Govt includes CNG, LNG, 98 other advanced tech under auto PLI scheme

Last Updated on January 16, 2023 by Admin


The Centre has included more than 100 advanced technologies, including alternate fuel systems such as compressed natural gas (CNG), alternate fuel systems, among others under the production-linked incentive (PLI) scheme for the automobiles.

Bharat Stage VI compliant flex fuel engines, electronic control units (ECU) for safety, advanced driver assist system, e-quadricyle, among others will also be covered under the scheme.

The scheme aims to boost manufacturing capability of the automobile sector, including the electric and hydrogen fuel cell vehicles.

The Union Cabinet has in September approved the scheme with an outlay Rs 25,938 crore. The scheme aims to incentivize high-value advanced automotive technology vehicles and products such as sunroofs adaptive front lighting, automatic braking, tyre pressure monitoring system, and collision warning systems, among others for the auto industry.

The incentive structure aims to encourage industry to make fresh investments for indigenous global supply chains of advanced automotive technology products.

The scheme for the is open to existing automotive companies as well as new investors who are currently not in the automobile or auto component manufacturing business.

Auto industry body Siam (Society of Indian Automobile Manufacturers) said it is thankful and compliments the Ministry of Heavy Industries for coming out with a structured list of PLI parts and procedural details in very short time.

“Our preliminary observation is that the list of AAT parts is broad-based and well – structured across themes. SIAM members will study in detail both the list and the procedure and discuss with MoHI with feedback, if any,” said Rahul Bharti, chief engagement officer, Siam.

The inclusion of e-quadricyle is another highlight of the notification and set to benefit companies including Bajaj Auto, Mahindra and Mahindra. While Bajaj Auto already sells the internal combustion engine powered (ICE) Qute in the export markets, Mahindra showed the battery operated quadri at the last auto expo but has yet to launch it commercially.

Till now the government has included only two wheelers and four wheelers under the scheme.

mail Dear Reader,

Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.

We, however, have a request.

As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.

Support quality journalism and subscribe to Business Standard.

Digital Editor


Source link