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New Delhi: As the Indian government goes bullish on electric vehicles (EVs), automobile original equipment manufacturers (OEMs) are in a huddle to develop long-lasting, durable battery technology to get hegemony over the EV battery market.

In the automotive paradigm, lithium-ion battery technology stands at the centre of innovation and there has been a significant amount of progress in the improvement of lithium-ion battery technology.

According to Niti Aayog’s recent report titled “Zero Emission Vehicles: Towards a policy Framework,” needs a minimum of 10 GWh of cells by 2022, which would need to be expanded to about 50 GWh (Gigawatt hours) by 2025.

Lithium-ion battery manufacturing consists of three parts. First is cell to battery-pack manufacturing involving a value-add of 30 to 40 per cent.

The second is cell manufacturing with value add of 25 to 30 per cent. The third involves battery-chemicals with a value of 35 to 40 per cent of the total cost of battery pack.

“While cell to pack manufacturing plants have started functioning, the others need to be encouraged in India,” says the Niti Aayog report.

According to Liz Lee, a senior analyst at Counterpoint Research, battery cell manufacturers are spending heavily on R&D for improving the energy density of lithium-ion batteries.

“Although the speed of improvements has been slow, gradually, lithium-ion batteries have helped increase the driving range of EVs by utilizing high-energy source materials and improving the per-unit cell size,” said Lee.

Most of the top battery players have announced their plans for commercialization/mass production of NCM811 by 2020.

NCM811, which contains 80 per cent nickel, 10 per cent cobalt and 10 per cent manganese, has a much longer lifespan and allows EVs to go further on a single charge.

“Battery companies have been introducing a roadmap for solid-state battery technology as the next-generation technology and exhibited various innovative products as well,” Lee added.

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