Adoption Of Energy -efficient- Technologies Solutions In Heavy Industry Sector

GOVERNMENT OF INDIA MINISTRY OF HEAVY INDUSTRIES RAJYA SABHA UNSTARRED QUESTION NO. 738 ANSWERED ON 24.07.2026 ADOPTION OF ENERGY -EFFICIENT- TECHNOLOGIES SOLUTIONS IN HEAVY INDUSTRY SECTOR

738. SHRI DEREK O' BRIEN:

Will the Minister of Heavy Industries be pleased to state:

(a) whether Government has assessed the level of adoption of energy-efficient technologies and innovative solutions in the heavy industry sector, including automobiles, engineering goods, and capital equipment manufacturing;

(b) whether high capital costs, limited access to technology, and lack of incentives are hindering faster adoption of energy-efficient and low-carbon solutions by industries, if so, the steps taken by the Ministry to address these challenges; and

(c) whether Government proposes to introduce or expand policy incentives, technology upgradation schemes, or public-private partnerships to promote energy efficiency, innovation, and sustainability in the heavy industry sector? ANSWER THE MINISTER OF STATE FOR HEAVY INDUSTRIES (SHRI BHUPATHIRAJU SRINIVASA VARMA)

(a) to (c): No such assessment has been undertaken by Ministry of Heavy Industries.

However, in order to boost adoption of energy-efficient technologies and innovative solutions in the heavy industry sector, including automobiles, engineering goods, and capital equipment manufacturing, Ministry of Heavy Industries administers the following schemes:

(i) Production Linked Incentive (PLI) Scheme for Automobile and Auto Component Industry in India (PLI-Auto): The Government notified this scheme for Automobile and Auto Component Industry in India, on 23.09.2021, for enhancing India's manufacturing capabilities for Advanced Automotive Technology (AAT) products, including EVs, with a budgetary outlay of ₹25,938 crore.

(ii) Production Linked Incentive (PLI) Scheme for National Programme on Advanced Chemistry Cell (ACC) Battery Storage: The Government on 09.06.2021 notified the PLI Scheme for manufacturing of ACC in the country with a budgetary outlay of ₹18,100 crore. The scheme aims to establish a competitive domestic manufacturing ecosystem for 50 GWh of ACC batteries.

(iii) PM Electric Drive Revolution in Innovative Vehicle Enhancement (PM EDRIVE)

Scheme: This scheme with an outlay of ₹10,900 crore has been notified on

29.09.2024. This scheme supports incentivization of approximately 28.30 lakh electric vehicles (EVs) including e-2W, e-3W, e-Trucks, e-buses and e-Ambulances. Further, EV public charging stations (EV PCS) and upgradation of testing agencies is also included in this scheme. An allocation of ₹4,391 crore has been made under the scheme for deployment of 14,028 e-buses. Moreover, ₹2,000 crore has been allocated for deployment of EV PCS on pan India basis.-2-

(iv) PM e-Bus Sewa-Payment Security Mechanism (PSM) Scheme: This Scheme notified on 28.10.2024, has an outlay of ₹3,435.33 crore and aims to support deployment of more than 38,000 electric buses. The objective of this scheme is to provide payment security to e-bus operators in case of default by Public Transport Authorities (PTAs).

(v) Scheme to Promote Manufacturing of Sintered Rare Earth Permanent Magnet was notified on 15.12.2025 with a budgetary outlay of ₹7,280 crore to establish 6,000 metric tonnes per annum (MTPA) of integrated REPM manufacturing capacity in the country.

(vi) Enhancement of Competitiveness in the Indian Capital Goods Sector- Phase-II was notified on 25.01.2022 with a total outlay of Rs. 1,207 crore to encourage the technology development and strengthen domestic manufacturing capabilities in the Capital Goods Sector including digital manufacturing and Industry 4.0.

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