Bhubaneswar: The JSW Group has decided to relocate its planned Rs 40,000 crore electric vehicle (EV) and battery project from Odisha to Maharashtra, seven months after formalising an agreement with the previous Biju Janata Dal government under Naveen Patnaik.
“Negotiations with JSW Group are ongoing. The resolution to exit Odisha remains undecided. Investors’ decisions hinge on individual factors, and various causes can lead to postponements. JSW Group has experienced delays in initiating their electric vehicle (EV) project as well,” stated Industries Minister Sampad Swain in response to the situation.
In February this year, an agreement was reached for the project in Cuttack and Paradip.
The JSW Group has opted to undertake its project in Aurangabad and Nagpur, Maharashtra. This initiative encompasses the construction of electric vehicles, a battery plant with a capacity of 50 GW, an electric powertrain, a lithium refinery, and additional manufacturing ventures. Initially, the project was to be executed in Cuttack and Paradip by JSW.
Simultaneously, the Maharashtra government has declared a Rs 25,000 crore lithium battery venture in Nagpur and a Rs 27,200 crore electric vehicle production project in Chhatrapati Sambhaji city, also known as Aurangabad, by JSW. These projects are expected to generate employment for over 10,000 individuals. The Aurangabad project of JSW is projected to manufacture 500,000 electric cars and 100,000 commercial vehicles each year.
Previously in February, Sajjan Jindal’s firm had committed to an electric vehicle and battery project in Odisha, formalizing the agreement with the state government. The rationale behind JSW’s decision to relocate the project from Odisha to Maharashtra remains unclear. It is noteworthy that Odisha is under BJP governance, while Eknath Shinde’s Shiv Sena governs in Maharashtra.
The Odisha government had agreed to allocate 1,100 acres of land in the Cuttack district to the JSW Group for the project at a concessional rate. The provision of 10 cusecs of water and 220 KV of electricity from the Mahanadi river was also approved. A memorandum of understanding for this project was signed in February in the presence of the then Chief Minister, Naveen Patnaik. Recent reports indicate that senior JSW officials visited Odisha and engaged with top state officials. Later it was decided to withdraw the project.
Also Read: ‘JSW group not withdrawing Rs 40,000 Cr EV project from Odisha’
