Licenses required for establishing lithium-ion battery recycling facility in India

Setting up a lithium-ion battery recycling facility in India requires several licenses and permits to ensure compliance with environmental, safety, and regulatory standards. This process can be difficult and time-consuming, involving multiple government agencies at the central and state levels. This comprehensive blog will discuss the various licenses and permits needed to establish such a facility in India.

1. Environmental Clearance:

  1. Applicable Authority: Ministry of Environment, Forest and Climate Change (MoEF&CC) at the central level and State Pollution Control Boards (SPCBs) at the state level.
  2. Procedure: Applicants must submit an Environmental Impact Assessment (EIA) report and a detailed project proposal to the concerned authorities. The MoEF&CC or SPCBs will assess the potential environmental impact and grant clearance accordingly.

2. Consent to Establish and Operate:

  1. Applicable Authority: State Pollution Control Boards (SPCBs).
  2. Procedure: Before commencing operations, you must obtain a Consent to Establish and Operate from the SPCB. This consent is crucial to ensure your facility complies with air and water pollution control norms.

3. Hazardous Waste Authorisation:

  1. Applicable Authority: State Pollution Control Boards (SPCBs).
  2. Procedure: Given that lithium-ion batteries contain hazardous materials, you must obtain authorisation for the collection, storage, and disposal of hazardous waste produced meanwhile the recycling process. This includes applying for a Hazardous Waste Generator Authorisation and a Hazardous Waste Transporter Authorisation.

4. Import and Export License:

  1. Applicable Authority: Directorate General of Foreign Trade (DGFT).
  2. Procedure: You must obtain the relevant import and export licenses if your recycling facility intends to import or export lithium-ion batteries or components. The DGFT issues these licenses based on the Foreign Trade Policy in force at the time.

5. Factory License:

  1. Applicable Authority: State Factory Inspectorate.
  2. Procedure: A factory license is mandatory for any industrial unit in India. You must apply for it to the State Factory Inspectorate under the Factories Act 1948 to ensure safety and labour standards compliance.

6. Fire Safety Clearance:

  1. Applicable Authority: Local Fire Department.
  2. Procedure: To guarantee the safety of your facility and personnel, you must obtain fire safety clearance from the local fire department. This includes compliance with fire safety regulations and installing fire alarms and extinguishers.

7. Electricity Connection and Load Approval:

  1. Applicable Authority: Local Electricity Distribution Company.
  2. Procedure: You must obtain a legal electricity connection for your facility and load approval based on your power requirements. Ensure compliance with electrical safety norms.

8. Water and Sewage Connection:

  1. Applicable Authority: Local Municipal Corporation or Water Supply Authority.
  2. Procedure: You must obtain a water connection and ensure your facility complies with sewage disposal regulations.

9. Land Use Clearance:

  1. Applicable Authority: Local Urban Development Authority or Municipal Corporation.
  2. Procedure: Verify that your chosen location is zoned for industrial use. If not, you may need to apply for a change in land use to establish an industrial facility.

10. State-specific Permits and Licenses:

  1. Applicable Authority: Various state government departments.
  2. Procedure: Depending on the state where you plan to establish your recycling facility, additional permits and licenses may be required. These could include labour licenses, health department approvals, and more.

11. PCB Registration:

  1. Applicable Authority: Central Pollution Control Board (CPCB) for pan-India operations or respective SPCBs for state-specific operations.
  2. Procedure: Registration with the CPCB or SPCBs is essential to monitor and regulate the environmental impact of your facility's operations.

12. Compliance with Battery Management Rules:

  1. Applicable Authority: Ministry of Environment, Forest and Climate Change (MoEF&CC).
  2. Procedure: Comply with the Battery Management Rules, which outline the responsibilities of producers, collection centres, and recyclers in managing batteries, including lithium-ion batteries.

13. Occupational Health and Safety Clearances:

  1. Applicable Authority: Directorate General, Factory Advice Service and Labour Institutes (DGFASLI).
  2. Procedure: Ensure compliance with the Occupational Safety and Health (OSH) standards set by DGFASLI to protect the health and safety of your workers.

14. Customs and Excise Duty Compliance:

  1. Applicable Authority: Central Board of Indirect Taxes and Customs (CBIC).
  2. Procedure: Comply with customs and excise duty regulations when importing or exporting battery-related materials or equipment.

15. Research and Development (R&D) Permissions:

  1. Applicable Authority: Department of Science and Technology (DST) or relevant state-level authorities.
  2. Procedure: If your facility includes R&D activities, you may require specific permissions from the DST or state-level bodies to research battery recycling technologies.

16. NOC from Local Authorities:

  1. Applicable Authority: Local Municipal or Panchayat Authorities.
  2. Procedure: Obtain a No Objection Certificate (NOC) from the local authorities, indicating their approval for setting up your facility at the chosen location.


It's important to note that the regulatory landscape may change, and specific requirements can vary by location and the scale of your recycling facility. Therefore, you should consult with legal experts and regulatory authorities in your area to ensure you have the most up-to-date information on the licenses and permits required for your lithium-ion battery recycling facility in India. Early discussions with these authorities help streamline the application process and avoid potential delays.

Diksha Khiatani

A writer by day and a reader at night. Emerging from an Engineering background, Diksha has completed her M. Tech in Computer Science field. Being passionate about writing, she started her career as a Writer. She finds it interesting and always grabs time to research and write about Environmental laws and compliances. With extensive knowledge on content writing, she has been delivering high-quality write-ups. Besides, you will often find her with a novel and a cuppa!

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