The government proposes to offer Rs 1,500 crore assistance for setting up three such zones within three years. The zones will boost local manufacturing with single-window clearances for land, water, common testing facilities, low-cost power supply and required infrastructure.
The proposal aims at indigenisation and curbing imports to establish self-sufficiency in power and renewable energy equipment at the states that offer land and power at lowest cost.
The states will be required to submit proposals providing a minimum area of 300 acre for setting up the manufacturing zones for renewable and power equipment.
The proposals will have to indicate proposed electricity cost, land cost and other incentives including infrastructure facilities for the scheme for establishment of the manufacturing zone.
The selected states will have to form special purpose vehicles (SPVs), which will be responsible for setting up the manufacturing unit with common infrastructure and testing facility.