India Considers 50% Localization Mandate for Battery Energy Storage Systems
India's government is proposing a mandate requiring at least 50% local content in battery energy storage systems (BESS) for wind and solar projects to decrease import dependency and enhance security against cyber threats, particularly from China. Ongoing consultations aim to establish a timeline for achieving 47 GW of BESS capacity by 2032, with an estimated investment of ₹3.5 trillion. Previous localization efforts have not significantly hindered expansion, and a list of approved manufacturers may also be introduced.
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India's government is proposing a mandate for at least 50% local content in battery energy storage systems (BESS) for wind and solar projects to reduce import reliance. Consultations with industry leaders are ongoing, focusing on a timeline for indigenization, which aims for 47 GW of BESS capacity by 2032 at an estimated cost of ₹3.5 trillion.
Security concerns regarding cyber threats from imported equipment, particularly from China, are driving this initiative. Previous localization efforts have not severely impacted expansion, and the government may also introduce an approved manufacturers list. A prior mandate for 20% localization under a viability gap funding scheme is in place.
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