An Aadhaar ID for batteries? It may hold the key to a greener future

Copyright © HT Digital Streams Limited All rights reserved. Battery IDs can secure the data backbone of India’s clean energy transition. It is not a solution in itself, but an enabler of solutions that leverage data across the value chain. Summary India’s clean energy ambitions depend on much more than just lithium and gigafactories. As the country races to electrify, a new digital backbone in the form of a battery Aadhaar ID system can make a significant difference to the outcomes we achieve. India plans to double its non-fossil energy capacity of about 243GW over the next four years, a feat that will fuel unprecedented demand for battery energy storage systems (BESS) to offset renewable energy outages. A staggering number of lithium-ion batteries (LIBs) will be required, most of which are still being imported. The transportation sector is also dependent on batteries: India aims to have electric vehicles (EVs) account for 30% of new vehicle sales by 2030, up from 7.7% in 2024. But, as demand for batteries increases, do we have sufficient mechanisms in place to make well-informed decisions? As one of the world’s largest importers of processed lithium, our net-zero efforts are vulnerable to the global shift towards protectionist policies, geopolitical disruptions and trade volatility. For India to self-sustainably decarbonize its economy, we need a strategic plan to ensure sustainable supplies of LIBs and critical minerals. From production-linked incentives for advanced chemical cells to efforts to increase local manufacturing capacity, the government has taken steps. In addition, we need interventions that improve resource efficiency and reduce the life-cycle carbon footprint of batteries. This includes extending the life of new batteries as well as optimizing their second life use and recycling processes to extract critical minerals. This requires greater cooperation and exchange of information between battery manufacturers, recyclers and refurbishers. India needs a basic data backbone for individually labeled batteries: a ‘Battery Aadhaar’. A report by the Office of the Chief Scientific Adviser to the government describes it as “a digital record containing data on every battery available on the market, including details on the manufacturer, location, material composition, durability, performance and recycling information.” This record will enable the secure exchange of information to strengthen the value chain. It is not a solution in itself, but an enabler of battery solutions that use data. By tracking each battery, it will enable policymakers to assess compliance with regulations, such as Extended Producer Responsibility (EVR) norms, and identify gaps in battery infrastructure and incentives. Using this digital backbone, we can build interoperable platforms that connect manufacturers, recyclers, utilities and regulators. A digital log of safety-related events, charge-discharge patterns, material composition and performance can unlock value for refurbishers, recyclers, insurers and battery-as-a-service providers. A battery Aadhaar can also improve ‘remaining useful life’ estimates of retired batteries, influencing resale prices and reuse versus recycling decisions. The power ministry has set up a task force for an Indian Energy Stack—digital public infrastructure (DPI) aimed at enabling better governance and innovation across the electricity ecosystem. The Battery Aadhaar fits this vision as it enables information exchange with signed batteries and fast emerging solutions such as vehicle-to-network technology. Challenges exist. Compliance with the system will add costs that can complicate battery starters and small firms. While data accessibility must remain central, robust safeguards will be required to keep proprietary information protected. To avoid exporters, the system must also conform to global battery passport standards. For example, the EU has mandated a QR code-based ‘battery passport’ from February 2027; the UK and China are exploring similar frameworks. Addressing these challenges early—with incentives, clear standards, and phased adoption—will be essential. A priority will be to identify use cases that deliver tangible economic, safety and performance benefits in harmony with India’s decarbonisation and self-reliance goals. Then we’ll need to assess our existing battery data landscape—what data exists, what doesn’t, and what’s sensitive—to define which data should be shared between which battery stakeholders. The resulting framework should be part of a policy roadmap that ensures a transparent and interoperable system for effective and coordinated implementation. The success of a Battery Aadhaar will require a broad consensus before we can optimize value realization across the ecosystem. India has seen how DPI can restore the rules for good. It’s time to explore how a battery data backbone can help secure our energy future. Anubhav Mishra contributed to this article. These are the authors’ personal views. The authors are respectively executive director, integrated transport, clean air and hydrogen, program for sustainable cities; and Associate Director, Electric Mobility at WRI India. Get all the Business News, Market News, Breaking News Events and Latest News Updates on Live Mint. Download the Mint News app to get daily market updates. more topics #Lithium #Electric Vehicle #Clean Energy Read next story