India's Battery Revolution: A Sustainable Shift

India is addressing its limited lithium and other critical minerals by securing resources from reserves abroad and focusing on battery reuse and recycling. Efforts aim to boost electric vehicle and renewable energy storage while decreasing import dependence significantly, supported by government incentives and advanced battery production plans.

India's domestic players are urged to secure resources from countries with sizable reserves of lithium, cobalt, nickel and other critical minerals. A focus on battery reuse and recycling is crucial, as the country currently relies heavily on imports, according to CareEdge.

With a goal to source 50% of its primary energy from renewable sources by 2030, India aims to expand its electric vehicle use and energy storage capabilities. This shift necessitates an increase in lithium-ion battery production, a move expected to curb import dependence to around 20% by FY27, says Hardik Shah, Director at CareEdge Ratings.

Government initiatives, such as the FAME scheme and Production Linked Incentive for Advanced Chemistry Cell, support the development of these capabilities. Despite existing demand predominantly being met through imports, the country anticipates building significant integrated battery production facilities, promoting cost competitiveness and sustainability.

(With inputs from agencies.)