The discovery of Lithium reserves in the Reasi district of Jammu and Kashmir would be a game changer for the country and for the Union Territory. It would lead to economic development for the people of J&K, officials said.
At present, Chile has world’s largest known lithium reserves at 9.2 million tonnes followed by Australia (5.7 million tonnes), Argentina (2.2 million tonnes), and China (1.5 million tonnes).
The discovery of 5.9 million tonnes of Lithium reserves means that India is the second country in the world with Lithium deposits, after Chile that has 9.2 tonnes. It will be a major boost to the manufacture of rechargeable batteries for smartphones, laptops and electric cars.
The Geological Survey of India has found “5.9 million tonnes inferred resources of lithium” in the Salal-Haimana area of Reasi district, Jammu & Kashmir, which is seen as positive development for India’s Shift towards
a greener economy.
Inferred Resources: The term ‘inferred’ refers to the ‘preliminary exploration stage’, the second of a four step
process, according to the Mines and Minerals (Development and Exploration) Act 1957.
Lithium-Ion batteries are used in wind turbines, solar panels,
and electric vehicles, all of which are crucial in a green economy.
A World Bank study suggests that the demand for critical metals such as
lithium (Li) and cobalt is expected to rise by nearly 500% by 2050.
India’s market is projected to register a CAGR of 23.76% by 2028. India is seeking to secure its critical
mineral supplies and build self-sufficiency in this sector
India currently imports all of its Li from Australia and
Argentina and 70% of its Li--ion cell requirement from China and Hong Kong.
The lithium reserves in J&K
could boost the domestic battery manufacturing industry.
The J&K reserves will also help advance the Indian
government’s ambitious plan of “30% EV penetration in private cars, 70% for commercial vehicles, and 80%
for two and three wheelers by 2030 for the automobile industry.”
They will strengthen India’s National Mission on Transformative Mobility and Battery Storage as well.
Critical mineral dependencies constitute a major geostrategic concern in the transition to net--zero carbon
energy systems.
China currently controls 77% of the global lithium-ion battery manufacturing capacity and is home to
six of the world’s 10 manufacturing companies.
The growing geopolitical rivalry with China makes India’s security considerations more immediate as well, especially also in light of the longstanding, and recently escalating, territorial and border dispute. The Union territory of J&K has been the site of historical cross border tensions between India and
Pakistan, domestic insurgency, and terrorism.
If the local populace isn't meaningfully engaged in the impending Li extraction project, the resulting tension could introduce new frontiers of socio-environmental conflict.
Extracting lithium from hard rock mines involves open-pit-mining, which can have
significant environmental consequences including depleting and contaminating waterways and groundwater, diminishing biodiversity, and releasing considerable air pollution.
For every tonne of lithium extracted, 170 cubic meters of water are consumed, and 15 tonnes of CO2
are released, adding to the greenhouse gas emissions that contribute to climate change.
The Himalaya, unlike the stable lithium bearing continental rocks of Australia, is the youngest mountain
range in the world and is much more unstable (as evidenced by land sinking in Joshimath).
In the densely populated context of India, the socio environmental effects of mining are likely to be far
worse than they have been in Australia and likely comparable to lithium extraction in South America.
Learnings from South America: India could learn from the experiences of South American countries,
especially the ‘lithium triangle’ of Bolivia, Chile, and Argentina, which contain roughly half the world’s
known Li.
In Bolivia and Chile, Li extraction has been either in the hands of the state or requires mining companies
to enter into a contract with state owned companies.
According to officials, plans for Li exploration will involve local communities, who
will also be prioritized for jobs in exploration and mine development.
The most effective use of Li reserves should
be for the most important parts of the renewable energy transition, which would also aid the goals of addressing
energy poverty and sustainable development.
To these ends, reducing luxury consumption and promoting public transport should also be an important
part of the agenda of a just transition.