PLI for auto & drone industry

 https://pib.gov.in/PressReleasePage.aspx?PRID=1755062

aking steps forward towards the vision of an ‘Aatmanirbhar Bharat’, Government led by Hon’ble Prime Minister, Shri Narendra Modi, has approved the PLI Scheme for Automobile Industry and Drone Industry with a budgetary outlay of ₹ 26,058 crore. The PLI scheme for the auto sector will incentivize high value Advanced Automotive Technology vehicles and products. It will herald a new age in higher technology, more efficient and green automotive manufacturing.

PLI Scheme for Automobile Industry and Drone Industry is part of the overall announcement of PLI Schemes for 13 sectors made earlier during the Union Budget 2021-22, with an outlay of ₹ 1.97 lakh crore. With the announcement of PLI Schemes for 13 sectors, minimum additional production in India is expected to be around ₹ 37.5 lakh crore over 5 years and minimum expected additional employment over 5 years is nearly 1 crore.

The PLI Scheme for the auto sector envisages to overcome the cost disabilities to the industry for manufacture of Advanced Automotive Technology products in India. The incentive structure will encourage industry to make fresh investments for indigenous global supply chain of Advanced Automotive Technology products. It is estimated that over a period of five years, the PLI Scheme for Automobile and Auto Components Industry  will lead to fresh investment of over  ₹42,500 crore,  incremental production of over  ₹2.3 lakh crore and will create additional employment opportunities of over 7.5 lakh jobs. Further this will increase India’s share in global automotive trade.

The PLI Scheme for auto sector is open to existing automotive companies as well as new investors who are currently not in automobile or auto component manufacturing business. The scheme has two components viz Champion OEM Incentive Scheme and Component Champion Incentive Scheme. The Champion OEM Incentive scheme is a ‘sales value linked’ scheme, applicable on Battery Electric Vehicles and Hydrogen Fuel Cell Vehicles of all segments. The Component Champion Incentive scheme is a ‘sales value linked’ scheme, applicable on Advanced Automotive Technology components of vehicles, Completely Knocked Down (CKD)/ Semi Knocked Down (SKD) kits, Vehicle aggregates of 2-Wheelers, 3-Wheelers, passenger vehicles, commercial vehicles and tractors etc.

This PLI Scheme for automotive sector along with the already launched PLI scheme for Advanced Chemistry Cell (ACC) (₹18,100 crore) and Faster Adaption of Manufacturing of Electric Vehicles (FAME) (₹10,000 crore) will enable India to leapfrog from traditional fossil fuel based automobile transportation system to environmentally cleaner, sustainable, advanced and more efficient Electric Vehicles (EV) based system.

The PLI Scheme for the Drones and Drone components industry addresses the strategic, tactical and operational uses of this revolutionary technology. A product specific PLI scheme for drones with clear revenue targets and focus on domestic value addition is key to building capacity and making these key drivers of India’s growth strategy. The PLI for Drones and Drone components industry, will over a period of three years, lead to investments worth ₹ 5,000 Crore, increase in eligible sales of ₹ 1500 crore and create additional employment of about 10,000 jobs.

compliances for Drone Operators

PIB press release dated 13th January 2020 on the need for drone operators to register their drones with the agency. There is a portal in which they need to register and they will be given some unique identification numbers. All this to be done by 31st January, 2020.

In order to facilitate the identification of civil drones and drone operators, a one-time opportunity for voluntary disclosure of such drones and drone operators is now being provided by the Ministry of Civil Aviation (MoCA). The persons in possession of drones are required to submit the information to the government, starting from 14^th January 2020 by visiting the Digital Sky portal at https://digitalsky.dgca.gov.in. Drones and Drones operators have to obtain Unique Identification Number (UIN), Unmanned Aircraft Operator Permit (UAOP) and other operational requirements as per the guidelines issued by the Directorate General of Civil Aviation (DGCA) which regulates the use of drones in the Indian Airspace.

It was brought to the notice of the Government of India that such drones and drone operators are not complying with the CAR mentioned abovThe conditions of No Permission-No Takeoff (NPNT) as envisaged in the aforesaid CAR are not mandatory for this purpose whereas if drones are operated without due permission, the aforesaid process of CAR is violated. The deadline to submit the required information to the Government is 31^st January 2020.

On successful submission of voluntary disclosure of possessing drone, a Drone Acknowledgement Number (DAN) and an Ownership Acknowledgement Number (OAN) will be issued online which will assist in validation of operations of drones in India. However, the DAN or OAN does not confer any right to operate a drone(s) in India, if it does not fulfill the provisions given in the CAR. Further, ownership of drone(s) in India without a valid DAN or OAN shall invite penal action as per applicable laws.

Any clarification or additional information in this regard may be sought from Digital Sky Help desk at support-digisky@gov.in.