The government of Tamil Nadu strives to provide round-the-clock green energy to businesses in the state. “Every company that comes to Tamil Nadu says to us, ‘Can you assure us that the energy we use is green energy?’ We are working seriously in the direction [to ensure] that green energy is available 24 hours a day,” said Secretary of State for Industries, S Krishnan, during a lunch discussion on “Introducing Tamil Nadu – Building Advanced Manufacturing Ecosystems for sustainable growth” at the ongoing meeting of the World Economic Forum (WEF) in Davos. , Switzerland, Wednesday.
“The storage technologies are not yet in place but it is a challenge that we want to take up and work on. Sustainability and ensuring the availability of green energy are among our priorities,” he said in response to a question from the audience about green energy.
On decarbonization and sustainable energy, Krishnan said more than 50% of the state’s installed energy capacity comes from green sources – solar, wind and others. Tamil Nadu has historically been a pioneer in wind power, he said.
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The electrical industry and the semiconductor sector are priority areas for Tamil Nadu, and the state offers the best opportunity, Krishnan said during the discussion organized by the Tamil Nadu Industries department.
On semiconductors, Krishnan pointed to a problem within the state. Tamil Nadu is the largest automotive manufacturing center in India and probably all of South Asia. However, major manufacturers say their production and assembly lines are nearly idle due to a shortage of chips. “It’s something we have to work towards,” he said.
Industry Minister Thangam Thennarasu, in his welcome address, underscored the economic might of the state and underscored the pivotal role diversified manufacturing plays in achieving the $1 trillion economic vision set by Chief Minister MK Stalin.
“We are in the process of making the state a manufacturing hub in collaboration with the WEF. We have already started discussions with other companies for an advanced manufacturing enterprise, Industry 4.0 and to check manufacturing readiness,” he said.
This is the first time that Tamil Nadu has taken part in the Davos meeting, and Thennarasu leads the delegation.
Tamil Nadu is a $275 billion economic powerhouse, contributing nearly 12% of the country’s GDP. Nearly $54 billion comes from manufacturing alone. To reach the goal of $1 trillion by 2030, the manufacturing sector must contribute about $250 billion. To achieve these goals, the state government is keen on attracting investment and providing the necessary skills to the workforce, the minister said.
The state has a diverse manufacturing base, ranging from automotive components and engineering to textiles and electronics. It has nearly 130 Fortune 500 companies.
To reach the $250 billion target, the manufacturing sector must shift to higher value-added segments of the supply chain and integrate into the global manufacturing value chain. “We want to establish global R&D centers and centers of excellence. These innovation hubs will allow MSMEs to grow,” he said.
The state government has devised incentives to attract investors to the state. “I invite investors to invest in Tamil Nadu,” he said.
May 25, 2022