Technological barriers slowing down progress in battery localisation, say industry representatives

BL Chennai Bureau Updated - September 12, 2024 at 07:57 AM.
File picture: Li-Ion battery concept | Photo Credit: Petmal

The scarcity of advanced technology remains a significant hurdle in accelerating the localisation of battery production and associated areas in the country, according to industry leaders. They pointed out that uncertainty surrounding which technologies would prevail adds to caution among investors.

India’s entry into the electric vehicle (EV) sector has been somewhat belated compared to more developed nations, and the push for indigenisation is a relatively recent initiative. Although steady progress has been made, there is still much ground to cover in this evolving field.

“Localisation of batteries poses a substantial challenge at present, largely due to our heavy reliance on imports, particularly for battery cells,” said Shanmuganandam Veerasamy, Chairman of the CII Puducherry State Council and Founder & CEO of Touch Energy Technologies Pvt Ltd.

“Technology remains a significant challenge, as much of it is imported. Despite the emerging ecosystem and growing buzz, no single technology has yet emerged as a clear frontrunner,” he noted during discussions about The Battery Show India, which will be held concurrently with the 17th edition of the Renewable Energy India (REI) Expo at the India Expo Centre, Greater Noida, from October 3 to 5.

Veerasamy stressed the need for India to hasten its progress to keep pace with leading global players. “While our growth may appear gradual due to our starting point, advancements are being made. It’s crucial not only to localise batteries but also the components that comprise them.”

In the realm of EV batteries, the initial focus must be on raw materials and their processing. “India still faces challenges here,” said Ritesh Patterson, General Manager of Performance Plastics and ADFORS at Grindwell Norton Ltd (a part of the Saint-Gobain group). “Although some deposits have been identified, we lack the technology needed for processing. For the foreseeable future, we will remain reliant on imports for raw materials, with substantial changes likely only a few years away.”

In the meantime, India is set to enhance its capabilities in battery pack and cell manufacturing. However, the current market size presents a challenge, as the volumes are insufficient to justify large-scale investments in component manufacturing. Companies are urged to adopt a strategic, long-term perspective.

Patterson stated that investments in capital expenditure should not only cater to the Indian market, but also consider global opportunities. “While India is making strides, companies must be patient with their payback periods and plan for a supply chain that will remain dependent on imports for some years to come,” he adde

The Battery Show India, organised by Informa Markets in India and supported by both Indian and international organisations, will showcase the latest advancements and cutting-edge products in battery technology.

Published on September 12, 2024 02:27

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