The state government of Tamil Nadu is taking proactive measures to promote the electric vehicle (EV) manufacturing industry, but certain challenges remain and need to be addressed going forward, V Arun Roy, Secretary to Government, Industries, Investment Promotion and Commerce Department, Tamil Nadu Government, said on Tuesday at the India EV Conclave organised by Autocar Professional in Chennai.
Talking at the event Roy said, “It will be interesting to look at how things are changing towards EVs; (a change) which is inevitable.” Roy said that the state government is implementing the right policies and providing flexibility and incentives to companies that are establishing EV businesses.
However, Roy highlighted that there are still technological and policy challenges that need to be overcome for the industry to flourish. One of the challenges mentioned is the need to generate electricity from clean sources, as well as the importance of job creation during the transition from internal combustion engine (ICE) manufacturing to EVs. Roy acknowledged that this shift could result in job losses for ICE-manufacturing companies and their suppliers, posing a challenge for the government.
Roy’s comments come at a time when Tamil Nadu aims to attract investments worth Rs 50,000 crore in the EV manufacturing sector, which is projected to create 1.5 lakh new jobs during the policy period. The government’s focus on attracting investments and creating job opportunities in the EV sector is positioning Tamil Nadu as a preferred destination for EV manufacturing in Southeast Asia.
To further diversify and expand the EV manufacturing ecosystem, the state government has actively encouraged new players such as Ather Electric, Ola Electric, Ampere, and others to establish their EV manufacturing units in Tamil Nadu.