Overview of Lithium-Ion Battery Import License

The Union Science Ministry data suggested that India has quadrupled its imports of lithium-ion (Li-ion) batteries in a span of the past five years. This can be attributed to the rapidly growing electric vehicle and the renewable energy sector indicated by the growing solar energy production in the country. The list of devices that use lithium-ion batteries is enormous, therefore the demand. India imports a significant share of its demand for lithium-ion cells and battery packs from China, Hong Kong, Japan and South Korea. It is among the largest importers of lithium-ion batteries in the world. This is primarily because India has limited lithium reserves and has been dependent on imports of lithium-ion and lithium-ion battery packs from other countries.

Uses of Lithium-ion batteries

Lithium-ion batteries have many advantages over other secondary batteries available. They are compact, have higher charge density, are more resistant to self-discharge and can provide significantly more charge cycles. Lithium-ion batteries are used in electric vehicles, telecom towers, data centres, solar power plants, mobiles and EEE. These batteries also have the potential to provide essential grid services in the power sector in the future. They are used in remote locations, emergency power backup, UPS, solar power storage, and surveillance systems.

Procedure to Obtain Battery Import Registration

To obtain Lithium-ion Battery Import License, the importer must obtain prior authorisation by the CPCB through its BRMS portal. After initial registration and application at the BRMS portal, applicants must submit a physical copy of the application on their letterhead, enclosing the documents mentioned. In this step, the applicant needs to take out the Printouts of Form II and Form III from the online application on their letterhead and provide their stamp and signature on the application. The set of documents and application form has to be sent to CPCB. The concerned authority at CPCB will scrutinise the application, ensure that the applicant meets all requirements and issue the licence within seven days of hard copy submission to applications that are complete in all respect. Once issued, the registration certificate will be sent to the corporate or branch address mentioned on the IEC certificate.

Documents required for Lithium-Ion Battery Import License

• Printouts of Form II and Form II
• PAN Card
• IEC Certificate
• Half Yearly Returns
• BIS certification
• Self-attested copy of IEC

Procedure to Avail Lithium-Ion Battery Import License

Advantages of Lithium-ion Battery

There are a variety of Lithium batteries (Li-ion) available on the market. They have many advantages like high energy density, lightweight, fast charging, portability, long life, safety, maintenance-free, and long life. The technology is witnessing significant cost reductions, too, along with advancement in the field. Lithium-ion batteries weigh less than lead-acid batteries and hold their charge exceptionally well. Also, the energy output from these batteries remains pretty consistent. It is the first choice for manufacturers that need a source of power or its storage in their products. These batteries can also handle hundreds of charge and discharge cycles without losing their electrochemical potential.

Future demand for Lithium-ion Batteries

Although some manufacturing facilities for lithium-ion batteries have been set up in India with partnerships between Indian and foreign manufacturers, the demand for Lithium-ion batteries is still enormous. India is the largest manufacturer and consumer of 2 and 3-wheelers today and is expected to be the world's biggest automotive market by 2026. The EV segment has also shown a similar trend in recent years. A report by the Council on Energy, Environment and Water (CEEW) has valued the EV market in India to reach $206 billion by 2030. Lithium-ion battery technology has superseded lead-acid batteries in both mobile and stationary applications. As the cost of EVs is concerned, the gradual decrease in EV prices in recent times is also an indicator of an increase in the future demand for rechargeable lithium-ion batteries. Going by the estimates, electric vehicles will reach price parity with conventional internal-combustion-engine vehicles on a first-cost basis by 2025. All these factors, coupled with India's aspiration to achieve 100% electric vehicle sales by 2030, add further impetus to the import of lithium-ion batteries.

Suspension of Authorisation

It is mandatory for every importer of batteries to file half-yearly returns to the State Pollution Control Board and send a copy of the same to CPCB. As per CPCB guidelines, non-submission of half-yearly returns will result in the suspension of registration granted under Rule 5 of Batteries (M&H) Rules, 2001.

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