INR 618-Crore SiC Semiconductor Project Gets State Support in Odisha

The Electronics & Information Technology Department, Government of Odisha, has approved fiscal assistance for Phase 1 of RIR Power Electronics Limited’s Silicon Carbide (SiC) semiconductor manufacturing project, marking a milestone for the state’s electronics manufacturing sector.

The Odisha Computer Application Centre (OCAC), the nodal agency for the project, has issued a notification formalising the fiscal support agreement. This will allow pro-rata disbursement of the sanctioned capital subsidy for the ongoing phase.

INR 618-Crore Investment, INR 32-Crore Subsidy for Phase 1

The INR 618-crore project had received clearance from the State-Level Single Window Clearance Committee and cabinet approval in the previous fiscal year. 

In the current phase, the company has invested INR 65 crore, making it eligible for a capital subsidy of INR 32 crore under the state’s electronics manufacturing policy.

The upcoming plant will be the first Silicon Carbide semiconductor manufacturing facility in the state. It will produce high-voltage SiC components - including MOSFETs, IGBTs, and diodes in the 3.3 kV to 20 kV range - crucial for applications in electric vehicles (EVs), renewable energy and power grids, industrial automation, and advanced power electronics.

“We extend our sincere gratitude to the Government of Odisha for their visionary support. This initiative enables us to bring modern semiconductor manufacturing to the state, while also contributing to innovation, employment, and India’s energy efficiency goals,” said Dr. Harshad Mehta, Chairman and Director of RIR Power Electronics.

Boost to Make in India and Energy Efficiency

Silicon Carbide technology offers high efficiency and reliability for high-power applications, enabling better system performance, reduced energy loss, and improved sustainability. As per the government’s official data, the size of the Indian semiconductor market was about USD 38 billion in 2023, USD 45- 50 billion in 2024-2025 and is expected to reach USD 100-110 billion by 2030.

The Union Cabinet of India approved the India Semiconductor Mission (ISM) in December 2021, with an outlay of INR 76,000 crore. The programme aims to provide financial support for investments in semiconductor fabrication, display manufacturing & chip design to strengthen India's integration into global electronics value chains.