India currently has to rely heavily on lithium imports as major reserves of this important metal are located in the US, Australia, Chile, China, Argentina and Bolivia. But due to the Russia-Ukraine war, this supply is currently closed, due to which it has also become very expensive. Of the 98 million tonnes of lithium resources, only 26 million tonnes were considered to be in ready-to-use form globally.
What is lithium, where is it used?
The name lithium comes from the Greek word ‘lithos’. It means ‘stone’. It is non-ferrous metal. It is used in making all types of chargeable batteries including mobile-laptops, vehicles. It is also helpful in treating diseases like mood swings and bipolar disorder.
Where was its store found in India?
The Geological Survey of India has found 5.9 million tonnes of lithium resources in the Salal-Haimana area of Reasi district in Jammu and Kashmir. Till now India is completely dependent on other countries for lithium. Currently, 50% of its reserves are in three South American countries – Argentina, Bolivia and Chile. But half of the world’s production happens in Australia.
Why important for electric vehicles?
Lithium-ion batteries have a higher energy density than lead-acid batteries or nickel-metal hydride batteries. Therefore, lithium batteries are much smaller than other batteries to store the same amount of energy. Also, being rechargeable, the life is also longer. For example, an electric vehicle would need a 4000 kg lead-acid battery to get the same amount of energy from a 600 kg lithium-ion battery. In such a situation, lithium-ion batteries will be a major source of energy in the coming times. This is the reason why lithium has become important for electric vehicles. It is helpful in reducing dependence on petroleum products.
From where does India get Lithium?
Since the year 2020, India is at number four in the world in terms of lithium imports. India sources about 80% of its lithium-ion batteries from China. India is working on buying stake in lithium-rich countries like Argentina, Chile, Australia and Bolivia to become self-sufficient in this sector. Getting lithium in the country itself will give a boost to battery manufacturing.
How much does lithium cost?
The price of metal in the commodity market is also fixed daily. At present, the cost of one ton of lithium is Rs 57.36 lakh. 59 lakh tonnes of lithium reserves have been found in India, which means its value will be Rs 3,384 billion in today’s time.