JSW Group Shifts ₹40,000 Crore EV Project from Odisha to Maharashtra

JSW Group is reportedly relocating its ambitious ₹40,000 crore electric vehicle (EV) and battery project from Odisha to Maharashtra, as per a report by Livemint.com. This move signifies a considerable setback for Odisha, where the project was initially planned to be launched under an agreement signed with the Biju Janata Dal (BJD) government, previously led by Naveen Patnaik.

The decision to shift the project comes after JSW Group, under the leadership of Sajjan Jindal, evaluated options for its large-scale EV and battery manufacturing facilities. Maharashtra has emerged as a viable alternative, with Aurangabad and Nagpur being identified as the primary locations for the project.

In February, JSW had signed a memorandum of understanding (MoU) with the Odisha government to establish advanced EV and battery manufacturing facilities in Cuttack and Paradip. The project was envisioned to include a 50 GWh battery plant that would cater to both mobility and energy storage needs, along with the production of commercial and passenger electric vehicles.

The initial plan encompassed more than just the battery plant; it also included manufacturing auto components, such as e-powertrains, a lithium refinery, and a copper smelter. This comprehensive approach aimed to bolster India’s EV ecosystem, creating jobs and driving technological advancements in the region.

Moreover, it has been reported that JSW is in discussions with the Volkswagen Group to explore a potential joint venture focused on EV manufacturing in India. This partnership could further enhance the project’s capabilities and accelerate the development of EV infrastructure in the country.

The shift of the project represents a significant loss for Odisha, which was poised to benefit from the investments, job creation, and technological advancements associated with the EV and battery project. The state government had actively courted JSW to set up its facilities, viewing it as an opportunity to strengthen its position in the rapidly evolving EV market.

As the Indian government continues to promote electric mobility and sustainable energy, the movement of such a substantial project highlights the competitive landscape between states in attracting investments in the EV sector.

With Maharashtra now in the spotlight, the state’s government will need to ensure that it can provide the necessary infrastructure and incentives to facilitate the successful establishment of JSW’s EV project. The transition also underscores the importance of state-level policies in influencing corporate decisions related to investments in emerging technologies.

As the EV market continues to expand in India, the outcome of this project will be closely watched, as it could set the tone for future investments in the sector. The collaboration between JSW and Volkswagen, if realized, could play a pivotal role in shaping India’s electric mobility landscape.

Overall, JSW Group’s decision to relocate its EV and battery project from Odisha to Maharashtra reflects the dynamic nature of investment decisions in the rapidly evolving electric vehicle market.