Lohum subsidiary Vidyuta has received approval to set up 20 KTPA of cathode active material manufacturing capacity under the government’s Electronics Component Manufacturing Scheme. The project involves an investment of ₹500 crore, with up to ₹125 crore supported through a capex-linked incentive.
Mumbai, November 10 — Recycling company Lohum’s subsidiary Vidyuta has received government approval for 20 KTPA (kilotonnes per annum) of cathode active material manufacturing capacity under the Electronics Component Manufacturing Scheme (ECMS).
The project will involve a total capital investment of ₹500 crore.
Of this, up to ₹125 crore, or 25% of the investment, will be supported through a capex-linked incentive under the government scheme for commercial scale-up.
Why cathode material is important
Cathode active material, or CAM, is a critical component used in lithium-ion battery cells.
According to the company, the latest approval brings cathode material under the scheme’s support for India’s cell-material ecosystem alongside anode material and other battery materials.
Vidyuta said it has become the first lithium cobalt oxide (LCO) cathode active material company to receive approval under the Electronics Component Manufacturing Scheme.
The ECMS was launched by the Ministry of Electronics and Information Technology in April last year to help build a self-sustainable domestic electronics component manufacturing ecosystem.
Vidyuta to manufacture LCO cathode material
Vidyuta’s production facility is designed to manufacture LCO cathode active materials in both polycrystalline and single-crystal forms.
The company said this would allow battery-cell manufacturers to choose the required chemistry and morphology from a single domestic supplier.
The project will also form part of Lohum’s integrated battery-material value chain.
Lithium, cobalt and nickel refined by Lohum — including critical minerals recovered from spent lithium-ion batteries — will be used by Vidyuta to manufacture cathode active material for cell producers in India.
India may need 1.93 lakh tonnes of CAM annually
Lohum Founder and CEO Rajat Verma said the approval would provide Indian cell manufacturers with a domestic source for one of the most valuable materials used in electronics batteries.
While India’s electronics manufacturing sector has expanded rapidly, a large share of the materials used inside battery cells continues to be imported.
Citing NITI Aayog estimates, the company said positive active material represents nearly half of the cost of a lithium-ion battery pack.
India’s advanced chemistry cell manufacturing industry could require around 1,93,000 tonnes of cathode active material annually by 2030 to support approximately 100 GWh of battery production.
Vidyuta Co-founder and CEO Ankit Sharma said the approval would enable the company to scale domestic cathode production using critical minerals refined by Lohum.
The project could therefore help strengthen India’s domestic battery supply chain, connecting recycled and refined critical minerals with locally manufactured battery materials and eventually cell production.
