Govt Weighs Broader Support For Battery Recycling And ACC Ecosystem: MHI Joint Secretary

New Delhi, Jul 10 (KNN) The Ministry of Heavy Industries (MHI) is considering expanding policy support for battery recycling and advanced chemistry cells (ACC), while also evaluating new incentives for niche battery technologies as part of efforts to strengthen India’s domestic battery manufacturing ecosystem.

Speaking at the India Energy Storage (IES) Week 2026, Vijay Mittal, Joint Secretary, MHI, said there is a growing need to widen the existing incentive framework to include more industry participants and emerging battery technologies.

“There have been repeated requests for creating specific policies for niche battery technologies, and we also see the need to expand the existing incentive system for advanced chemistry cells so that more operators and partners can be covered,” he added.

Broader Focus Across Battery Value Chain

Mittal noted that the government’s approach has evolved beyond promoting electric vehicles to developing the entire battery value chain. This includes cell manufacturing, components, access to critical minerals, recycling systems and financing mechanisms.

He said industry stakeholders have sought dedicated policy support for niche battery technologies, prompting the ministry to examine ways to make the current ACC incentive structure more inclusive.

Battery Recycling & Component-Level Initiatives

The minister highlighted that as part of efforts to strengthen recycling capacity, the MHI is preparing to launch pilot projects on battery recycling in collaboration with the Office of the Principal Scientific Adviser (PSA) and the European Union to bolster India’s recycling ecosystem. 

The ministry is also reviewing proposals for a component-level support mechanism, including a framework similar to an approved list of battery manufacturers. Parallelly, initiatives by the Ministry of Mines to boost domestic refining of critical minerals are expected to complement these efforts, Mittal said.

(KNN Bureau)