India's ACC battery demand to rise to 700GWh by mid-2040s from 28GWh in 2025: Report

New Delhi: India's demand for Advanced Chemistry Cell (ACC) batteries will increase to over 700 GWh by mid-2040s from 28 GWh in 2025, a report by India Energy Storage Alliance (IESA) released on Thursday said.

The report, which provides a detailed assessment of India's battery value chain through 2047, reveals that the country's transition to electric mobility and large-scale energy storage will be central to achieving its climate commitments, the Viksit Bharat Vision 2047.

The study adopts two forecast scenarios: a Business-as-Usual (BAU) case and a more ambitious Viksit Bharat Pathway (VBP) case, projecting that total battery demand could reach between 1.3 TWh and 1.9 TWh by 2047, an IESA statement said.


"India's demand for ACC batteries is set to witness growth over the next two decades, scaling from 28 GWh in 2025 to well over 700 GWh by the mid-2040s," the report said.

The report was released at the India Battery Manufacturing and Supply Chain Summit (IBMSCS) 2026, a two-day flagship event organized by IESA in Hyderabad.

Rajesh Kulhari, Joint Secretary, Ministry of Renewable and Energy, said on the occasion that India's energy storage revolution calls for collaboration across the ecosystem.

"Our analysis shows that the rapidly growing demand for batteries presents both an enormous opportunity and a strategic imperative for building domestic manufacturing capabilities," said Debmalya Sen, President, IESA.

"To truly realise the Viksit Bharat vision, we must move beyond cell assembly to develop a complete ecosystem spanning raw materials, components, and recycling," he suggested.

The report highlights that EVs are projected to account for approximately 60 per cent of total battery demand in 2025, rising to around 74-77 per cent by 2047.

India's EV market is expected to grow at a CAGR exceeding 30 per cent through 2035, led by electric two- and three-wheelers, followed by passenger vehicles and commercial fleets, it stated.

Simultaneously, stationary energy storage deployment is set to accelerate post-2030, driven by renewable energy integration and grid balancing requirements, growing at over 23 per cent CAGR through 2035, the report stated.

S K Sharma, Director, ITE & C, Telangana government, said that Telangana is working to create a robust ecosystem for battery manufacturers and investors.

The report also projects Lithium Iron Phosphate (LFP) and its variants to account for more than 60 per cent of total battery demand by 2047, driven by cost advantages, thermal stability, and safety.

The event also features significant international participation from China, Japan, Korea, Finland, Australia, Germany, and the USA, reflecting the global significance of India's battery ecosystem development.