Advanced Chemistry Cell PLI Scheme Faces Risk from Shortage of Critical Technologies

Lack of critical technologies is threatening the Advanced Chemistry Cell Production Linked Incentive (ACC-PLI) scheme. The ACC-PLI scheme is a Central Sector Scheme approved in 2021 and is currently in news due to risks to its implementation.

Advanced Chemistry Cell Production Linked Incentive (ACC-PLI) Scheme:

Dimension	Key Details
Year approved	Approved in 2021.
Type	Central Sector Scheme.
Purpose	Enhancing India’s manufacturing capabilities of ACC battery storage.
Definition and function	New generation advanced energy storage technologies that can store electric energy (as electrochemical or as chemical energy) and convert it back to electric energy as and when required.
Localization target	Mandates achieving at least 25% domestic value addition and raising it to 60% domestic value addition within 5 years.
Incentive cap	Total annual cash subsidy to be disbursed by the Government is capped at 20 GWh per beneficiary firm.