PLI scheme: Govt approves Rs 4.5k cr for solar modules

08 Apr 2021 CW Staff

The government has approved a production-linked incentive (PLI) scheme for the air conditioner and LED lights sector at an outlay of Rs 6,238 crore and Rs 4,500 crore for high-efficiency solar PV modules.

The proposal was approved in the weekly Union Cabinet meeting, chaired by Prime Minister Narendra Modi.

The PLI scheme for white goods will extend an incentive of 4-6% on incremental sales of goods manufactured in India for five years to companies engaged in manufacturing ACs and LED lights, the government announced in a statement.

Minister of Commerce and Industry, Piyush Goyal told the media that a total of nine out of 13 PLI schemes have been approved to date, while the rest of the four schemes are in an advanced stage.

The government said that in five years the PLI Scheme will lead to an incremental investment of Rs 7,920 crore, incremental production worth Rs 168,000 crore, exports worth Rs 64,400 crore, earn direct and indirect revenues of Rs 49,300 crore.

The production-linked incentive (PLI) scheme aims to give companies incentives on incremental sales from products manufactured in domestic units. The scheme encourages local companies to set up or expand existing manufacturing units and to generate more employment, and reduce India’s reliance on imports from other countries.

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Also read: Extended PLI scheme to cover solar PV, specialised steel

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