Ola Electric Mobility Pvt. Ltd. and the Tamil Nadu government have signed a Memorandum of Understanding (MoU) to spend Rs. 7,614 crore on the state’s production of EVs and lithium-ion batteries.
Ola Electric Mobility signed the deal through its subsidiary companies Ola Cell Technologies (OCT) and Ola Electric Technologies (OET). According to the state government, Ola Electric Technologies will invest Rs 2,500 crore in automobile manufacturing and Rs 5,114 crore in the production of lithium cells. The two plants will come up in Krishnagiri district.
The company is set to begin mass production of its cells from its upcoming EV hub by 2023.
“Ola will set up the world’s largest EV hub with integrated 2W, car and lithium cell Gigafactories in Tamil Nadu. Signed MoU with Tamil Nadu today. Thanks to Hon. CM M K Stalin for the support and partnership of the TN govt! Accelerating India’s transition to full electric!” Bhavish Aggarwal, Co-Founder tweeted.
Just recently, the Tamil Nadu government introduced a new policy with an aim to attract investments of Rs 50,000 crore in EV manufacturing, create 1.5 lakh new jobs, and develop a strong EV system in the state.
The Ola EV Hub would be built on 2,000 acres of land at the company’s manufacturing facility in Tamil Nadu. According to the TN Government, the investment will result in the creation of 3,111 jobs in the state.
Last year, Ola unveiled the first Lithium-ion cell NMC-2170, which was built in its Battery Innovation Centre in Bengaluru with a USD 500 million investment. The Battery Innovation Centre is equipped to develop complete packages of battery pack design, fabrication and testing under one roof.
