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UPSC » Daily News Analysis ‘Critical Minerals Recycling Incentive Scheme’ : 4 September

Daily News Analysis ‘Critical Minerals Recycling Incentive Scheme’ : 4 September

Table of Content

About the Scheme:

  • Objective: Recover critical minerals like copper, lithium, nickel, cobalt, and rare earth elements from end-of-life products.
  • Scope: Recycling of e-waste, lithium-ion battery scrap, catalytic converters, and old vehicles.
  • Tenure: 6 years (FY2025–26 to FY2030–31).
  • Beneficiaries: Both large and small recyclers; one-third of the funds reserved for small/new players.
  • Support: Incentives for new units, expansion, modernisation, and diversification.

Importance of Critical Minerals:

  • Key inputs for EVs, batteries, electronics, defence, and renewable energy technologies.
  • India is heavily import-dependent, making recycling vital for supply chain resilience.
  • Recycling reduces import bills, environmental damage, and dependence on geopolitically sensitive regions.

About NCMM (National Critical Mineral Mission):

  • Launched to ensure secure, sustainable, and resilient supply of critical minerals.
  • Focuses on exploration, processing, recycling, and international collaborations.

Why in News?

The Union Cabinet has approved a ₹1,500-crore incentive scheme to boost domestic recycling capacity for critical minerals under the National Critical Mineral Mission (NCMM).