Schedule a Call Back
India, powering future mobility through advanced battery manufacturing
Industry News- Oct 04,23
A recent report from the credit rating agency ICRA predicts a substantial influx of electric vehicles that will trigger investments in cell manufacturing, a pivotal component in the EV ecosystem.
India is witnessing a surging wave of electric vehicles (EVs), signifying not just a shift towards cleaner transportation but also a revolution in battery manufacturing efficiency. A recent report from the credit rating agency ICRA predicts a substantial influx of electric vehicles that will trigger investments in cell manufacturing, a pivotal component in the EV ecosystem. By 2030, these investments are anticipated to surpass a staggering Rs 70,000 crores.
Central to this transformation are advanced chemistry batteries, constituting a significant portion (ranging from 35% to 40%) of an EV's cost. To democratise EV usage and ensure competitive pricing, India needs to establish a local ecosystem for battery cell production.
Strategically, investments in battery manufacturing play a crucial role in making EVs more affordable. ICRA's report emphasises that achieving economies of scale in battery production is pivotal to reducing EV costs and achieving pricing parity with conventional vehicles.
While EV adoption is rising, the gradual improvement in charging infrastructure remains a challenge. Enhancing energy efficiency is critical, and partnerships among battery manufacturers across the value chain are essential in overcoming these obstacles. Additionally, a robust framework for battery recycling is imperative to ensure sustainability in the EV industry.
The government of India is actively supporting the EV sector through initiatives like the Production-Linked Incentive (PLI) Scheme for Advanced Chemistry Cell (ACC) Battery Storage. This policy aims to enhance domestic value addition and nurture capability development in the swiftly evolving EV industry. Notably, prominent companies like Reliance New Energy Limited, Ola Electric Mobility Private Limited, and Rajesh Exports Limited have inked agreements with the government, receiving substantial incentives amounting to Rs 18,100 crores under this program.
Regarding battery chemistry, while Lithium-ion batteries have been the preferred choice for EVs due to their high energy efficiency and thermal stability, the report suggests that Lithium Iron Phosphate (LFP) chemistry is gaining momentum. LFP batteries offer superior thermal stability and lower production costs, making them an attractive option for the Indian EV market.
As India accelerates towards sustainable and eco-friendly mobility solutions, the significance of battery manufacturing cannot be overstated. The recent investments in the battery manufacturing sector not only unlock the potential for affordable EVs but also substantially contribute to the nation’s economic growth and environmental preservation. With strategic partnerships, government backing, and advancements in battery technology, India is well on its way to electrifying its future on the roads.
Source: smallcase.com
India
advanced battery manufacturing
electric vehicles
eco-friendly transportation
battery technology
energy efficiency
charging infrastructure
Related Stories
Railways
TRSL and BHEL inaugurate Vande Bharat Sleeper Train production line
With a total value of around Rs 240 billion including long-term maintenance of 35 years, the project is among the significant initiatives being undertaken under our Hon’ble Prime Ministers Make i..
Read moreProcess Equipment
Jindal (India) Limited receives PCOC Certification for ERW Pipes
The certification boosts Jindal (India) Limited’s ability to cater to the industrial and infrastructure sectors in the Middle East country.
Read moreConstruction Equipment
Proposed safeguard duty on steel imports concern for Indian CE sector: ICEMA
The imposition of additional duties would exacerbate these challenges and could have a cascading impact on infrastructure development, which is crucial to India’s economic momentum. Furthermore, i..
Read moreRelated Products
Tata Motors unveils facilities for development of Hydrogen propulsion tech
AUTO COMPONENTS & ACCESSORIES
Tata Motors, India?s largest automobile company, unveiled two state-of-the-art & new-age R&D facilities for meeting its mission of offering sustainable mobility solutions. The unveilings constitute of Read more
Tata Motors plans petrol powertrain for Harrier and Safari SUVs
AUTO COMPONENTS & ACCESSORIES
Tata Motors is in the process of developing a new petrol powertrain for its premium sports utility vehicles, the Harrier and Safari, as confirmed by a senior company official. Currently, these models Read more
Electric Vehicle Charger
AUTO COMPONENTS & ACCESSORIES
RRT Electro is engaged in manufacturing of customized Power Electronic Products over two decades having capability to Design, Develop, Prototyping, Regulatory Compliance testing & Certification, Manuf Read more
latest News
Subscribe to iNoW
For Industry News on WhatsApp, Give a Miss Call on: +91 84228 74016
