Indian EV startup founders are asking the government to include new-age companies in the Production Linked Incentive (PLI) scheme, saying it will help build stronger domestic manufacturing and reduce import dependence. The demand comes as several startup leaders met Heavy Industries Minister H.D. Kumaraswamy in Bengaluru to discuss a more inclusive policy framework for the EV sector.
The founders behind companies such as Ather, Euler Motors, River Mobility, Matter and Raptee argued that startups should get a fair chance in incentive programmes that are meant to support local production. They said the current structure can leave out younger firms that are investing heavily in research, design, production and exports. The industry wants the PLI system to reward domestic value addition, technology capability, intellectual property creation and job generation.
This push matters because India is trying to strengthen its EV supply chain at a time when the market is growing fast. The government already supports the sector through schemes such as PLI-Auto, the PLI battery programme, and PM E-DRIVE, which together aim to boost manufacturing, battery storage and EV adoption. For example, PLI-Auto has a budgetary outlay of ₹25,938 crore, while the ACC battery scheme has an outlay of ₹18,100 crore.
Startups say a broader PLI framework could accelerate localisation of parts, improve scale, and help Indian EV makers compete with global brands. They also believe it can support exports and create a more balanced ecosystem where both established companies and emerging innovators can grow.
FAQs [Frequently Asked Questions]
1. Why are EV startup founders seeking PLI inclusion?
They want equal access to incentives that can reduce costs, support domestic manufacturing, and help startups compete with larger auto companies in India’s EV market.
2. Which EV companies are part of this demand?
Founders from Ather, Euler Motors, River Mobility, Matter and Raptee have been among the leaders pushing for a more inclusive PLI framework.
3. How can PLI help the EV sector?
PLI can encourage local production, strengthen supply chains, boost research and exports, and create jobs while making India less dependent on imports.
(Image Source- LinkedIn/Saurav Kumar)