IBC plans Rs 80 bn investment for Bengaluru Lithium plant

The representatives of the battery maker informed that they had met with MB Patil, the Minister of Large and Medium Industries, in Bengaluru. They stated that they had formally requested a plot of land. Due to the potential for growth in the electric vehicle sector, it was necessary to expand lithium cell battery production. The company had asked the government to provide 100 acre of land at the Information Technology Investment Region (ITIR) in Devanahalli, located on the outskirts of Bengaluru. Patil added that the final decision regarding the provision of land and incentives would be made after discussing with Chief Minister Siddaramaiah. The company is contemplating establishing a non-captive gigafactory in the state for manufacturing Lithium Nickel Manganese Cobalt prismatic cells. This venture would require a significant investment of around Rs 80 billion, covering expenses for land, plant and machinery, and building, as stated by the company. Venkatesh Valluri, the president of IBC India, expressed that India would require lithium cell batteries with a capacity of approximately 150 gigawatts by 2030. He further added that if the proposed plant were to be established, the state would receive approximately Rs 123 billion in tax revenue over the next 20 years. Currently, the country's lithium cell production capacity stands at around 1.5 gigawatts, resulting in a substantial gap between demand and supply. Also read: Anil Agarwal: Vedanta to invest $1.7B in FY24 for growth projectsReport: PE/VC Investment in India Declines 44% to $3.5 bn