Highlighting India’s battery push, the government is backing 50 GWh under PLI, while manufacturers are lining up nearly 178 GWh of additional capacity nationwide.
The government is supporting the creation of 50 GWh of advanced chemistry cell battery manufacturing capacity under the Production Linked Incentive scheme, Parliament was told on Tuesday.
In addition, at least 10 companies have announced plans to set up nearly 178 GWh of battery capacity in India over the next five years.
The update was shared by the Minister of State for Heavy Industries, Bhupathiraju Srinivasa Varma, in a written reply to the Lok Sabha. He said the expansion is aimed at meeting India’s fast-growing demand for lithium-ion batteries and reducing reliance on imports.
As per a NITI Aayog assessment, India’s annual demand for lithium-ion batteries is expected to reach 40 GWh by 2025. This figure could rise to around 210 GWh by 2030, driven by electric vehicles, renewable energy storage and industrial use.
The PLI scheme for Advanced Chemistry Cell battery storage was approved in May 2021 with an outlay of ₹181 billion. Four companies have been selected under the scheme, with a combined projected capacity of 40 GWh. Current operational capacity stands at 1 GWh.
The government is also strengthening access to critical raw materials, as the Minister cited more initiatives. Among them was the National Critical Minerals Mission, approved in January 2025, with a funding allocation of ₹163 billion for 2031. It covers exploration, mining, processing and recycling of minerals such as lithium.
Moreover, the Geological Survey of India has significantly expanded exploration activity. Hundreds of projects targeting critical and strategic minerals are underway across the country. Several mineral blocks have already been auctioned.
Overseas sourcing is being pursued as well, through Khanij Bidesh India Limited, which has acquired lithium brine blocks in Argentina.
On recycling, the Battery Waste Management Rules, notified in 2022, mandate extended producer responsibility. More than 3,300 lithium-ion battery producers and 43 recyclers have registered on the central portal. Over 15,000 tonnes of battery waste have been recycled so far.
The minister said the PLI ACC scheme remains technology-neutral and encourages research and innovation to support long-term domestic capability.
