BHUBANESWAR: The cabinet chaired by Chief Minister Naveen Patnaik on Monday approved a special incentive package for the JSW Group’s ambitious electric vehicle (EV) and component manufacturing projects in the state.
The Sajjan Jindal-led JSW Group has proposed to set up an EV and battery manufacturing unit at Naraj in Cuttack and another unit for manufacturing of EV components at Paradip with a combined investment of over `40,000 crore.
The cabinet has cleared a proposal to provide land at a special concessional rate with a provision to pay in instalments over a period of five years and all external infrastructure, including four-lane road, 220 KV power and 10 cusecs of water at government cost. The company will also be provided 20 per cent extra capital investment subsidy over and above the entitlement provisioned in the Industrial Policy Resolution (IPR), 2022 and entire capital investment subsidy will be paid pari passu (as and when they spend).
The one-of-a-kind advanced technology-based battery manufacturing facility at Naraj with a capacity of 50 gigawatt hour (GWh) will be the world’s largest single-location project in the sector. The facility will come up at the land parcel taken back from Tata Power.
The company is also planning to set up an original equipment manufacturing (OEM) plant under its own new brand name and a component unit in the same facility in two phases. JSW has proposed to invest Rs 25,000 crore in the two phases in the state, generating employment for more than 4,000 people.
The company has planned to set up an EV components manufacturing complex consisting of a copper smelter along with a lithium smelter at Paradip in the third phase of its footprint in the new age sector. In this phase, JSW will invest Rs 15,000 crore, which will generate employment for more than 7,000 people.
Principal secretary of Industries department Hemant Sharma said the company will invest in four sectors - EV, battery, EV component and battery component. These EV projects will generate employment opportunities for over 11,000 people and are set to usher in a new era of industrial growth and job creation in the state, he said.
The company will set up their own OEM plant and also bring in leading EV battery and its component manufacturers besides automobile component manufacturers to set up their units at the complex in Paradip, he added.
Going electric
EV and battery unit at Naraj
Components unit at Paradip
Combined investment Rs 40,000 crore
Incentives
Land at concessional rate
Payment in instalments
20% extra capital investment subsidy