Ola group to open electric two-wheeler factory in Hosur

Govt. signs 18 MoUs entailing ₹19,995 crore in investments

December 15, 2020 01:24 am | Updated 01:24 am IST

Aiming high:  Chief Minister Edappadi K. Palaniswami with industry representatives on Monday.

Aiming high: Chief Minister Edappadi K. Palaniswami with industry representatives on Monday.

Chief Minister Edappadi K. Palaniswami on Monday signed 18 memoranda of understanding, entailing ₹19,995 crore in investments and with a potential to create 26,509 jobs in Tamil Nadu.

One of the investors that the State has managed to attract in time of the COVID-19 pandemic is Ola Electric Mobility, which will open an electric two-wheeler manufacturing unit at Hosur on an investment of ₹2,354 crore. Once operational, it would generate employment for 2,182 persons. The MoU was signed by Bhavish Aggarwal, chairman and group CEO, Ola, and Mr. Palaniswami.

After inking the deal, Mr. Aggarwal said this would be one of the world’s largest scooter factories catering for domestic and international markets.

“It will serve customers in Europe, Asia and Latin America, among other markets,” he said.

The factory, which will initially have an annual capacity of 2 million units, will produce Ola’s upcoming range of two-wheeler products, starting with Ola’s electric scooter.

The Chief Minister also laid the foundation for five projects with an investment commitment of ₹4,456 crore, which will provide jobs to an estimated 27,324 persons. He also inaugurated a ₹47-crore project that can employ 385 persons.

Mr. Palaniswami signed a deal with Torrent Gas Chennai Pvt. Ltd., which will be setting up a gas distribution network in Chennai and Tiruvallur districts. It has proposed to invest ₹5,000 crore. Torrent Gas will lay pipelines and create other infrastructure over 3,569 square kilometres to provide Piped Natural Gas connections to homes, industries and commercial establishments and Compressed Natural Gas (CNG) to vehicles. Jinal Mehta, Director, Torrent Gas, said natural gas is economical and environment friendly, and hence a natural choice for families, small businesses and industries. “As part of the first phase of the infrastructure roll-out, Torrent Gas is expecting to commission over 30 CNG stations in Chennai and Thiruvallur districts in the last quarter of the current financial year.”

An MoU was also signed with First Solar, head-quartered in Tempe, Arizona, for setting up a solar module manufacturing facility in Tamil Nadu on an investment of ₹4,185 crore. The company makes thin film photovoltaic solar modules, using an advanced thin film semiconductor technology.

Crown Group will establish an aerospace cluster park to make flight components and sub-systems and drones in Salem on an investment of ₹2,500 crore.

Society for Smart Electric Mobility will open an EV and future mobility park with skills development and a research centre and facilitate the setting up of manufacturing industries in the park at Thathanur, Tiruppur district, on a proposed investment of ₹2,500 crore.

Voltas, which is making room air-conditioners and commercial refrigeration products, is setting up a manufacturing plant at Vedal, Kancheepuram, investing ₹1,001 crore.

The Chief Minister also inked a deal with Mylan Laboratories, a U.S.-based speciality pharmaceuticals manufacturer. This company has proposed to establish an injection manufacturing project at Kurubarapalli, Krishnagiri district, on an investment of ₹350 crore. It can create jobs for 250 persons. The Switzerland-based Gurit India Pvt. Ltd. will set up a project for manufacture of wind blade components at Sriperumpudur, on an investment of ₹320 crore.

In the education sector, an MoU was signed with YaClass, a Latvian company. This company will establish an Edutech Project in Chennai with an investment of ₹300 crore. KPR Sugar and Apparels Limited has committed itself to establishing a textile mill project at Perumanallur at a cost of ₹250 crore.

The other key MoUs include Magnus Infrastructure LLP (₹200 crore), the U.S.- based Stanadyne, which makes fuel injection pumps, (₹180 crore), Mahindra CIE (₹100 crore), Anjan Drugs (₹60 crore), MAIVA Pharma (₹500 crore) , Eickhoff Wind Asia Pvt. Ltd. from Germany (₹410 crore), Cubic Modular Systems from Denmark (₹120 crore) and Italian company Sabaf (₹75 crore).

An MoU was also signed between the State Industries Promotion Corporation of Tamil Nadu Limited (SIPCOT) and Foxconn to establish industrial housing for employees of Foxconn in its industrial park at Vallam Vadagal, Sriperumpudur.

The Chief Minister inaugurated SIPCOT’s new GIS web portal, which was developed with the latest drone technology by mapping the property and utilities of all industrial complexes.

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