The government is committed to global companies to establish mfg units for solar cells, batteries, infra load
New Delhi, July 5 () The government will launch a plan to attract global firms to establish mega manufacturing plants in India for solar cells, batteries and solar charging infrastructure through auctions and provide tax benefits to these investments.
The plan was proposed in the General Budget presented by Finance Minister Nirmala Sitharaman on Friday.
The government will launch a plan to invite global companies through transparent tenders to establish mega manufacturing plants in areas of advanced technology and advanced technology such as semiconductor manufacturing, he said.
The finance minister said the scheme will include units in the fields of photovoltaic solar cells, lithium batteries, electric solar charging infrastructure, computer servers, laptops, etc.
The government will grant exemptions from income tax linked to the investment under 35 AD of the Income Tax Law and other indirect tax benefits.
The inadequate manufacturing capacity of domestic solar equipment has been a problem in recent years, especially in light of India's ambitious renewable energy target of 175 GW by 2022.
According to industry estimates, the manufacturing capacity of solar cells and modules in the country is approximately 12 GW. Project developers rely heavily on equipment imports to configure solar power capabilities in India.
According to the Economic Study presented in Parliament on Thursday, India has a potential of USD 30 billion of annual investment in renewable energy in the next decade and even beyond that, in view of the goal of having 175 GW of clean energy for 2022
In the budget, the government has proposed an investment of 12,353.81 million rupees by the Renewable Energy Development Agency of India and the Solar Energy Corporation for this fiscal year, compared to 10,835.14 million. Rupees in 2018-19. KKS