Weekly News Updates- August 21- August 27

Indian PC Industry Seeks Clarity on Import Policy Amidst Uncertainty Over IMS and Potential Quota System; India Semiconductor Mission Phase Two to Prioritize Compound Semiconductors, Minimize Chip Packaging Incentives; Karnataka Leads India in EV Charging Infrastructure with Over 5,700 Stations; India Sees Record Solar Installations in First Half of 2024, Adding 15 GW Capacity; Japanese Firms Engage Karnataka Colleges to Recruit Indian Talent at University Connect Event; Chevron to Invest $989 Million in India's Bengaluru, Creating 600 Jobs by 2025

Indian PC Industry Seeks Clarity on Import Policy Amidst Uncertainty Over IMS and Potential Quota System

The Indian PC industry has called on the government for greater transparency and stakeholder engagement as it faces uncertainty over impending import policy changes. In a letter to the Ministry of Electronics and Information Technology (MeitY), representatives from the electronics hardware sector urged the government to release future guidelines in draft form and allow ample time for feedback before any official announcements. The industry’s concerns follow recent revisions to import restrictions on laptops and computers, initially introduced in August 2023, which now require importers to obtain “authorization” to bring goods into the country under the Import Management System (IMS).

The IMS, launched this year and set to conclude on September 30, 2024, aims to monitor the importation of ICT hardware without stifling market supply or imposing onerous licensing requirements. However, rumors of a potential shift to a quota system have raised alarms within the industry, with stakeholders fearing it could hinder market access for many businesses. The ITI Council emphasized the need for a policy that aligns with India’s goals, encourages foreign investment, and adheres to international trade standards. The industry has expressed its willingness to collaborate with the government to ensure a smooth transition and minimize any unintended consequences of future policy changes.

https://startuptalky.com/news/hardware-industry-wants-computer-import-regulation-clarity

Editor’s Note: The Indian PC industry is urging the government for transparency and stakeholder engagement regarding potential changes to the import policy, particularly concerning the Import Management System (IMS). Recent import restrictions, effective until September 30, 2024, require authorization for bringing in ICT hardware, and rumors of a possible quota system are causing concern. The ITI Council calls for a policy that supports India’s goals, fosters foreign investment, and aligns with international trade standards, and expresses a readiness to collaborate to avoid negative impacts.

India Semiconductor Mission Phase Two to Prioritize Compound Semiconductors, Minimize Chip Packaging Incentives

As the Indian government advances into the second phase of the India Semiconductor Mission (ISM), it is expected to allocate a significant portion of funds and incentives towards the development of compound semiconductors, according to industry insiders. This move underscores the government’s strategy to enhance India’s capabilities in advanced semiconductor technologies, which are crucial for high-performance applications like power electronics and optoelectronics. By focusing on compound semiconductors, India aims to establish itself as a key player in this specialized segment of the global semiconductor market.

In contrast, financial incentives for semiconductor chip packaging units are likely to be kept at a bare minimum in this phase of the mission. This reflects a strategic shift in resource allocation, as the government seeks to prioritize areas with higher technological value and potential for growth. While the first phase of ISM saw substantial incentives aimed at attracting investments in semiconductor manufacturing, the second phase appears to be more focused on fostering innovation and advancing specific segments within the broader semiconductor ecosystem.

https://economictimes.indiatimes.com/tech/technology/ism-phase-ii-govt-plans-to-focus-on-more-compound-semiconductor-silicon-photonics-units/articleshow/112688022.cms?from=mdr

Editor’s Note: In the second phase of the India Semiconductor Mission (ISM), the government plans to focus on developing compound semiconductors, crucial for high-performance applications like power electronics and optoelectronics. This strategic shift prioritizes advancing India’s capabilities in this specialized segment of the global semiconductor market, while incentives for chip packaging units will be minimal. The new phase reflects a move towards fostering innovation and investing in areas with higher technological potential and growth opportunities.

Karnataka Leads India in EV Charging Infrastructure with Over 5,700 Stations

Karnataka has emerged as the leading state in India for electric vehicle (EV) charging infrastructure, boasting 5,765 public charging stations, according to a recent report by the Bureau of Energy Efficiency. This achievement places Karnataka ahead of other states like Maharashtra, Uttar Pradesh, and Delhi, underscoring its commitment to advancing electric mobility. Energy Minister KJ George highlighted the state’s strategic initiatives and policies aimed at building a robust EV infrastructure, which have been supported by various funding sources, including the central government’s Faster Adoption and Manufacturing of Hybrid and Electric Vehicles (FAME) scheme, investments from Bangalore Electric Supply Co, green cess funds, and public-private partnerships.

Bengaluru Urban district alone accounts for nearly 85% of the state’s EV charging stations, with approximately 4,462 stations located in the city. Karnataka, which introduced India’s first EV policy in 2017, continues to lead in electric mobility by planning the development of model EV cities across the state to further boost EV adoption. In February 2024, the state proposed the establishment of 2,500 new EV charging stations through public-private partnerships, alongside a Rs 35 crore investment to set up 100 additional charging centers. Karnataka’s proactive approach serves as a model for other states aiming to enhance their sustainable transportation infrastructure.

Editor’s Note: Karnataka has emerged as India’s leader in electric vehicle (EV) charging infrastructure, with 5,765 public charging stations, surpassing other states like Maharashtra and Delhi. The state’s success is driven by strategic policies, substantial investments from various sources including the central government’s FAME scheme, and strong public-private partnerships. Bengaluru Urban district alone hosts about 85% of these stations, and Karnataka plans to expand further with 2,500 new stations and a Rs 35 crore investment in additional centers, setting a benchmark for sustainable transportation development.

India Sees Record Solar Installations in First Half of 2024, Adding 15 GW Capacity

India achieved a record 15 GW of solar capacity installations in the first half of 2024, marking a 282% increase compared to the 3.89 GW added during the same period in 2023, according to a report by Mercom Capital. This surge in installations was driven by developers racing to complete delayed projects, setting a new milestone in the country’s solar energy sector. By June 2024, India’s total installed solar capacity reached 87.2 GW, with utility-scale projects making up nearly 87% of this total and rooftop solar accounting for over 13%.

The significant growth in solar installations has positioned solar energy as a key component of India’s energy mix, representing 19.5% of the nation’s total installed power capacity and over 44% of its renewable energy capacity. The first half of 2024 also saw an impressive 321% increase in auctioned solar projects, with 31.8 GW of projects auctioned compared to 7.6 GW in the same period in 2023. Despite this progress, Mercom Capital’s CEO Raj Prabhu emphasized the need to address component supply and grid connectivity challenges to meet India’s ambitious target of 280 GW of solar capacity by 2030.

https://www.business-standard.com/india-news/india-adds-record-15-gw-solar-capacity-in-jan-jun-mercom-capital-124082600382_1.html

Editor’s Note: India set a record by installing 15 GW of solar capacity in the first half of 2024, a 282% increase from the previous year, bringing the total to 87.2 GW. This surge underscores solar energy’s growing importance, now comprising 19.5% of the nation’s total installed power capacity and over 44% of renewable energy. Despite the progress, challenges in component supply and grid connectivity must be addressed to meet the ambitious 280 GW solar target by 2030, according to Mercom Capital’s CEO Raj Prabhu.

Japanese Firms Engage Karnataka Colleges to Recruit Indian Talent at University Connect Event

The Japan External Trade Organisation (JETRO) hosted the “University Connect” event in Bengaluru, bringing together ten Japanese companies and seven top colleges from Karnataka to explore hiring opportunities for Indian talent. This event, held on August 26, is part of a global initiative aimed at connecting Japanese businesses with universities outside Japan, encouraging students to pursue careers with Japanese firms. The participating companies, ranging from large corporates to SMEs and startups, engaged in a lively exchange of viewpoints with Indian institutions, sparking significant interest and excitement.

Toshihiro Mizutani, Director General of JETRO Bengaluru, expressed enthusiasm about the success of the event, noting the unexpected level of engagement. He emphasized JETRO’s commitment to expanding its university network in Karnataka and supporting Japanese businesses in their efforts to recruit skilled Indian students for internships and full-time positions. The event allowed Karnataka’s leading universities to showcase their programs, placement procedures, and student achievements to Japanese firms keen on tapping into the region’s talent pool.

https://www.business-standard.com/india-news/japanese-firms-interact-with-k-taka-colleges-to-enable-young-indians-hiring-124082701259_1.html

Editor’s Note: The Japan External Trade Organisation (JETRO) hosted the “University Connect” event in Bengaluru, connecting ten Japanese companies with seven top Karnataka colleges to explore recruitment opportunities for Indian talent. JETRO’s Director General, Toshihiro Mizutani, highlighted the event’s success and JETRO’s commitment to expanding its university network in Karnataka, facilitating connections between Japanese firms and skilled Indian students.

Chevron to Invest $989 Million in India’s Bengaluru, Creating 600 Jobs by 2025

Chevron has announced plans to invest approximately $989 million (83 billion rupees) in establishing a major technology center in Bengaluru, India. This will be the oil and gas company’s largest tech hub outside the United States, as confirmed by MB Patil, Karnataka’s Commerce & Industries, and Infrastructure Minister, on Wednesday. The new research and development facility will significantly bolster Chevron’s global operations and contribute to the technological advancement of India’s energy sector.

Over the next 5-6 years, the investment will facilitate the creation of 600 engineering jobs, with the company aiming to achieve this milestone by the end of 2025. Akshay Sahni, the incoming head of Chevron India, detailed the company’s ambitious plans in an interview with the Times of India, emphasizing the strategic importance of the Bengaluru center in Chevron’s global growth.

https://theprint.in/india/chevron-to-invest-about-989-million-in-india-state-minister-says/2233018

Editor’s Note: Chevron plans to invest $989 million in a major technology center in Bengaluru, marking its largest tech hub outside the U.S. and creating 600 jobs by 2025. The new facility will enhance Chevron’s global operations and support advancements in India’s energy sector, according to Karnataka’s Commerce & Industries Minister MB Patil.