WionDrive News Desk 
State-owned refiner Indian Oil Corporation and Panasonic Group company Panasonic Energy Co. have entered a pact to manufacture cylindrical lithium-ion cells in India to prepare for increasing energy demand for two and three-wheelers in the Indian market.
The signing of the binding term sheet came about after an initial agreement between the two parties back in January. To put things in perspective, lithium-ion batteries that power electric vehicles (EV) are used to store energy and are expected to play a pivotal role in realising India’s goal of becoming a net zero emitter of greenhouse gases by the year 2070.
Both companies are actively involved in a feasibility study on the utilisation of battery technology for heralding the transition to clean energy in India. The details of the collaboration are expected to be finalised by the summer of this year.
According to a release by Indian Oil on March 31, the Joint Venture will strive to contribute to the growth of the lithium-ion battery industry and India’s energy transition by leveraging Panasonic Energy’s expertise in battery development and manufacturing.
An annual Economic Survey revealed that India is expected to witness sales of over 10 million EVs a year by 2030. Investing in local manufacturing will not only help meet domestic requirements but also improve India’s self-reliance while fortifying the country’s position in the global energy landscape.
An investment of this nature will also create more demand for raw material sourcing within the country and facilitate the entry of new participants in the market, said the national oil company.
Indian Oil said that it is aiming to fulfil its net-zero operational emissions goal by 2046 by actively engaging in the development of clean energy sources, including the utilisation of solar power, biofuels and hydrogen.
