India’s Energy Transition Hinges on Copper and Critical Minerals

Copper, dubbed the "metal of electrification," is essential for solar panels, wind turbines, electric vehicles (EVs), and power grids. With EVs requiring nearly four times more copper than internal combustion vehicles, its availability is crucial to India’s carbon-constrained future. Demand for copper is expected to double to 50 million metric tons by 2035, driven by the increasing adoption of renewable energy.

Recycling is emerging as a key strategy to reduce India’s dependence on imported copper, nickel, and cobalt. A circular economy can significantly lower emissions and ensure a stable supply of critical minerals. According to NITI Aayog, up to 95% of valuable metals like lithium, copper, and cobalt can be recovered from recycled lithium-ion batteries, reducing reliance on virgin materials.

The rising need for energy storage has intensified demand for nickel, used in lithium-ion batteries, geothermal plants, and hydropower systems. Battery recycling is gaining momentum, with hydrometallurgical processes recovering up to 70% of nickel from waste batteries. With depletion of high-grade ores, mining companies are also exploring low-grade deposits and alternative sources like mine tailings.

India is taking significant steps to secure critical mineral supplies, with efforts to scale up domestic production and acquire assets abroad. Initiatives such as Coal India’s plan to acquire lithium, nickel, and cobalt assets overseas align with this strategy. The government has already auctioned blocks containing nickel and copper to enhance self-reliance in the supply of essential resources.

For India to emerge as a leader in renewable energy technology, it must strengthen its manufacturing capabilities in solar panels, wind turbines, and EV battery components. Securing a stable supply of critical minerals will be key to achieving its energy transition goals.