Indian battery leader prepares FY26 operational launch for multi-chemistry lithium cell pilot line, with 16GWh scalable giga factory planned.
Indian Battery Maker Accelerates EV Energy Storage Roadmap with Dual R&D and Manufacturing Push
Hyderabad, July 2024 – Amara Raja Energy & Mobility Ltd (ARE&M) is making significant strides in its lithium-ion battery ambitions, with its pilot cell manufacturing plant set to become operational by FY2025-26. This development positions the company as a serious contender in India’s rapidly evolving battery ecosystem, complementing its established leadership in lead-acid batteries.
Key Project Milestones
| Initiative | Capacity/Specs | Status | Timeline |
|---|---|---|---|
| Lithium-ion Pilot Plant | Multi-chemistry platform | Construction 90% complete | Operational by Q4 FY26 |
| e+ Energy Labs R&D Hub | 200+ researchers | Final commissioning | FY26 completion |
| Phase-1 Giga Factory | 2GWh | Land acquired, tech finalized | Production starts FY27 |
| Full-scale Expansion | Scalable to 16GWh | Planning stage | Phase-wise till 2030 |
Strategic Differentiators
1. Flexible Pilot Plant Capabilities
✔ Chemistry Agnostic: Tests NMC, LFP, and future solid-state variants
✔ Form Factor Versatility: Cylindrical, prismatic, and pouch cell prototyping
✔ Customer Qualification: Enables production-grade sample batches
2. Indigenous R&D Focus
- e+ Energy Labs will concentrate on:
- Cell chemistry optimization for Indian conditions
- Battery management algorithms
- Second-life applications
3. Phased Commercial Scale-up
- Phase-1 (2GWh): Focus on EV and grid storage markets
- Future Expansion: Modular design allows 8x capacity growth
- Localization Target: 65% domestic content by FY28
Leadership Insights
Vikramadhithya Gourineni, ED – New Energy:
“Our pilot plant isn’t just a testbed—it’s a customer co-creation platform. With global talent and partnerships, we’re building IP that addresses both performance and cost challenges unique to Indian applications.”
Market Context: India’s Battery Landscape
🔋 Domestic Demand:
- EV Batteries: 60GWh required by 2030
- Energy Storage: 120GWh grid-scale need
⚡ Competitive Positioning:
- Against Exide: Earlier lithium commercialization
- Vs. New Entrants: Leverages existing OEM relationships
🌏 Global Partnerships:
- Equipment sourcing from Wuxi Lead (China)
- Material tie-ups with European cathode producers
Financial & Operational Strengths
💰 Existing Business Foundation:
- ₹8,200 crore FY24 revenue from battery operations
- OEM Relationships: Supply to all major Indian automakers
🔄 Synergy Opportunities:
- Leverage Amaron dealership network for EV battery swaps
- Cross-utilize industrial battery clients for stationary storage
Sustainability Commitments
♻ Green Manufacturing:
- Pilot plant to run on 30% renewable energy
- Water recycling systems in place
📊 Circular Economy:
- Battery recycling pilot with Tata Chemicals
- Second-life research for telecom backup
Upcoming Catalysts
- Q1 FY25: First prototype cell samples
- Q3 FY25: EV OEM qualification trials
- FY26-End: Commercial production decision
