Centre plans to limit PLI scheme for auto to green vehicles
Govt plans to restrict its Rs 26,000 crore production-linked incentive (PLI) scheme for automobiles to green technologies such as electrics and futuristic hydrogen fuel cells, eschewing petrol and diesel vehicles. The original scope of allocation was Rs 57,000 crore over five years, starting 2022-23, which has now been reduced, government sources told TOI.
The scheme could be announced as early as next week and is likely to be a dampener for auto companies such as Maruti Suzuki, Honda, Toyota, Renault-Nissan, Skoda-VW and many others that derive all their sales from petrol/diesel cars.
Pursuing electric and other clean technologies for many years, homegrown companies Tata Motors and Mahindra & Mahindra will stand to gain.
