India's Advanced Chemistry Cell Battery Market Expected to Expand Rapidly by 2030
Monday, 14 August 2023, 09:48 IST
In India, it is estimated that the market demand for advanced chemistry cell (ACC) batteries will grow at a CAGR of 50% from 20 GWh in 2022 to over 220 GWh by 2030. It is envisaged that a sizeable portion of the whole value chain, from material processing to pack assembly and integration, will be localized in India in order to support the thriving domestic battery manufacturing industry and a strong local supply chain.
"The battery that powers the car's motor plays a big role in EVs. For the development of more effective EVs, advancements in battery technology are essential, according to Vipin Sondhi, chairman of the CII National Committee on Future Mobility and a former CEO and MD of JCB and Ashok Leyland. In order to challenge China's dominance in the field, Sondhi continued, "It is imperative for India to not only strengthen the national battery raw materials and manufacturing set-up but also to become a globally reputable supplier of high-quality, innovative battery materials."
The expansion of local mining is necessary because the nation's reserves, production capacity, and refining capacity for a number of primary minerals, including cobalt, nickel, and copper, are extremely low. Additionally, they are urged to reduce the customs charge on essential minerals used in battery production and to encourage the construction of mineral processing facilities to extract necessary materials.
India needs to develop a battery chemical processing industry on par with other battery manufacturing stages and this can be done by providing incentives from the government, increasing funding for R&D, collaborating with nations that have advanced technology, and simplifying regulations pertaining to the chemical industry, such as those governing licenses and environmental protection.
In order to increase domestic battery cell production, the government this month announced the re-bidding of production-linked incentives for 20 GWh Advanced Chemistry Cell manufacturing India. The latest generation of sophisticated storage technologies, known as advanced chemistry cells (ACCs), may store electrical energy as either electrochemical or chemical energy and then convert it back to electrical energy as and when needed. These have numerous important applications, including in consumer electronics, solar rooftops, preserving grid stability, and electric vehicles. Energy storage is anticipated to play a significant part in the overall energy ecosystem given India's commitment to renewable energy and its goal of becoming net-zero by 2070.
"The battery that powers the car's motor plays a big role in EVs. For the development of more effective EVs, advancements in battery technology are essential, according to Vipin Sondhi, chairman of the CII National Committee on Future Mobility and a former CEO and MD of JCB and Ashok Leyland. In order to challenge China's dominance in the field, Sondhi continued, "It is imperative for India to not only strengthen the national battery raw materials and manufacturing set-up but also to become a globally reputable supplier of high-quality, innovative battery materials."
The expansion of local mining is necessary because the nation's reserves, production capacity, and refining capacity for a number of primary minerals, including cobalt, nickel, and copper, are extremely low. Additionally, they are urged to reduce the customs charge on essential minerals used in battery production and to encourage the construction of mineral processing facilities to extract necessary materials.
India needs to develop a battery chemical processing industry on par with other battery manufacturing stages and this can be done by providing incentives from the government, increasing funding for R&D, collaborating with nations that have advanced technology, and simplifying regulations pertaining to the chemical industry, such as those governing licenses and environmental protection.
In order to increase domestic battery cell production, the government this month announced the re-bidding of production-linked incentives for 20 GWh Advanced Chemistry Cell manufacturing India. The latest generation of sophisticated storage technologies, known as advanced chemistry cells (ACCs), may store electrical energy as either electrochemical or chemical energy and then convert it back to electrical energy as and when needed. These have numerous important applications, including in consumer electronics, solar rooftops, preserving grid stability, and electric vehicles. Energy storage is anticipated to play a significant part in the overall energy ecosystem given India's commitment to renewable energy and its goal of becoming net-zero by 2070.
