The Union Power Ministry had earlier issued orders conveying the implementation of a scheme for setting up a manufacturing zone for power and renewable sector on a pilot basis with a budgetary outlay of Rs 400 crore.
The duration of the scheme is five years from FY23 to FY27. The last date for submission of an expression of interest (EoI) is 8 June 2022.
The manufacturing zone aims at promoting local manufacturing of the latest clean and energy equipment technologies to minimise dependence on imports for the power sector.
Priority will be given to zones with land free from encumbrances, proximity to ports, competitive electricity and water tariffs, and proposing earmarking of areas over 150 acre.
The proposed funding would be kept flexible for supporting common infrastructure facilities and common testing facilities.
The interested special purpose vehicle (SPV) will be responsible for the preparation of a detailed project report (DPR), obtaining clearances and land acquisition for the manufacturing zone.
The state government will be responsible for providing encumbrances free land. Moreover, the grant will be released by the central government in four instalments – three of 30 percent each and the last one 10 percent.