The ARBL facility in Mahbubnagar district will be equipped with advanced laboratories and testing infrastructure.
Published May 06, 2023 | 5:56 PM ⚊ Updated May 06, 2023 | 5:57 PM
4.5k direct jobs to be generated as Amara Raja launches Telangana's 1st gigafactory. (Supplied)
In another step that will take Telangana closer to its aspiration of developing an electric vehicles (EV) ecosystem, one of India’s leading industrial and automotive battery majors, Amara Raja Batteries Limited (ARBL), on Saturday, 6 May, held the groundbreaking ceremony for the state’s first gigafactory in Mahbubnagar district.
A gigafactory is a facility that produces batteries for EVs on a large scale.
The ceremony officially marked the beginning of the “Amara Raja Giga Corridor” that aims to produce lithium cells and battery packs with an ultimate capacity of over 20GWh.
In October 2020, when the Telangana Electric Vehicle and Energy Storage Policy-2020-2030 was launched, it aimed for a substantial reduction in the cost of transportation for personal and commercial purposes, and creation of an EV ecosystem.
Meanwhile, Hyderabad also hosted India’s first Formula-E Grand Prix in February this year.
However, concern over the safety and performance of electric vehicles still prevails after several two-wheelers caught fire in the past months in Telangana.
Minister KTR and others at launch of Telangana’s 1st gigafactory in Mahbubnagar. (Twitter)
As per the Telangana government, the new Amara Raja facility will create direct employment for about 4,500 people and a similar number of indirect jobs will be subsequently created.
The initial facilities would include a first-of-its-kind advanced energy research and innovation center, dubbed the Amara Raja E + Ve Energy Labs.
The facility will be equipped with advanced laboratories and testing infrastructure for material research, prototyping, product life cycle analysis, and proof-of-concept demonstration.
It is expected to cater to the development needs of the Amara Raja as well as provide a range of facilities open to other players in the energy and mobility ecosystem.
At the inaguration ceremony, IT Minister KT Rama Rao said: “Electric mobility remains a focus area for the Telangana government and we are committed to developing the right infrastructure and ecosystem for the promotion and adoption of EVs. Telangana has been a frontrunner in adopting sustainability, and it is a proud moment for the state to celebrate the ground-breaking ceremony of Amara Raja Batteries’ first Lithium Cell and Battery Pack Manufacturing facility.”
Minister KTR speaking at launch of Telangana’s first gigafactory. (Twitter)
ARBL executive director Vikramadithya Gourineni expects the facility to be a significant needle-mover in India’s energy transition.
“We (ARBL) have always been at the forefront of introducing new technologies and take immense pride in being able to build out world-class manufacturing units,” he said.
Telangana government had recently signed an MoU with Amara Raja Advanced Cell Technologies Private Limited (ARACT), a wholly owned subsidiary of ARBL, which has been working on Li-ion cell chemistries specifically suited for Indian subcontinental conditions and already supplies lithium battery packs and chargers to some two- and three-wheeler OEMs.
In 2021-2022, five popular EV companies — Triton Electric, Liteauto GmbH, Gravton Motors, One Moto India, and Biliti Electric — signed agreements with the state government to set up their manufacturing units in the state with a total investment of ₹ 5,147 crore.
Under its electric vehicle policy, the state government is providing subsidies, incentives, and support for infrastructure and manufacturing.
It includes offering special power tariffs for the sector, tax and registration fee exemption on electric vehicles to a certain extent, discounted interest rates, and encouraging the state transport department to opt for electric buses.
The Telangana State Renewable Energy Development Corporation Ltd (TSREDCO) is reportedly setting up charging centers and battery stations across the state.
As per reports, the TSREDCO has already established 110 charging stations to date, and will further increase the network as per the need and demand.
