Tesla is reportedly planning to manufacture and sell battery storage systems in India, marking a new push to enter the Indian market.
Sources said the company had submitted a proposal to Indian officials.
The firm requested incentives to establish a battery storage factory.
The automaker is holding existing discussions about setting up an electric vehicle (EV) manufacturing facility in the country.
The EV project is overseen by Prime Minister Narendra Modi.
It aims to produce an affordable $24,000 Tesla car for the Indian market.
In recent meetings in New Delhi, Tesla presented its “Powerwall” system, designed to enhance India’s battery storage capabilities.
The Powerwall can store electricity generated from solar panels or the grid for later use, especially during nighttime or power outages.
Although Tesla sought incentives for the battery storage factory, Indian authorities expressed limitations in providing these incentives.
Instead, they suggested offering subsidies to customers purchasing Tesla’s battery storage products.
Sources said while Tesla and the Indian government remain interested in the proposal, its realisation is uncertain.
The Powerwall initiative is part of Tesla’s broader expansion strategy in India, extending beyond EVs.
Tesla aims to target residential and industrial customers for its battery storage systems.
It plans to establish the Powerwall business in India, contingent on substantial policy adjustments.
Despite attempts to reach out for comments, neither Tesla, the Indian government’s spokesperson, nor the commerce ministry has responded to inquiries.
Tesla’s Powerwall is a compact device suitable for domestic and light commercial usage, designed to be mounted in garages or outdoors.
While initially targeting the residential sector, Tesla could explore larger-scale solutions for industries in India if its plans come to fruition.