Indigenous Lithium-ion Battery Manufacturing And Energy Storage Initiatives

**Executive Summary** The document addresses Lok Sabha Starred Question No. 126 regarding indigenous lithium-ion battery manufacturing and energy storage initiatives. It details the Government of India's initiatives under the Production Linked Incentive (PLI) scheme, projected lithium-ion battery demand, and safety standards being developed. The question was answered on December 9, 2025. **Key Points / Main Content** * **PLI Scheme:** * The Ministry of Heavy Industries is administering the "National Programme on Advanced Chemistry Cell (ACC) Battery Storage." * The scheme, approved in May 2021, has a total outlay of ₹18,100 crore to establish 50 GWh of domestic Advanced Chemistry Cell manufacturing capacity. * 10 GWh is earmarked for Grid Scale Stationary Storage (GSSS) applications. * 40 GWh capacity has been awarded to four beneficiary firms. * List of beneficiary firms under PLI ACC Scheme, with projected capacity and current capacity, is outlined in the following table: * ACC Energy Storage Pvt. Ltd.: Projected capacity 5 GWh, Current capacity 0 GWh * Ola Cell Technologies Pvt. Ltd.: Projected capacity 20 GWh, Current capacity 1 GWh * Reliance New Energy Battery Storage Ltd.: Projected capacity 5 GWh, Current capacity 0 GWh * Reliance New Energy Battery Ltd.: Projected capacity 10 GWh, Current capacity 0 GWh * **Lithium-Ion Battery Demand:** * As per the NITI Aayog report published in May 2022, the projected annual demand for lithium-ion batteries is expected to reach approximately 210 GWh by 2030. * The Government is supporting the establishment of 50 GWh ACC capacity under the PLI ACC scheme. * At least 10 manufacturers have announced a cumulative capacity of about 178 GWh in the country over the next five years. * **Safety Standards:** * The Bureau of Indian Standards (BIS) has published safety standards, prescribing safety requirements and test protocols for lithium-ion batteries. * Ministry of Environment, Forest and Climate Change (MOEFCC) has notified Battery Waste Management Rules, 2022, dated 22nd August 2022, for environmental factors. * List of Safety Standards published by BIS (detailed in the Annexure): * IS 18237: 2023: Safety of Primary and Secondary Lithium Cells and Batteries during Transport. * IS 16893 (Part 2) :2018: Secondary lithium - Ion cells for the propulsion of electric road vehicles: Part 2 reliability and abuse testing. * IS 16893 2018 (Part 3): Secondary Lithium - Ion Cells for the Propulsion of Electric Road Vehicles Part 3 Safety Requirements. * IS 16805: 2018: Secondary Cells and Batteries Containing Alkaline or Other Non-Acid Electrolytes – Safety Requirements for Secondary Lithium Cells and Batteries, for use in Industrial Applications. * IS 16046 (Part 2) :2018: Secondary Cells and Batteries containing Alkaline or other Non-Acid Electrolytes – Safety Requirements for portable sealed secondary cells and for batteries made from them for use in portable applications Part 2 Lithium systems. **Impact Analysis** **Ministry of Heavy Industries:** **Impact:** Responsible for administering the PLI scheme and supporting the establishment of domestic ACC manufacturing capacity. **Action Required:** Continue administering the PLI scheme and monitoring the progress of beneficiary firms in establishing their projected manufacturing capacity. **Beneficiary Firms Under PLI ACC Scheme (ACC Energy Storage Pvt. Ltd., Ola Cell Technologies Pvt. Ltd., Reliance New Energy Battery Storage Ltd., Reliance New Energy Battery Ltd.):** **Impact:** Receiving incentives to establish domestic ACC manufacturing capacity. **Action Required:** To establish their projected manufacturing capacity as per the PLI scheme requirements. **Bureau of Indian Standards (BIS):** **Impact:** Setting the safety standards, prescribing safety requirements and test protocols for lithium-ion batteries. **Action Required:** Ensure adherence to the published safety standards by manufacturers of lithium-ion batteries. **Ministry of Environment, Forest and Climate Change (MOEFCC):** **Impact:** Establishing regulations for environmental factors related to battery waste management. **Action Required:** Ensure adherence to the Battery Waste Management Rules, 2022, by stakeholders. **Lithium-ion Battery Manufacturers:** **Impact:** Required to adhere to the safety standards prescribed by BIS and environmental regulations set by MOEFCC. **Action Required:** Implement the BIS safety standards in their manufacturing processes and comply with the MOEFCC's Battery Waste Management Rules. **NITI Aayog:** **Impact:** Contributed to projecting the demand for lithium-ion batteries. **Action Required:** No immediate action needed, but continued monitoring and analysis of the lithium-ion battery market.

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