India Receives Robust Response to ACC Manufacturing Tender, Seven Bidders Vie for PLI Scheme

The Ministry of Heavy Industries (MHI) has reported receiving bids from seven bidders in response to a global tender for the re-bidding of Production Linked Incentives (PLI) for Advanced Chemistry Cell (ACC) manufacturing. This initiative, announced on January 24, 2024, aims to bolster the production of ACC, a critical component in battery storage technology. The pre-bid meeting was convened on February 12, 2024, setting the stage for the subsequent bidding process.

With the last date for receiving applications set on April 22, 2024, through the CPP portal, the Technical Bids were unveiled on April 23, 2024. The seven bidders, listed alphabetically, include ACME Cleantech Solutions Private Limited, Amara Raja Advanced Cell Technologies Private Limited, Anvi Power Industries Private Limited, JSW Neo Energy Limited, Reliance Industries Limited, Lucas TVS Limited, and Waaree Energies Limited. Together, they have submitted bids for a cumulative capacity of 70 GWh, reflecting significant interest in the ACC manufacturing sector.

The initiative stems from the Cabinet’s approval in May 2021 of the technology-agnostic PLI Scheme, specifically targeting the National Programme on Advanced Chemistry Cell (ACC) Battery Storage. The scheme aims to achieve a manufacturing capacity of Fifty (50) Giga Watt hours (GWh) of ACC, with an allocated budget of Rs.18,100 Crore. The first round of the ACC PLI bidding concluded in March 2022, resulting in the allocation of Thirty (30) Giga Watt hours (GWh) to three beneficiary firms, with program agreements signed in July 2022.

Moreover, the MHI, Government of India, released a Request for Proposal (RfP) on January 24, 2024, for Shortlisting and Selection of bidders under the PLI Scheme for setting up ACC Manufacturing Units with a total capacity of 10 Giga Watt Hour (GWh) and a maximum budgetary outlay of Rs. 3,620 crore.

This robust response to the global tender underscores the growing emphasis on ACC manufacturing and battery storage technology as India strides towards enhancing its energy infrastructure and achieving sustainable development goals.