Khaitan & Co advised the Ministry of Heavy Industries and NITI Aayog on the National Programme for Selection of Manufacturers for Setting Up Manufacturing Capacities for Advance Chemistry Cell (ACC) under the Production Linked Incentive (PLI) Scheme.
The manufacturing facility would have to be set up within a period of two years. The incentive will be disbursed thereafter over a period of five years on sale of batteries manufactured in India.
A total of four companies have been selected for incentive under the PLI Scheme for ACC Battery Storage. This includes Reliance New Energy Solar Limited; Ola Electric Mobility Private Limited; Hyundai Global Motors Company Limited and Rajesh Exports Limited.
Khaitan & Co was involved in the documentation for the programme and in the process of bid evaluation. The total outlay of the PLI Scheme for ACC battery storage is USD 2.5 Billion and seeks to install 50 GWh of manufacturing capacity. The advisory team from Khaitan & Co included Akshay Malhotra (Partner), Kush Saggi (Senior Associate) and Rohan Agarwal (Associate).
This programme would complement the Government’s ambitious target of migration to electric vehicles and energy storage from renewables for battery storage.