 3,000 shall
be installed soon.
Pandey further stated that the Advanced Chemical Cell (ACC), which is
the main component of the EV battery, is currently imported and about
30 per cent of the cost of the EV is the cost of battery itself. He said
that this can be reduced if it is locally produced.
He further added
that this is possible because about 70 per cent of the material used in
the manufacturing of lithium-ion batteries is already available in
India. ‘’With these newly introduced PLI schemes, the government is
providing support up to Rs 362 crore per gigawatt in this sector of
EVs," Dr. Pandey said.
also highlighted the government's FAME I and II (Faster Adoption and
Manufacturing of Hybrid and Electric Vehicles) scheme, which has now
been extended by another two years to March 31, 2024.
Minister said with the production-linked incentive (PLI) scheme, it
will lead to an investment of Rs 42,500 crore and will further
accelerate manufacturing of components and batteries in India.
government is providing financial support up to 8-13 per cent for auto
component manufacturers and up to 13-18 per cent for EV manufacturers
through the scheme.This will also facilitate the creation of about 7.5
lakh new advanced-level employment opportunities," he added.
minister also mentioned that considering the increase in the usage of
drones in coming years for various applications, the Ministry of Heavy
Industries has sanctioned Rs 120 crore for research and other related
work in this regard.