Lok Sabha Question No. 3002 (UNSTARRED), answered on 2023-08-08
Subject: Lithium-ion Batteries
Ministry: HEAVY INDUSTRIES
Asked by: P. Velusamy

## GOVERNMENT OF INDIA MINISTRY OF HEAVY INDUSTRIES

## LOK SABHA UNSTARRED QUESTION NO. 3002

ANSWERED ON 08.08.2023

## LITHIUM-ION BATTERIES

## 3002.  SHRI VELUSAMY P.:

Will the Minister of HEAVY INDUSTRIES भारी उद्योग मंत्री be pleased to state:

- (a) whether the energy storage based on lithiumion batteries will help India to achieve its greenhouse mitigation targets and if so, the details thereof;
- (b) the details of the quantity of lithium deposits in the country which is predominantly used in battery manufacturing sector;
- (c) whether the Government instead of importing lithium deposits from foreign countries can take the steps for recycling lithium-ion batteries under Battery Waste Management Rules 2022;
- (d) if so, whether the Government is having any proposal to install recycling plants; and
- (e) if so, the details thereof and if not, the reasons therefor?

## ANSWER THE MINISTER OF STATE FOR HEAVY INDUSTRIES (SHRI KRISHAN PAL GURJAR)

(a) & (b): Yes Sir, the energy storage based on lithium-ion batteries will help India to achieve  its  greenhouse  mitigation  targets  since  the  basic  raw  material  for  production  of electric vehicles is lithium  and other critical materials. At present, investments in manufacturing  and  overall  value  addition  for  Advanced  Chemistry  Cells  (ACCs)  are negligible in India and almost entire domestic demand of ACCs is still being met through imports.  In order to reduce dependency of imported ACC battery for electric vehicles, the Government on 12 th  May, 2021 approved a Production Linked Incentive (PLI) Scheme for manufacturing of Advance Chemistry Cell (ACC) in the country.  The total outlay of the scheme is Rs. 18,100 Crore for a period of 5 years.  The scheme envisages to establish a competitive ACC battery manufacturing set up in the country (50 GWh).  Additionally, 5GWh of  niche  ACC  technologies  is  also  covered  under  the  Scheme.    The  scheme  proposes  a production  linked subsidy  based  on applicable  subsidy  per  KWh and  percentage  of  value addition achieved on actual sales made by the manufacturers who set up production units.

Further,  the  Ministry  of  Heavy  Industries  has  taken  following  steps  to  boost  the production of e-vehicle in the country including public transport buses:

- i. Faster Adoption and Manufacturing of Hybrid and Electric Vehicles in India (FAME India):

The Government notified Phase-II of FAME India Scheme initially for a period of three years commencing from 1 st  April, 2019 with a total budgetary support of Rs. 10,000 crore.  The Scheme was extended for a further period of 2 years up to 31 st March, 2024.  Under FAME-India Scheme phase-II, incentives are provided to buyers of electric vehicles in the form of an upfront reduction in the purchase price of electric vehicles.

## ii. Production Linked Incentive (PLI) Scheme for Automotive Sector:

The Government on 15 th   September, 2021 approved the PLI Scheme for Automotive Sector with a budgetary outlay of Rs. 25,938 crores. Electric vehicles are covered under this PLI scheme.

(c) to (e): Sir, as per the information received from Ministry of Environment, Forest and Climate Change, Government of India published the Battery Waste Management Rules, 2022 on 24 th   August, 2022 for environmentally sound management of waste batteries, including EV batteries.

The  rules  provide  Extended  Producer  Responsibility  framework  for  producers  of batteries to recycle/ refurbish the waste batteries as per the prescribed timelines.  The rules mandate the recyclers to recover the minimum percentage of materials from waste batteries.

*******