Report: India plans $1.4 billion scheme for battery cell components
The move is aimed at bolstering energy security through a local battery supply chain. The proposed incentives cover anode and cathode active materials, electrolytes, separator film and copper foil, Bloomberg reports.
India is nearing the rollout of a fresh incentive programme for advanced battery cell component makers worth up to USD 1.37 billion, according to Bloomberg.
The proposal is expected to go before the Expenditure Finance Committee of the Indian finance ministry after inter-ministerial consultations, the report said.
The move is aimed at bolstering energy security through a local battery supply chain as India struggles to compete with battery imports from China.
The proposed incentives cover anode and cathode active materials, electrolytes, separator film and copper foil, sources told Bloomberg.
The Indian government’s previous Advanced Chemistry Cell Production Linked Incentive scheme targeted 50 GWh of domestic cell manufacturing capacity. But till late last year, only a fraction of that was commissioned. India's battery requirement is set to rise from about 28 GWh in 2025 to over 200 GWh by 2030.
India currently produces only a marginal fraction of the battery cells required to meet its competitive large-scale storage tenders, according to a recent report published by market analysis firm Wood Mackenzie.
Worldwide, EVs remain the largest driver of battery demand but BESS is the fastest-growing segment.
