As the country gears up to reduce pollution and high dependency on import of fuel through the push towards electric vehicles (EVs), the biggest challenge is to set the course rolling for the lithium-ion battery manufacturing scenario in the country.

Currently, India does not have even a single major lithium-ion battery manufacturing plant in the country. The existing miniscule EV industry in India is heavily dependent on import of Li-Ion batteries, the core component of an EV, which also serves to increase EV costs.   

Incidentally, the first lithium-ion battery manufacturing unit is set up jointly by Suzuki Motor, Toshiba and Denso with an investment of $530 million (Rs 3,348 crore) in Hansalpur, Gujarat. The plant is slated to be ready by 2020.

Mahindra & Mahindra, the country’s sole electric-vehicle manufacturer with commercially available EVs, is also keenly exploring viability for setting up manufacturing of lithium-ion batteries in the country.

If India wants to become a global player for EV technology, the country will need to come up with lithium-ion batteries (LiBs) manufacturing plants, V K Saraswat, member, NITI Aayog, told PTI. As per Saraswat, with the government’s major push towards EVs, reducing cost of the lithium-ion battery would be a challenge. "To become a global player in electric vehicles technology, we will have to increase value addition," said Saraswat.

Mentioning how India cannot just rely on assembling EV components, and there is a need to "set up large lithium-ion batteries manufacturing plants in India", he further stated that presently there was lack of manufacturing lithium-ion battery in the country. 

Adding to that, Saraswat mentioned when the country switches towards EVs, the charging power should come from renewable sources of energy such as solar or wind.  He pointed out that the growth of EVs in the country would also require charging infrastructure to be set up. "Even petrol pumps should be equipped with charging stations and we will have to use renewable solar energy or bio-fuels for charging of EVs. We will also have to create electric distribution company and also a regulatory framework would have to be followed."

He commended the efforts for indigenous development of lithium-ion batteries by the Indian Space Research Organisation (ISRO).