Powering India's energy future: Why it's time to bet big on sodium-ion batteries

Time of India

26-05-2025

Known for its high energy density and long cycle life, lithium-ion has emerged as the preferred choice of battery technology. Lithium-ion batteries (LIBs) are also distinguished by their adaptability and scalability, rendering itself to be an ideal candidate for applications in electric vehicles (EV) and utility-scale energy storage. The convergence of the technical benefits coupled with swift expansion of global manufacturing capacities for LIBs has resulted in a substantial reduction in production costs.
India
is actively promoting battery manufacturing and supply chain development, but its access to battery critical minerals, especially lithium, essential for cathode and electrolyte, remains severely limited. To overcome this, the Indian government has initiated efforts to secure critical mineral supplies through partnerships such as the Mineral Security Partnership (MSP) and SPVs like KABIL.
However, supply vulnerabilities remain. China is the dominant player across the value chain including supply of minerals such as lithium and graphite. In 2023, China restricted graphite exports, disrupting supply chains for countries like the US and South Korea. Although India is scaling up its graphite and anode capacity, lithium supply remains heavily exposed to geopolitical risks because of heavy backward integration of five to seven top Chinese lithium processing companies into mining in Australia and Chile. In addition, China is planning to restrict export of advanced technologies, particularly those related to lithium refining and cathode preparation.
Given the restrictions and challenges surrounding critical minerals and battery technology, Indian stakeholders, including the government and industry, need to realign their strategies to secure a resilient position in the global battery supply chain. In this context,
sodium-ion batteries
(SIBs), though still in the development stage, present a promising alternative among the available battery chemistries.
Comparison: LIBs and SIBs
Cathode Active Material (CAM): SIBs often utilize cathode materials designed to accommodate the larger sodium-ions, such as Layered Oxides, Polyanionic compounds, or Prussian Blue analogues. LIBs typically use lithium iron phosphate (LFP) or other lithium containing compounds. Anode Active Material (AAM): While graphite is the common anode material for LIBs, it is not as effective for SIBs because sodium ions do not intercalate as readily into graphite. Alternative materials for SIBs, include hard carbon and soft carbon. Electrolyte salts: The electrolyte in SIBs contains sodium salts, such as sodium hexafluorophosphate (NaPF6), whereas LIBs use lithium salts like lithium hexafluorophosphate (LiPF6). The solvents and additives may also differ to optimize performance.Other cell components such as separators, aluminium foil, and casings are essentially common across LIBs and SIBs.
Techno-commercial suitability of SIBs
The biggest advantage of SIBs lies in the abundance of sodium, one of Earth's most plentiful elements. While LIBs are currently cheaper, SIBs when produced at scale can potentially be ~20per cent to 30per cent more economical.
Although SIBs have a lower energy density, they offer superior safety and temperature tolerance, making them a good fit for
Battery Energy Storage Systems
(BESS). Prioritising early adoption of SIBs in BESS can drive down costs, paving the way for their eventual expansion into mobility applications.
India's advanced chemical industry is well-positioned to supply essential
SIB
components, strengthening the domestic supply chain. SIBs are also compatible with existing
LIB
infrastructure (cell manufacturing), enabling a smooth transition with minimal investment.
However, to realise the potential of SIBs, India needs a strategic and multi-faceted approach. Key stakeholders should take decisive steps to advance both the technological maturity and commercialisation of SIBs.
Technology maturity: The government can prioritize higher funding for academic and industrial research focused on improving energy density, cycle life, and material characteristics. In addition to existing pilot infrastructure, building accessible pilot lines can help bridge the gap between laboratory research and full-scale manufacturing. Cultivating partnership between pilot lines and established organizations, such as
Automotive Research Association of India
(ARAI) and third-party facilities, can further expediate prototype testing and validation of SIB technology.
Creating incubators and innovation hubs can catalyse technological breakthroughs and provide resources, mentorship, and support for startups and researchers in the battery domain. In addition, leveraging IP rights to create strategic partnerships and licensing agreements can further encourage a continuous cycle of innovation and investments in SIB.
Commercialisation roadmap: The government can prioritize the allocation of the remaining 10 GWh under the ACC PLI scheme to players opting for alternative chemistries like SIBs to expediate commercialisation. The rollout of incentives such as tax breaks for raw materials, streamlined approvals to establish manufacturing facilities, and support for OEMs to conduct PoC projects can be critical in bridging between R&D and commercial deployment.
The industry can also leverage international partnerships with global battery players based in Japan or Korea. Gaining access to advanced technologies and creating a collaborative effort among the Indian chemical industry, Tier-1 manufacturers, and academic institutions will help forge a robust supply chain for SIBs.
Furthermore, building targeted training modules on cell technology, the usage of equipment when scaling a gigafactory, and quality control will be key to cultivating a specialized proficient workforce in battery technology within India.
Adopting a dual strategy
The majority of SIB players are at a Technology Readiness Level (TRL) of 5 to 6, which is far from the commercial deployment levels of 8 to 9. In the interim, it is prudent for India to actively participate in the energy transition by utilising LIBs while simultaneously preparing to embrace a forward-thinking strategy through the integration of SIBs. This dual-track approach will enable India not only to participate in the global energy transition but to lead it, especially as SIBs reach commercial maturity and offer a viable alternative to the current LIB paradigm.