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Gujarat’s Dholera, situated 110km from Ahmedabad, is emerging as an ideal destination for electric vehicle manufacturing, according to experts present at the second edition of the Sustainable Mobilvity Conference held virtually by CII. 

Electric component manufacturers are eyeing Dholera’s special investment region (SIR) as a potential location to invest in in the coming months, according to state government officials. 

 

In his address, Hareet Shukla, MD, Dholera Industrial City Development Limited, said, “Gujarat Industrial Policy 2020 and the Gujarat Electric Vehicle Policy 2021 make Gujarat an attractive destination for the manufacturing sector, especially the electric vehicles segment.”

In a conversion with TOI, Shukla said, “We are expecting fresh investments in Dholera for EV component manufacturing.” He added: “Discussions with companies are underway and within the next three months, new projects should be finalized.”

Experts believe that the production-linked incentive (PLI) scheme will go a long way in boosting investments in EV manufacturing.

“The PLI scheme has been announced to boost manufacturing in the EV sector, and I believe it will be a key driver,” said Raghavan Viswanathan, director at KPMG India. “However, it will have a greater impact if the enabling infrastructure required for EV is in place.”

The TOI report confirmed while citing sources that battery and component manufacturers from different parts of the country have shown interest in investing in Dholera. Tata Group has already committed an investment of Rs 4,000 crore to set up a lithium-ion battery manufacturing plant at Dholera SIR.

The state government of Gujarat had announced a new electric vehicle policy in June. This new policy promises subsidies worth Rs 870 crore for electric vehicles and for setting up charging points in different cities of the state.