The government provides Rs 1,500 crore for the renewable, electric gears manufacturing sector

The Centre has formulated a subsidy of Rs 1,500 crore for establishing three such zones within three years at the localities to be elected through online auctions.



New Delhi (Natural Energy News): The government proposes to set up special manufacturing zones for electric and renewable equipment in the country. The Central government has formulated a subsidy of Rs 1,500 crore for establishing three such zones within three years at the localities to be elected through online auctions.


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According to the proposal, states offering land and electricity at the lowest cost, among other incentives, will get to establish the area. A senior government official said that the goal of the plan is to limit indigenization and imports to organize independence in power and renewable energy appliance. The region will get a boost from local manufacturing with a single-window clearance for land, water, common test facilities, low-cost power supply and necessary infrastructure.

“States will be appointed to submit proposals giving at least 300 acres of land for the establishment of manufacturing zones for renewable and power appliance. Officials said the proposed electricity cost, land cost and other incentives, including infrastructure for setting up the manufacturing sector, would have to be indicated.

Selected states will have to build special purpose vehicles, which will be responsible for setting up manufacturing along with common infrastructure and testing facility. The government plans to set a rigid deadline for the establishment of common infrastructure, test facilities, land allocation and manufacturing units. On 23 July, India amended its General Financial Rules to prohibit public procurement from land-sharing countries with India on the basis of national security. Subsequently, the country banned non-local suppliers in bidding for contracts to supply about 110 goods and services to power plants.


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In addition, on 2 July, the country announced to test all imported devices used in the power supply system for malware, imposing virtual restrictions on imports from countries such as China and Pakistan.

Last month, Prime Minister Narendra Modi hinted at an incentive for local solar cells and module manufacturing, saying that the demand for these gears was expected to increase to 36 GW in the next three years.


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