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Representatives of the US-based International Battery Company (IBC), which is considering setting up a Lithium Nickle Manganese Cobalt prismatic cell manufacturing industry in Karnataka by investing Rs 8,000 crore, met Large and Medium Industries Minister M.B. Patil on Monday.

At the meeting convened at the KUM conference hall in Khanija Bhavana, IBC officials briefed the minister about the specifics of the company and discussed the steps forward.

IBC plans to set up a non-captive gigafactory, involving a substantial investment of approximately Rs 8,000 crore. The investment is across land, plant, machinery and building.

Patil said, "Given the scope for growth of the electric vehicle sector in the country, there is a need to scale up the lithium battery production. The company has asked the government to provide 100 acres of land at ITIR in Devanahalli. The decision on providing land and extending incentives will be taken after discussing with Chief Minister Siddaramaiah."

Venkatesh Valluri, President, IBC India Pvt Ltd, said that India will need lithium batteries in the range of about 150 gigawatt of capacity by 2030.

"Currently, there is production of lithium cells totalling around 1.5 gigawatt capacity in the country and there is a huge gap between the demand and the supply. If the proposed plant is set up, the state will get about Rs 12,300 crore in the form of taxes in the next 20 years," Valluri said.