INCENTIVE SCHEME FOR CRITICAL MINERAL RECYCLING

Current Context : The Union Cabinet approved a ₹1,500 crore Incentive Scheme for recycling critical minerals from secondary sources. It is a part of the National Critical Mineral Mission (NCMM).

ABOUT THE SCHEME

• Tenure: FY 2025–26 to FY 2030–31.
• Outlay: ₹1,500 crore.
• Feedstock: e-waste, Lithium-Ion Battery scrap, and other industrial scrap.
• Incentives:
  • 20% capital subsidy on plant and machinery.
  • Operational subsidy (40% in 2nd year, 60% in 5th year).
  • Limit: ₹50 crore for large entities, ₹25 crore for small entities.

EXPECTED IMPACT

• Capacity creation: 270 kilotons of annual recycling.
• Critical mineral output: 40 kilotons annually.
• Investment: ~₹8,000 crore.
• Jobs: ~70,000 direct and indirect jobs.