India to Extract Critical Minerals from Urban Waste, Considers E-Waste Rule Amendments

India is positioning itself to become a regional recycling hub for critical minerals through an ambitious urban waste mining initiative. Mines Secretary Piyush Goyal has outlined the government's multi-pronged approach to address critical mineral requirements, emphasizing recovery and recycling from urban waste as an immediate opportunity for collaboration with the private sector.

Inter-Ministerial Coordination for Urban Waste Recovery

The Ministry of Mines has engaged in comprehensive discussions with multiple government departments to establish a framework for urban waste utilization. The collaborative effort involves the Ministries of Housing and Urban Affairs, Environment and Forests, Road Transport and Highways, and Electronics and Information Technology. These discussions focus on developing systematic measures to collect urban waste and extract critical minerals that are currently not being recovered.

The Mines Ministry has specifically requested the Ministry of Environment and Forests to expand the e-waste rules to include additional critical minerals where recycling infrastructure already exists. This regulatory adjustment could significantly enhance the recovery of valuable materials from electronic waste streams.

Strategic Approach to Critical Mineral Security

Goyal outlined India's comprehensive strategy for critical minerals, which encompasses multiple approaches beyond urban waste recovery:

• Fast-tracking exploration through auction of mineral blocks
• Active international negotiations for mineral exploration rights
• Securing long-term offtake agreements at competitive prices
• Developing domestic processing capabilities

The Secretary highlighted that while mineral availability is manageable through existing arrangements, including lithium blocks in Argentina, the primary challenge lies in developing robust processing value chains. Without adequate processing infrastructure, sourcing critical minerals alone will not address India's strategic requirements.

Government Investment and Private Sector Participation

The government has demonstrated significant financial commitment to the recycling sector. On September 3, 2025, the Union Cabinet approved a substantial recycling scheme, with implementation details following rapidly.

The scheme has reportedly received positive response from industry participants during the ongoing application period, with substantial private sector engagement expected.

Infrastructure Development Timeline

For lithium-ion battery recycling specifically, India is establishing dedicated processing facilities. A private sector plant for lithium-ion battery parts is scheduled to become operational by mid-2026. The government plans to expand this capacity significantly by 2030 to handle the entire volume of lithium battery waste generated domestically.

Institutional Restructuring and Focus Areas

The Geological Survey of India (GSI) is undergoing strategic reorientation to prioritize critical mineral exploration while increasing reliance on private sector capabilities for surface mineral activities. Additionally, the Ministry of Mines has initiated discussions with the Department of Atomic Energy to accelerate the development of India's sand mineral reserves, which contain thorium and other strategic materials.

This comprehensive approach positions India to reduce dependence on critical mineral imports while creating a sustainable domestic recycling ecosystem that could serve regional markets.