Centre may offer production-linked incentives to auto sector: Niti Aayog1 min read . Updated: 30 Oct 2020, 04:30 PM IST
Through incentives, the government will aim to provide better logistics and infrastructure to push for electric mobility and local manufacturing.
The Centre is likely to come up with a production-linked incentive (PLI) scheme for automobile sector among others. Niti Aayog Vice Chairman Rajiv Kumar said, the decision has been taken in an attempt to boost domestic manufacturing.
The Niti Aayog Vice Chariman also highlighted the government's efforts to push electric mobility or e-mobility in the country while addressing a virtual event organised by industry body FICCI.
Kumar was quoted by news agency PTI saying, "85 per cent of vehicles on the street are two- and three-wheelers and we want to shift them to electric mobility going forward. We have finalised standard of charging for two- and three-wheelers."
"We will, while attracting FDI, also repose our faith and trust in those who have already invested in India. And we want to recognise them by giving much better logistics, much better infrastructure," he said.
He added that this is the reason why the government has brought out what is called PLI scheme which will be valid for about 9-10 sectors very soon.
The Niti Aayog vice chairman, however, did not specify which sectors might be made eligible for the incentives.
"The objective of the PLI scheme is to incentivise investors in this country to put up globally comparable capacity in scale and competitiveness," he said.