What’s ailing India’s battery scheme for EVs?
GS3Economy · S&T · Environment · Security· Industry, investment & MSMEs· Prelims + Mains·
Why in news
The Institute for Energy Economics and Financial Analysis (IEEFA) and JMK Research and Analysis highlighted that the ACC PLI scheme has only achieved 2.8% of its target capacity as of October 2025.
Background
The Advanced Chemistry Cell Production Linked Incentive (ACC PLI) scheme has an outlay of ₹18,100 crore. As of October 2025, only 1.4 GWh of capacity has been installed against the ambitious targets set to reduce reliance on Chinese imports.
Facts for Prelims
- SchemeACC PLI: A ₹18,100 crore scheme aimed at manufacturing advanced chemistry cell batteries for EVs in India
- FactAs of October 2025, the ACC PLI scheme achieved only 2.8% of its target capacity (1.4 GWh installed)
- BodyIEEFA: Institute for Energy Economics and Financial Analysis
For Mains
Q. Critically analyze the bottlenecks in India's ACC PLI scheme and suggest measures to achieve self-reliance in the EV battery manufacturing ecosystem.
Dimensions to cover in your answer
- Infrastructure bottleneck: Unrealistic timelines for facility construction and manufacturing setup
- Regulatory hurdle: Difficulties in meeting domestic value addition requirements for battery components
- Supply chain risk: High continued reliance on Chinese imports despite PLI incentives
Keywords: Production Linked Incentive · Advanced Chemistry Cell · Value Addition · Import Substitution · EV Ecosystem
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This note is generated automatically from SatyaDheesh's news feed and mapped to the UPSC CSE syllabus. Check facts against the original report or PIB before using them in an answer.