Reliance, Ola Electric, Rajesh Exports agree to build batteries in India

Rajesh Exports

29/07/2022 08:30

By Aditi Shah
    NEW DELHI, July 29 (Reuters) - Reliance Industries
 RELI.NS , Softbank Group-backed  9984.T  Ola Electric and
Indian jewellery maker Rajesh Exports  REXP.NS  on Friday signed
final agreements to build battery cells under a $2.3 billion
government incentive program.
    Shares of Rajesh Exports rose as much as 5.9% to their
highest since July 4 after the government's statement on
finalisation of the agreements.
    The companies were among four bidders selected by the
government in March to build a total of 50 gigawatt hours (Gwh)
of battery storage capacity under a production-linked incentive
programme.  urn:newsml:reuters.com:*:nL2N2VK0GA
    India last year finalised the scheme to encourage companies
to make battery cells locally as it seeks to establish a
domestic supply chain for clean transport and renewable energy
storage to meet its decarbonisation goals.
    The companies must set up their battery manufacturing
facility within two years after which they will be eligible for
incentives. These will be paid over a five-year period based on
the sale of batteries manufactured in India, the government said
in its statement. 
    ($1 = 79.3950 Indian rupees)

 (Reporting by Aditi Shah, additional reporting by Chris Thomas
in Bengaluru)
 ((aditi.shah@tr.com; +91-11-4954 8023, +91-11-3015 8023;
Reuters Messaging: twitter: @aditishahsays))