- By Kamakshi Bishnoi
- Mon, 02 Feb 2026 10:58 AM (IST)
- Source:Jagran News Network
Concessions on customs and import duties for solar energy, renewable power and e-mobility announced in the Union Budget 2026 are expected to accelerate Uttar Pradesh’s transition towards affordable and clean electricity, while strengthening the state’s position in clean transport and the green economy.
The budget measures are set to support the expansion of rooftop solar projects, solar panel manufacturing, grid-level energy balancing and electric mobility in an integrated manner. Sodium antimonate, a key raw material used in solar glass manufacturing, has been exempted from customs duty, a move that is expected to reduce the cost of solar glass, modules and panels. This will directly benefit the PM Surya Ghar Muft Bijli Yojana.
The exemption of basic customs duty on critical raw materials used in lithium-ion battery manufacturing, including cobalt powder and battery scrap, is expected to significantly benefit grid-level battery storage and power system balancing. Battery storage will help manage fluctuations in solar power generation caused by day-night cycles and weather variations, making the electricity supply more stable, reliable and cost-effective.
Following the budget announcements, investment opportunities in solar manufacturing units, EV components, battery pack assembly and charging infrastructure are likely to rise across industrial hubs such as Noida, Lucknow, Kanpur and Purvanchal. The developments are expected to boost employment generation and industrial activity in the state.
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The reduction in manufacturing costs due to duty exemptions on batteries and critical minerals is also likely to bring down electric vehicle prices, reducing dependence on petrol and diesel and contributing to lower urban pollution.
