India has crossed its 2030 target early by achieving 50 per cent non-fossil electric power capacity by June 2025. However, only about 24 per cent of electricity currently comes from these sources. The country aims for 500 GW of non-fossil capacity by 2030 and net zero emissions by 2070. Achieving these goals depends heavily on securing critical minerals essential for solar panels, wind turbines, electric vehicles (EVs) and battery storage. A global shortage of rare earth and other minerals poses challenge.
India’s Renewable Energy Ambitions
India plans to reach around 820 GW total power capacity by 2030, with over 500 GW from renewable sources. By 2050, India’s net-zero pathway requires 1,472 GW solar photovoltaic (PV), 421 GW wind power and 864 GW battery storage. Current installed capacity is about 485 GW, needing annual renewable additions of 65 GW or more for decades. India’s solar potential has been revised to 10,830 GW by utilising rooftops, floating solar, agricultural PV and more. Space and sunlight are abundant but mineral supply and mid-stream manufacturing capacity limit growth.
Critical Minerals and Their Importance
Clean energy technologies require many minerals. Rare earths like neodymium and dysprosium are vital for efficient magnets in wind turbines and EV motors. Lithium provides battery energy density while cobalt and nickel improve battery stability. Solar PV depends on silicon and gallium for high-efficiency cells. Copper, graphite and other rare earths form the backbone of these supply chains. Any disruption can delay projects, increase costs and jeopardise targets.
Global Supply Challenges and Geopolitics
Demand for critical minerals is rising fast but supply growth lags. Lithium demand grew 30 per cent in 2024, outpacing mining output. Copper faces a 30 per cent supply deficit by 2035. New mines take over 15 years to start production. More than 85 per cent of lithium, cobalt, graphite and rare earth supplies come from just three countries. China dominates processing of many minerals and has tightened export controls citing national security. Indonesia restricts nickel ore exports. This concentration creates risks of politicised supply cut-offs and price volatility.
India’s National Critical Mineral Mission (NCMM)
Launched in January 2025 with a budget of ₹34,300 crore, NCMM aims to build self-reliance in the entire mineral value chain. It targets 1,200 exploration projects and production of 15 critical minerals by 2031. A major lithium deposit in Jammu & Kashmir offers promise but needs fast approvals and private investment. NCMM plans equity stakes in 50 overseas mines to diversify imports. Recycling is a priority with ₹1,500 crore allocated to recover minerals from e-waste and achieve 90 per cent EV battery recycling by 2027. The mission also focuses on strategic stockpiling and setting up domestic processing parks.
Strategic Priorities for India
India must accelerate domestic mining of minerals with known reserves while ensuring environmental and social safeguards. Overseas partnerships with Australia, Argentina and Kazakhstan are crucial for cobalt, gallium and nickel supplies. Scaling recycling and developing substitutes like sodium-ion batteries will reduce pressure on scarce minerals. Near-term reliance on imports and stockpiles will shift to medium-term mining and recycling expansion. Long term focus will be on domestic production, overseas offtake and circular economy to secure supply chains and meet climate goals.
Questions for UPSC:
- Point out the challenges and opportunities in India’s transition to renewable energy by 2030.
- Critically analyse the impact of global geopolitics on the supply of critical minerals essential for clean energy technologies.
- Estimate the role of recycling and circular economy in securing mineral supply for sustainable development.
- Underline the significance of strategic international partnerships in enhancing India’s energy security and climate commitments.
