By Animesh Ghosh, Soumit Pandey & Vaibhav Chowdhary
The global shift towards clean energy has intensified competition for critical minerals and materials essential for renewable technologies.
India’s growing economy, with energy transition goals of achieving a net-zero economy by 2070, is heavily dependent on imports for key critical minerals and materials required to manufacture these technologies.
The Indian government launched the National Critical Mineral Mission in January, with a budget of ₹34,300 crore over seven years to mitigate supply chain vulnerabilities and enhance domestic capabilities in all stages, from exploration and mining of critical minerals to their processing and recovery from end-of-life products.
The initiative also fast-tracks approvals for mining projects and encourages international acquisitions. Key strategies include stockpiling reserves, establishing processing parks, promoting recycling and setting up a Centre of Excellence for R&D.
Strategic importance of critical minerals
The critical mineral supply chain is fragile due to production being concentrated in a few countries. China controls nearly 60 percent of rare earth element production and dominates the refining of lithium, cobalt and graphite, minerals indispensable for battery technologies.
India risks supply chain bottlenecks without a steady supply, potentially slowing its progress toward energy security and industrial competitiveness. The country can diversify its supply sources while investing in domestic extraction and refining capabilities. Recognising this, the government identified 30 minerals as critical, prioritising their exploration, extraction and processing.
The Geological Survey of India also intensified exploration efforts, with 368 projects completed, 195 ongoing and 227 planned. Internationally, in January Khanij Bidesh India Limited secured 15,703 hectares in Argentina for lithium mining, ensuring long-term access to essential resources.
The government has also committed to funding start-ups and micro, small and medium enterprises in critical mineral research, aimed at cultivating a stable, sustainable supply chain to maintain its industrial momentum without relying heavily on foreign suppliers.
Mapping critical mineral demand
The Ashoka Centre for a People-Centric Energy Transition (ACPET) has projected cumulative mineral requirements until 2070, with key milestones in 2030, 2047 and 2070, using 2023 as a baseline. The analysis spans four primary renewable energy sectors: solar photovoltaic (PV); concentrated solar power (CSP); onshore and offshore wind energy, stationary battery energy storage systems (BESS) for Solar PV and electrolysers for green hydrogen production.
In the solar PV segment, the study encompasses a range of technologies, including crystalline silicon PV, thin-film PV and perovskite technologies . The critical minerals identified include nickel, tin, copper, silicon, indium, gallium, selenium, cadmium, tellurium, molybdenum, tungsten, graphite, titanium, lithium and germanium.
For concentrated solar power (CSP), the analysis focuses on two primary technologies: parabolic troughs, an advanced form of solar thermal energy, and solar power towers, solar furnaces that use mirrors to focus sunlight onto a receiver and operate as point-focus systems. The essential minerals for CSP technologies comprise copper, molybdenum, nickel, titanium, vanadium and niobium.
The study evaluates onshore and offshore wind energy technologies which are further categorised based on turbine type: direct-drive and gearbox. The critical minerals vital for turbine efficiency include copper, molybdenum, neodymium, nickel, dysprosium, praseodymium, terbium and yttrium.
The BESS analysis explores a range of technologies built around six fundamental chemistries: lithium-ion systems dominate the market with their high energy density; vanadium redox flow batteries excel in long-duration applications; sodium-based solutions offer cost-effective alternatives for grid-scale deployment and traditional lead-acid batteries provide reliable backup power. Nickel-based systems serve specialised hybrid applications; bromine-based technologies enable modular configurations.
To understand their resource implications, the analysis tracks critical minerals including electrode materials, electrolyte components, structural elements and rare earth elements used in specialised components and catalysts.
For electrolysers, the study analyses various types, including alkaline electrolysers, proton exchange membrane electrolysers and solid oxide electrolysis, which are crucial for hydrogen production. The critical minerals for these technologies involve copper, zirconium, nickel, graphite, cobalt, iridium, platinum, silicon, titanium, lanthanum, strontium, gadolinium, cerium and yttrium.
The study highlights the critical minerals essential for diverse renewable energy technologies, tracking 22 of the 30 minerals (including eight rare earth and two platinum-group elements) identified by the Ministry of Mines. Given the wide-ranging mineral requirements, it is vital for India to secure their supply to support its renewable energy goals.
Prioritising mineral security
The Centre for Social and Economic Progress developed a detailed framework to assess mineral security, focusing on economic importance and supply risks. Key factors for economic significance include disruption potential (impact on industrial progress), substitutability (availability of alternatives), Gross Value Added multiplier (contribution to high-tech industries) and versatility across sectors.
Supply risks were evaluated by mapping geopolitical vulnerabilities, governance indicators, bottleneck analysis evaluating supply chain weaknesses and import reliance for critical mineral supply. The study emphasises the need for strategic planning, recycling and diversification to mitigate risks and ensure mineral security, particularly for India.
ACPET developed a criticality score to guide policy decisions, integrating cumulative demand trends across 2030, 2047 and 2070 for clean technologies classified under selected renewable energy segments above, as well as economic importance and supply risks. Below is the criticality score of each critical mineral, with overall criticality score determined based on this score.
India’s clean energy ambitions
The overall criticality, cumulative demand trends, economic importance and supply risks of critical minerals
Very High-6, High-5, Moderate-High-4, Moderate-3, Low-Moderate-2, Low-1
Copper, nickel and silicon are the most critical due to exponentially rising demand trends and significant supply chain vulnerabilities. A second tier of in-demand critical minerals includes lithium, cobalt, graphite and gallium alongside rare earth elements, particularly concerning due to their geopolitical concentration in China.
This pattern suggests that supply chain resilience and alternative sourcing strategies can prioritise these minerals, with special attention to rising demand trends. The data indicates a correlation between economic importance and supply risk. Minerals with high economic value often face significant supply chain challenges, creating potential bottlenecks for clean technology deployment.
Strategic partnerships
Despite domestic initiatives, India’s mineral security will ultimately depend on global collaborations. Given China’s dominance in the critical mineral market, diversifying supply sources is imperative. The Commonwealth of Independent States (CIS) presents a viable alternative. Kazakhstan is a significant producer of uranium and rare earth elements. Collaborations in exploration, extraction and processing with CIS nations can provide India with stable and diversified mineral supplies. However, logistical challenges, regulatory barriers and geopolitical considerations must be carefully managed.
Given the extensive use of copper, nickel, silicon, lithium, cobalt, graphite and rare earth elements in various clean energy technologies, it will be crucial to secure their supply and establish a circular economy for these materials to achieve net zero emissions by 2070.
India’s journey toward mineral self-reliance hinges on strengthening domestic capabilities and forging strategic global partnerships. Policymakers can prioritise long-term offtake agreements with resource-rich nations, ensuring uninterrupted access through bilateral trade frameworks such as the India-US TRUST (Transforming the Relationship Utilizing Strategic Technology) initiative and the Mineral Security Partnership (MSP).
The TRUST initiative commits both nations to building resilient supply chains for critical minerals, with plans to accelerate collaboration in research and development, promote investment across the critical mineral value chain and launch the strategic mineral recovery initiative to recover and process critical minerals including lithium, cobalt and rare earths from heavy industries.
India can invest in indigenous refining capacities, reducing reliance on foreign processing and adding value domestically. Embracing circular economy models, such as enhancing recycling technologies to minimise dependency on virgin mineral extraction, is vital.
Equally important is encouraging private sector participation by offering incentives for exploration and processing, fostering innovation and scaling up domestic efforts. This can pave the way for a self-sufficient mineral ecosystem that is crucial for positioning India as a global leader in the critical mineral supply chain.
Animesh Ghosh is Research Fellow at Ashoka Centre for a People-centric Energy Transition (ACPET), Ashoka University.
Soumit Pandey is Junior Research Associate, Ashoka Centre for a People-centric Energy Transition (ACPET), Ashoka University.
Vaibhav Chowdhary is Director, Ashoka Centre for a People-centric Energy Transition (ACPET), Ashoka University.
Originally published under Creative Commons by 360info™.
