Voltas, Blue Star, Hindalco, Uno Minda and LG are among 24 companies that have been selected in the third round of inviting applications for the Production Linked Incentive (PLI) scheme for White Goods that covers parts of air conditioners and LED lights.
Together these companies have committed an investment of Rs 3516 crore. After the third round there are 84 companies that have been selected for PLI for white goods who have committed investment of Rs 10,478 crore that will result in production of Rs 1.72 lakh crore during the duration of the scheme, a statement said.
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In the third round that opened for applications on July 15 and closed on October 12, 38 applications were received. From manufacturers of AC components 21 applications were received and 17 applications came from makers of LED components.
“After reviewing these applications, the government has provisionally selected 18 new companies. These companies include 10 manufacturers of components of Air Conditioners and 8 manufacturers of LED Lights, with committed investment of Rs 2,299 crore. In addition, 6 existing PLI beneficiaries have been provisionally selected to upgrade to higher investment categories, committing an additional investment of Rs 1,217 crore,” a statement said here.
Thirteen applicants including two existing applicants are being referred to the Committee of Experts (CoE) for examination and its recommendations.
Voltas, Blue Star, Hindalco, and LG are among the companies that are moving to the higher category by committing additional investments. In all five companies that are ramping up their commitments in Ac components space have promised to invest Rs 1200 crore.
For Air Conditioners, companies will be manufacturing components like compressors, copper tubes, control assemblies, heat exchangers and motors used in inverter ACs among others. LED Chip packaging, LED Drivers, LED Engines, LED Light Management Systems and Metallized films for capacitors will be manufactured in India by applicants in the LED category.
PLI for White Goods is to be implemented over 2021-22 to 2028-29 with an outlay. The Scheme extends an incentive of 6% to 4% on reducing basis on incremental sales for a period of five years subsequent to the base year and one year of gestation period.
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