Overview

• The Union Cabinet cleared incentives running from FY 2025-26 to FY 2030-31 to recover critical minerals from e-waste, lithium‑ion battery scrap and catalytic converters.
• Support includes a 20% capex subsidy for timely commissioning plus an opex subsidy tied to incremental sales, with 40% paid in the second year and the remaining 60% in the fifth year.
• Eligibility is limited to operations that extract and separate critical minerals, with activities confined to black mass production excluded from benefits.
• One-third of the outlay is earmarked for small and new recyclers, with total aid capped at Rs 50 crore per large entity and Rs 25 crore per small entity, including opex sub-limits of Rs 10 crore and Rs 5 crore.
• The government projects at least 270 ktpa recycling capacity, about 40 ktpa annual critical mineral output, roughly Rs 8,000 crore in investment and around 70,000 jobs.