Govt clears Rs 3,516 cr investment proposals under PLI scheme for ACs, LEDs

Out of these, the government selected 18 companies-10 manufacturers of components of ACs and eight LED light manufacturers-with committed investment of Rs 2,299 crore

The government has approved investment proposals worth Rs 3,516 crore from 24 companies in the third round of applications for the production linked incentive (PLI) scheme for white goods, including air conditioners (ACs) and light-emitting diodes (LEDs), the Department for Promotion of Industry and Internal Trade (DPIIT) announced on Monday.

 

Of these, the government selected 18 companies—10 manufacturers of AC components and eight LED light manufacturers—with a committed investment of Rs 2,299 crore. Companies such as Voltas, MIRC Electronics, and Lumax Industries are among the 18 selected.

 

Additionally, six applicants, including existing PLI beneficiaries, have been provisionally selected to upgrade to higher investment categories. These six companies have committed an additional investment of Rs 1,217 crore. Hindalco Industries, LG Electronics India, and Blue Star Climatech are among the six.

 

The DPIIT stated that one applicant has opted to withdraw its application and exit the scheme. Overall, 84 companies participating in the PLI scheme for white goods are expected to bring investments worth Rs 10,478 crore, leading to production worth Rs 1,72,663 crore.

 

The PLI scheme for white goods aims to create a complete component ecosystem for the AC and LED light industries in India, integrating the country into global supply chains.

 

Rolled out in April 2021, the scheme is being implemented over seven years, concluding in the financial year 2028-29. The scheme has an outlay of Rs 6,238 crore. The first round of applications was invited in 2021, followed by the second round in 2022, as the initial allocated funds were not fully utilised.

 

The third round of applications was opened based on the industry's appetite for further investment under the scheme.