The discovery of new lithium reserves in Jammu and Kashmir, India, has the potential to be a game changer for the country and the world. Reserves of lithium are rare, with only 98 million tons known to exist globally. India has now discovered around 5.5% of these resources, marking the start of a new era for the country’s expanding electric vehicle (EV) industry, as well as for the world as a whole.
- Uses of Lithium
Lithium is an extremely reactive, alkaline, and light metal that is used in a wide variety of applications, including the manufacturing of ceramics and glassware, greases, medicinal compounds, air conditioners, and aluminum. However, its primary use is in lithium-ion batteries, which are used in EVs, laptops, mobile phones, and other electronic devices.
- Boost to various sectors
The discovery of new lithium reserves in Jammu and Kashmir is essential because lithium is a critical resource in the twenty-first century. Lithium-ion batteries have become the driving force behind the revolution in smartphones, tablets, and other smart devices. Since the commercialization of lithium-ion batteries after the 1990s, significant technological advancements have put lithium at the forefront of battery technology. Its maximum energy storage capacity per kilogram makes it an ideal option for electric vehicle manufacturers due to its enormous energy storage capacity and incredibly low weight.
- Use in EV batteries
EV batteries contain a few grams of lithium, which is best described as being comparable to half a teaspoon of sugar. Four thousand battery cells and eight kilograms of lithium are both potential requirements for an EV. One ton of lithium can supply the demand for 100 electric cars. One million electric automobiles require around 50,000 tons of lithium carbonate equivalent.
Will benefit Indian economy in many ways:
The discovery of new lithium reserves in Jammu and Kashmir has the potential to benefit the Indian economy in several ways.
- Less dependence on imports
It can reduce India’s dependence on imports of lithium, which is currently imported to meet the demand for lithium-ion batteries in electronic devices and electric vehicles. India is one of the world’s largest importers of lithium-ion batteries, and this reliance on imports has contributed to a significant trade deficit. By developing its domestic reserves, India could reduce its dependence on foreign countries for lithium and thus reduce the trade deficit.
- Job creation
The domestic production of lithium could create new jobs and boost local economies. Lithium mining and processing can create jobs in the mining sector, and the development of lithium-ion battery manufacturing facilities could create jobs in the manufacturing sector. India has a large workforce that could benefit from such job creation, particularly in regions where unemployment is high.
- Growth for EV sector
The development of domestic lithium reserves could stimulate the growth of India’s electric vehicle industry. The Indian government has set an ambitious target to achieve 100% electric vehicle sales by 2030, but the lack of domestic lithium reserves has been a significant obstacle to achieving this goal. The discovery of new reserves could help to overcome this obstacle and provide a domestic supply of lithium for the production of electric vehicle batteries.
- Impact cost of lithium-ion batteries
The domestic production of lithium could reduce the cost of lithium-ion batteries and make electric vehicles more affordable for Indian consumers. Currently, the high cost of lithium-ion batteries is a significant barrier to the adoption of electric vehicles in India. By developing domestic reserves, the cost of lithium-ion batteries could be reduced, making electric vehicles more affordable and thus stimulating demand for them.
- Can develop new industries
The development of domestic lithium reserves could lead to the growth of new industries related to lithium. For example, lithium-ion batteries are used in a wide range of products, including smartphones, laptops, and other electronic devices. By developing its domestic reserves, India could create a new industry focused on the manufacturing of lithium-ion batteries and other products that use lithium. This could help to diversify India’s economy and reduce its reliance on traditional industries.
- Sustainable industry
The development of domestic lithium reserves could contribute to India’s efforts to transition to a more sustainable economy. Lithium-ion batteries are a key component of renewable energy systems, such as solar and wind power, which are essential for the transition to clean energy. By developing its domestic reserves, India could support the growth of renewable energy systems and reduce its dependence on fossil fuels.
India has long been dependent on the import of lithium-ion cells or battery packs for all types of uses, including EVs. With the discovery of the lithium reserve in Jammu and Kashmir, India’s dependence on imported lithium-ion batteries could be significantly reduced. The reserve will help to meet India’s expanding EV industry’s demand, as the country seeks to become more self-sufficient and less reliant on China for battery supplies.
