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22th August 2025 (18 Topics)

Circular Economy for Batteries

Context:

The Ministry of Environment, Forest and Climate Change (MoEF&CC) has implemented the Battery Waste Management Rules, 2022 to promote recycling, refurbishment, and circular economy in the battery sector.

Battery Waste Management Rules, 2022 (MoEF&CC):

  • Covers all categories: Electric Vehicle (EV) batteries, portable, automotive, and industrial batteries.
  • Introduced Extended Producer Responsibility (EPR): Producers/importers must meet annual collection, recycling, or refurbishment targets for waste batteries.
  • Mandates use of minimum percentage of domestically recycled materials in new batteries starting FY 2027–28.
  • Ensures formalisation of informal sector through registration, EPR certificate trading, and upgrading recycling clusters.

EPR Online Portal:

  • Facilitates producer and recycler registration, certificate exchange, and compliance reporting.
  • So far: 3,664 producers and 442 recyclers registered.
  • Producers procured EPR certificates for 7.29 lakh MT of key battery metals against target of 10.96 lakh MT.

Technology & Industry Initiatives:

  • MeitY’s role: Promoting informal sector upgradation via MSE-CDP scheme.
  • C-MET technology transfer: Indigenous Li-ion battery recycling tech shared with start-ups and industries under Mission LiFE.
  • PLI-ACC Scheme (2021): Outlay ?18,100 crore for 50 GWh ACC capacity. Over 10 companies announced 100+ GWh additional capacity.
  • MoUs (2024): CSIR labs signed with recyclers for technology transfer, advanced recycling infrastructure, and securing critical mineral supplies.

Circular Economy

Concept & Principles

  • Aims to design products for durability, reuse, and recyclability, ensuring resources circulate longer.
  • Based on 6Rs: Reduce, Reuse, Recycle, Refurbish, Recover, Repair.
  • Contrasts with linear economy (“take–make–dispose”) by minimising waste and maximising resource efficiency.

Need in India

  • Rapid economic growth, urbanisation, climate change, and rising waste generation make CE essential.
  • Supports sustainable consumption & production patterns (SDG 12).
  • Helps reduce import dependence on raw materials, cut carbon footprint, and generate green jobs.

Global Experience

  • Germany & Japan: Adopted CE as an organising principle of their economies.
  • China: Enacted a Circular Economy Promotion Law to regulate industries.
  • EU: Circular Economy Action Plan under European Green Deal.

India’s Policy Push

  • Key Rules:
    • Battery Waste Management Rules, 2022
    • Plastic Waste Management (Amendment) Rules, 2022
    • e-Waste Management Rules, 2022
  • Extended Producer Responsibility (EPR): Obligates producers/importers to manage end-of-life products.
  • Sectoral Action Plans: For e-waste, EV batteries, scrap metal, end-of-life vehicles, municipal waste etc.

Benefits of CE

  • Reduces pressure on natural resources.
  • Mitigates environmental degradation & climate impacts.
  • Promotes inclusive & sustainable industrial development (ISID).
  • Aligns with 2030 Agenda for Sustainable Development.

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