Representatives of battery maker International Battery Company (IBC), which is considering setting up a proprietary Lithium Nickel Manganese Cobalt prismatic cell manufacturing industry in Karnataka by investing Rs 8,000 crore, on Monday called on large and medium industries minister M B Patil.

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The delegates briefed the minister about the specifics of the company and discussed the steps forward, a statement issued by the minister’s office said.

The company plans to set up a non-captive gigafactory involving a substantial investment of approximately Rs 8,000 crore. The investment will be made on land, plant and machinery and building, it added.

A gigafactory is a generic term that describes a facility in which equipment, parts and other products related to electrification and decarbonisation technologies are manufactured.

”Given the scope for growth of the electric vehicle sector in the country, there is a need to scale up the lithium cell battery production. The company has asked the government to provide 100 acres of land at the Information Technology Investment Region (ITIR) at Devanahalli on the outskirts of Bengaluru. The decision on providing land and extending incentives will be taken after discussing with Chief Minister Siddaramaiah,” Patil was quoted as saying.

Venkatesh Valluri, President, IBC India said that India will need lithium cell batteries in the range of about 150 gigawatts of capacity by 2030.

Currently, there is a production of lithium cells totalling around 1.5 gigawatts capacity in the country and there is a huge gap between the demand and supply. If the proposed plant is set up, the state will get about Rs 12,300 crore in the form of taxes in the next 20 years, he explained.

Valluri said the founders of IBC are of Indian origin who are highly qualified and graduated from top institutions.