Ministry of Mines Opens Applications Under ₹1,500 Crore Critical Mineral Recycling Incentive Scheme
SDG 9: Industry, Innovation & Infrastructure | SDG 12: Responsible Consumption & Production
Institutions: Ministry of Mines
The Ministry of Mines has issued detailed Guidelines and opened applications (2 October 2025 – 1 April 2026) for the ₹1,500 crore Critical Mineral Recycling Incentive Scheme, approved by the Union Cabinet in September.
This marks the transition from policy approval to operational rollout, allowing eligible firms, including recyclers of e-waste, spent lithium-ion batteries, and end-of-life vehicle parts, to submit proposals for incentives supporting new investments, capacity expansion, modernization, or diversification. The guidelines also define the institutional framework, evaluation process, incentive computation, and performance monitoring for the scheme.
Notably, “black-mass-only” processors are excluded, encouraging integrated recovery of lithium, cobalt, nickel, and other strategic minerals to build domestic recycling ecosystems.
With applications now open, the scheme becomes a test case for India’s critical-minerals governance, where verification, feedstock traceability, and environmental safeguards will determine credibility. It complements industrial and climate-linked efforts such as FAME II and the ACC PLI for battery manufacturing.
What is the National Critical Mineral Mission (NCMM)? → The NCMM, launched in 2024 under the Ministry of Mines, coordinates exploration, processing, recycling, and secure supply of minerals vital for green and digital technologies (such as lithium, cobalt, nickel, and rare earths). It matters because it underpins India’s mineral security strategy for clean-energy and industrial resilience.
What is the Critical Mineral Recycling Incentive Scheme? → A central initiative under the National Critical Mineral Mission (NCMM) to accelerate domestic recycling of strategic minerals from secondary sources. It matters because it reduces import dependence, supports clean-tech manufacturing, and strengthens India’s circular-economy base.
What is FAME II? → The Faster Adoption and Manufacturing of Hybrid and Electric Vehicles (FAME II) scheme, launched in 2019, incentivises demand for electric vehicles through subsidies for EVs, charging infrastructure, and public transport electrification. It matters because it anchors India’s e-mobility transition and creates downstream demand for batteries and critical minerals.
What is the ACC PLI? → The Advanced Chemistry Cell (ACC) Production-Linked Incentive Scheme supports domestic manufacturing of high-performance battery cells. It matters because it reduces import dependence on lithium-ion batteries, promotes local R&D, and integrates India into global clean-energy supply chains.
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Critical Mineral Recycling Incentive Scheme
https://www.pib.gov.in/PressReleasePage.aspx?PRID=2174715