Context
Recently, the Ministry of Heavy Industries received 22 bids for 10 GWh of Advanced Chemistry Cell (ACC) battery manufacturing capacity earmarked for Grid-Scale Stationary Storage Systems (GSSS) under the PLI Scheme.
About Advanced Chemistry Cells (ACCs)
- They are new-generation battery technologies, such as lithium-ion cells, utilized in electric vehicles (EVs), consumer electronics, and renewable energy storage.
- They include advanced battery technologies that use different combinations of electrochemical materials and chemistries to achieve improved energy storage performance.
- They possess significantly higher energy density, faster-charging capabilities, and longer life cycles compared to conventional lead-acid batteries.
About the National Programme on Advanced Chemistry Cell (ACC) Battery Storage
- Ministry: Ministry of Heavy Industries.
- Approval: Approved by the Union Cabinet in May 2021.
- Nature: Production Linked Incentive (PLI) Scheme.
- Financial Outlay: ₹18,100 crore.
- Objective: To establish domestic giga-scale ACC battery manufacturing facilities and reduce dependence on imported battery cells.
- Target: Establish 50 GWh of domestic ACC manufacturing capacity.
Significance of ACC Manufacturing
- Energy Security: Reduces dependence on imported battery cells.
- Renewable Energy Integration: Helps store electricity generated from intermittent renewable sources such as solar and wind.
- Grid Stability: Supports electricity supply management and grid balancing.
- Electric Mobility: Strengthens India’s domestic EV battery manufacturing ecosystem.
- Atmanirbhar Bharat: Promotes indigenous manufacturing capabilities and technological self-reliance.
| Important CTC from this Article: Grid-Scale Stationary Storage Systems (GSSS) |
UPSC PYQ (2024)
Consider the following
1. Battery storage
2. Biomass generators
3. Fuel cells
4. Rooftop solar photovoltaic units
How many of the above are considered “Distributed Energy Resources”?
(a) Only one
(b) Only two
(c) Only three
(d) All four.
Model Questions
Q. With respect to Advanced Chemistry Cells (ACCs) and the ACC-PLI scheme in India, consider the following statements:
I. Advanced Chemistry Cells (ACCs) like lithium-ion offer lower energy density but significantly longer lifecycles compared to traditional lead-acid batteries.
II. The ACC-PLI scheme mandates that participating companies achieve a domestic value addition of at least 60% within five years.
III. Under the scheme, manufacturing incentives are provided upfront based on the installed capacity of the battery plant.
How many of the statements given above are correct?
(a) Only one
(b) Only two
(c) All three
(d) None
Answer: (a) Only one
Explanation:
• Statement I is incorrect: Advanced Chemistry Cells (ACCs) offer higher energy density, not lower, in addition to faster charging and longer lifecycles compared to traditional lead-acid batteries.
• Statement II is correct: The ACC-PLI scheme requires companies to meet phased domestic value-addition targets, specifically 25% within two years and 60% within five years.
• Statement III is incorrect: Under the scheme, incentives are not provided upfront based on installed capacity; they are strictly linked to actual commercial battery sales.