Cabinet Approves Incentive Package For India’s 1st Silicon Carbide Semiconductor Unit In Odisha

Bhubaneswar: RIR Power Electronics Limited will establish India’s first silicon carbide (SiC) semiconductor manufacturing facility in Odisha. The company will set up the unit in the capital city here with an investment of Rs 618.60 crore.

The state Cabinet in its meeting chaired by Chief Minister Mohan Charan Majhi on Wednesday approved a customised incentive package for the project.

The project will be implemented in two phases. The groundbreaking ceremony for the manufacturing facility was held at Electronic Manufacturing Cluster (EMC) park in Infovalley in Bhubaneswar on September 7, last year.

The facility will focus on SiC-based devices catering to electric vehicles (EVs), renewable energy, railways and defence sector, the Chief Minister told reporters after the Cabinet meeting.

The project is expected to create around 750 jobs. It will be India’s first compound semiconductor fab, significantly enhancing domestic manufacturing capabilities with high-value processes like epitaxial layer deposition and packaging.

The company is India’s sole manufacturer of silicon-based power devices, serving clients like BHEL, ABB and Indian Railways.

This project is poised to position Odisha as a leader in India’s semiconductor ecosystem, driving industrial growth, local supply chain development and skilling opportunities.