CEF Insights

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February
Others

India finds big lithium reserve in J&K

Author
Arjun Dutt

Notable because

Lithium is a key mineral used in producing lithium-ion batteries, which are essential for advancing the energy transition. India’s domestic industry requires access to a predictable supply of critical minerals to become more self-reliant in clean energy manufacturing. These minerals are often concentrated in geographies characterised by unfavourable commercial regimes or political instability. In this context, the lithium deposits could translate into reserves that meet a portion of these needs.

What to look out for in the months ahead

It remains to be seen what scale of reserves these deposits yield. Besides lithium, domestic industries require reliable access to several other minerals, such as cobalt and nickel (used in storage), palladium (used in electrolysers), and rare-earth metals, to support the indigenisation of domestic clean energy manufacturing. For this purpose, India needs a concerted strategy to secure these minerals to further its energy security.