There are many types of energy storage, among which electrochemistry accounts for the highest proportion. The joint cabinet chaired by Indian Prime Minister Narendra Modi approved the expansion of the National Production Linked Incentive (PLI) program to include advanced battery energy storage manufacturing.

The plan, costing US$2.5 billion, will incentivize global and domestic companies to build 50GWh of cumulative advanced chemical battery (ACC) capacity and 5GWh of "niche" ACC production facilities in India. This type of financial incentives was launched under the general initiative of the "Advanced Chemical Battery (ACC) Energy Storage National Plan" to reduce India's dependence on ACC imports.

Although many companies have begun to invest in battery packs in India, their investment in ACC manufacturing is still minimal. Therefore, India must rely on imports to meet all of its ACC needs.

Globally, manufacturers are investing in ACC battery energy storage technology on a commercial scale, as the demand for such batteries is expected to surge by 2030, which can be attributed to the strong growth of electric vehicles, advanced power grids and rooftop solar.

According to the PLI plan, India will provide incentives for domestic and global companies to establish ACC battery manufacturing plants. These manufacturing plants will be selected through a transparent competitive bidding process.

There are various types of energy storage, and it is correct to pay attention to lithium batteries and lead-carbon batteries. The successful bidder must commit to build an ACC production facility with a production capacity of at least 5GWh to 20GWh. They must also ensure that the value of the project in the country is at least 60% within five years. Manufacturing plants must be put into production within two years, and incentives will be issued after five years. Editor/Sang Xiaomei