"PLI Scheme Attracts Surge of Bids: 7 Companies Vying for Giga-Scale ACC Manufacturing Contracts"

The Ministry of Heavy Industries (MHI) announced on Tuesday that it has received seven bids under the global tender for re-bidding of production-linked incentives (PLI) for 10-GWh Advanced Chemistry Cell (ACC) manufacturing. This re-bidding process was initiated after the announcement on January 24, 2023.
The list of bidders who have submitted bids for the tender includes ACME Cleantech Solutions Private Ltd, Amara Raja Advanced Cell Technologies Private Ltd, Anvi Power Industries Private Ltd, JSW Neo Energy Ltd, Reliance Industries, Lucas TVS, and Waaree Energies. The combined capacity of the submitted bids amounts to 70 GWh, demonstrating significant interest from industry players.
The overwhelming response to this tender reflects the high demand for production incentives in the ACC manufacturing sector. The bids received are seven times the manufacturing capacity to be awarded under the scheme, which is set at 10 GWh. ACC technology, also known as advanced chemistry cell batteries, is a critical component of energy storage systems, including lithium-ion batteries.
A pre-bid meeting for the PLI ACC scheme was held on February 12, and the last date for submitting applications was April 22 through the Central Public Procurement Portal. The technical bids were opened on April 23. This PLI ACC scheme aims to promote the manufacturing of technology-agnostic Advanced Chemistry Cells in India.
The Union Cabinet approved the PLI scheme for the 'National Programme on Advanced Chemistry Cell (ACC) Battery Storage' in May 2021, with a budget of ₹18,100 crore for achieving a manufacturing capacity of 50 GWh. The initial round of bidding for this scheme concluded in March 2022, with three firms selected to develop a total capacity of 30 GWh. The programme agreement with these selected firms was signed in July 2022.
Given the enthusiastic response from industry, this second round of bidding is expected to further accelerate the establishment of ACC manufacturing units in India. The budget for this phase has a maximum outlay of ₹3,620 crore, with the goal of adding 10 GWh of ACC manufacturing capacity. The MHI is expected to proceed with the selection and shortlisting of successful bidders for this phase in the coming weeks.
HBL