Tejas Networks has received Rs 277.8 million as incentives for the fiscal year (FY) 2022-23 under the production linked incentive (PLI) scheme for telecom and networking products. The said amount accounts for 85 per cent of the total claim for FY23 and the balance 15 per cent is expected to be released subsequently in accordance with the PLI scheme guidelines.
Commenting on the development, Anand Athreya, chief executive officer and managing director, Tejas Networks, said, “We thank the empowered committee for the PLI scheme, the Department of Telecommunications (DoT) and Small Industries Development Bank of India (SIDBI) for approving our incentive application for FY23. The government of India’s design-linked PLI is an excellent scheme that has given a massive boost to indigenous telecom R&D and manufacturing by kickstarting a virtuous cycle of domestic innovation in this sector. As the country’s leading home-grown telecom and networking products company, we continue to make the committed R&D and other capital investments to scale up our business globally and accelerate our vision to be a top-tier telecom original equipment manufacturer (OEM) in the next few years.”
The company is eligible to receive design-linked PLI incentives for five years, starting with FY23, on meeting the minimum cumulative investment of Rs 7.5 billion committed during the scheme period. As per the scheme guidelines, the quantum of incentives in each year will be a proportion of the company’s incremental net sales of the approved products under the scheme generated in that year over the net eligible sales done in the baseline year (2019-20).
