NITI Aayog's incentives for lithium-ion battery minerals processing

02 Aug 2023 CW Team

NITI Aayog proposed offering incentives in the form of royalty and tax benefits, in addition to a production-linked incentive scheme, for the processing, refining, and recycling of critical minerals used in lithium-ion batteries. The aim was to encourage the manufacturing of essential battery components in India and enhance domestic value addition.

The Aayog emphasised that the policy should prioritise the expansion of lithium-ion battery (LIB) recycling infrastructure through production-linked incentives. This would complement the mining and extraction efforts for critical minerals, promoting environmentally sustainable waste management practices, reusing, and proper disposal. The Aayog conveyed this in its report titled 'Mine to Market: Critical Minerals Supply Chain for Domestic Value Addition in Lithium-Ion Battery Manufacturing.'

Furthermore, the Aayog suggested promoting research and development for earth-abundant alternatives to the critical minerals utilized in ACC batteries. It also aimed to support the commercialization of products through the lab-to-market process, provide assistance to startup incubators and technology industrialisation centres, and facilitate demonstration projects.

The Aayog believed that the thriving domestic lithium-ion battery (LIB) manufacturing industry would require robust supply chains for critical minerals and raw materials, including lithium (Li), nickel (Ni), cobalt (Co), and spherical graphite, necessary for producing key lithium-ion battery components and enhancing domestic value addition.

According to the Aayog's analysis, India's advanced chemistry cell manufacturing industry would need 193 thousand tonne per annum of cathode active material to produce 100 GWh per annum of batteries by the year 2030.

Also read:
Indian Mineral Production records positive growth in April 2023
India surpasses China in Coal-based Steel Capacity

Infrastructure Energy

14 Oct 2025

Maharashtra Clears Green Power Use For Data Centres

In a major policy boost for India’s expanding digital infrastructure, the Maharashtra government has approved a plan allowing data centres in Mumbai, Navi Mumbai, Thane, and surrounding regions to generate and distribute their own renewable energy. The state energy department issued an order enabling data centre parks and individual units, recognised by the industries department, to set up captive power generation and distribution facilities. The permission applies exclusively to renewable energy sources such as solar, wind, or hydro power. Industry experts have hailed the decision as tran..

GHMC Launches Drive To Boost Property Tax Revenue

The Greater Hyderabad Municipal Corporation (GHMC) has launched a special campaign to enhance property tax revenue from non-residential and commercial properties by reassessing their total built-up area. Any discrepancies identified during inspections will trigger immediate revision of both property tax and trade licence fees, officials said. The initial phase of the drive focuses on shopping malls across Hyderabad, with over 300 such establishments identified in the twin cities. After the mall inspections, GHMC will extend the verification process to other non-residential properties, includi..

Cholamandalam To Raise Rs 10 Billion Via NCD Issue

Cholamandalam Investment and Finance Company has invited bids to raise up to Rs 10 billion through secured non-convertible debentures (NCDs) maturing on 14 October 2030, offering a coupon rate of 7.58 per cent. The NCD issue, announced on Monday, comes at a time when corporate bond activity — which saw strong momentum in the first quarter of FY26 — has slowed during the second quarter owing to rising borrowing costs. However, market analysts anticipate a rebound in the coming months as easing bond yields could reignite investor appetite for corporate debt instruments. The company’s fu..