In a significant push for clean energy and advanced manufacturing in Uttar Pradesh, a new electric vehicle (EV) bus manufacturing facility by Ashok Leyland was inaugurated in Lucknow on Friday. The event saw the presence of Union Defence Minister Rajnath Singh, Union Minister HD Kumaraswamy, and Uttar Pradesh Chief Minister Yogi Adityanath, who collectively underscored the state's and nation's shift towards an electric future.
EVs Are The Future, Petroleum Vehicles To Decline: Rajnath Singh
Addressing the gathering at the plant in Sarojini Nagar, Defence Minister Rajnath Singh made a strong statement on the trajectory of the automotive industry. He emphasised that electric vehicles represent the future of transportation and that reliance on petroleum-based vehicles will gradually decline. He lauded the Hinduja Group and Ashok Leyland for completing the state-of-the-art manufacturing unit in a record 18 months, far ahead of the initial projected timeline of 60 months.
"The Ashok Leyland EV unit will play a transformative role, contributing significantly to clean energy adoption and advanced manufacturing for both the state and the country," Singh said. He also highlighted the facility's role as a major hub for skill development, preparing the youth for gainful employment in the evolving industrial landscape.
Plant Capacity, Investment, and UP's Industrial Surge
Chief Minister Yogi Adityanath provided specific details about the new facility's scale and its alignment with state policies. The plant currently has an annual manufacturing capacity of 2,500 units, which will be scaled up in phases to 5,000 units. An investment of approximately Rs 252 crore has been made in this plant, which was established under the state's FDI and Fortune 500 policy.
Yogi Adityanath revealed that the Memorandum of Understanding (MoU) for the project was signed in September 2023, with the Letter of Intent and land allotment process completed in January 2024. The bus manufactured here is a 17-18 seater vehicle priced around Rs 15 lakh, designed for school transportation and inter-city connectivity, and will benefit from the state's Electric Vehicle Policy.
In a major announcement for skill development, the CM stated that the Hinduja Group will sign an MoU with the Uttar Pradesh government to provide training to 10,000 youth annually at this facility.
Uttar Pradesh: A Powerhouse in Defence and EV Manufacturing
The inauguration also served as a platform to showcase Uttar Pradesh's massive industrial growth. Rajnath Singh, who is also the MP from Lucknow, asserted that the state has emerged as a major defence hub. He disclosed that investments worth over Rs 34,000 crore have already been made across the six nodes of the Uttar Pradesh Defence Corridor spanning Lucknow, Kanpur, Jhansi, Agra, Aligarh, and Chitrakoot.
"India is no longer dependent on other countries for weapons, missiles or defence equipment as these are now being manufactured domestically, with a significant portion originating from Uttar Pradesh," Singh stated.
Chief Minister Yogi Adityanath bolstered this with impressive economic figures. He asserted that Uttar Pradesh currently contributes 9.5% to India's GDP, with its Gross State Domestic Product (GSDP) expected to reach Rs 36 lakh crore by the end of the current financial year. He highlighted that the state has received investment proposals worth Rs 45 lakh crore in the past 8-9 years.
On the EV front, Yogi noted a commanding position for UP: "In 2024, Uttar Pradesh accounted for 19% of India's total electric vehicle market." The state is also a major beneficiary of the central FAME schemes, with 700 electric buses currently operational across its cities. Furthermore, he pointed out that 55% of the country's mobile phones are manufactured and 60% of its electronic goods are produced in Uttar Pradesh.
Ashok Leyland Chairman Dheeraj Hinduja described this as the company's first manufacturing plant in Uttar Pradesh and expressed confidence in its positive impact on the local community. He also mentioned the company's "Road to School" initiative, which provides nutrition and educational support to over 25,000 government school students in the state.
