Telangana government has reiterated its readiness to facilitate the establishment of Giga-scale lithium (Li) ion battery manufacturing plant in the state. This what government chief secretary S K Joshi informed the central government agency Niti Aayog, which is spearheading the idea in the light of Government of India's ambitious electric vehicle (EV) push in the country.

Battery manufacturing was considered as one of the important pre-conditions to develop the ecosystem around the EVs as the battery accounts for almost half of the EV cost that can be brought down if the batteries are produced locally. All the major EV manufacturers, including Tesla, has been using Li-ion batteries to power their vehicles.

In a recent video conference with Niti Aayog officials, chief secretary Joshi told that Telangana was ideally suited for hosting 5 Gw capacity battering plant as envisioned by the Centre. He explained that Telangana government can give a readily available piece of 200 acres of land close to the airport and the outer ring road in Hyderabad. The government will also make available the required power and water to the plant at a concessional rate, according to him.

According to Niti Aayog officials, around five states would be chosen for this initiative. Niti Ayog is asking the states to create demand as per the Centre's mandate of converting all three-wheelers in India to electric by 2023 and converting all two-wheelers by 2025.