Leveling the Charge: GST Equality for Battery Technologies

The India Energy Storage Alliance advocates for a uniform 5% GST on all battery technologies to support the burgeoning sector. Concerns over increasing lithium-ion cell imports from China prompt calls for protective measures and domestic manufacturing support as part of the 'Make in India' initiative.

The India Energy Storage Alliance (IESA) has called for a uniform 5% GST on all battery technologies, aiming to support the rapidly developing sector. This proposal comes as experts anticipate the upcoming Union Budget and seek government intervention to balance the tax structure across different battery types.

President Debi Prasad Dash expressed concerns over the rising imports of lithium-ion cells, particularly from China, which have surged from Rs 18,000 crore in FY23 to Rs 24,000 crore in FY24. The IESA is urging the government to protect domestic manufacturers of batteries and their components in light of these figures.

Dash highlighted the necessity for government-backed schemes to foster the growth of battery component industries, such as cathodes and anodes, to support the 'Make in India' campaign. The proposed Rs 9,000 crore support scheme could boost production capabilities, enabling exports and developing essential industrial skills and infrastructure.

(With inputs from agencies.)