GS3 · Resources

₹1,500 crore scheme for critical mineral recycling

Battle IAS current affairs title card: ₹1,500 crore scheme for critical mineral recycling (GS3 · Resources, 3 September 2025)
Asked by UPSCPrelims 20261 PYQ

UPSC has already asked about this. Read the story with these questions in mind.

What happened

  • The Cabinet approved a ₹1,500 crore incentive scheme, part of the National Critical Mineral Mission, to extract critical minerals from e-waste, lithium-ion battery scrap and other scrap such as catalytic converters [PIB].
  • It runs FY 2025-26 to FY 2030-31, offers 20% capex subsidy plus opex subsidy, with caps of ₹50 crore (large) and ₹25 crore (small) per entity; one-third of outlay is for new recyclers [PIB].
  • Expected outcome: 270 kilo tonnes of recycling capacity, about 40 kt critical mineral output, ₹8,000 crore investment and nearly 70,000 jobs [PIB].

Background

  • Only units doing actual extraction qualify, not those making only black mass [PIB].

Why it matters

  • Mines take years; recycling gives quicker supply and cuts import dependence.

How to use this in Mains

GS-III Infrastructure: energy, ports, roads, airports, railways; investment models

  1. As per PIB (2025-09-03): the Cabinet approved a ₹1,500 crore incentive scheme, part of the National Critical Mineral Mission, to extract critical minerals from e-waste, lithium-ion battery scrap and other scrap such as catalytic converters.
  2. Mines take years; recycling gives quicker supply and cuts import dependence.
Quotable data point

It runs FY 2025-26 to FY 2030-31, offers 20% capex subsidy plus opex subsidy, with caps of ₹50 crore (large) and ₹25 crore (small) per entity; one-third of outlay is for new recyclers.

PIB: Cabinet: critical mineral recycling scheme, 3 Sep 2025

Exam angle

UPSC

Prelims: NCMM, recycling scheme. · Mains: critical minerals security.

Practice MCQs

Original practice questions (not PYQs).

Practice · UPSC

Outlay of the critical mineral recycling scheme

Answer (b) & explanation

PIB.

Practice · UPSC

Which activity is NOT incentivised?

Answer (b) & explanation

PIB.

Practice · UPSC

Capex subsidy rate

Answer (b) & explanation

PIB.

Go deeper

Official source: PIB: Cabinet: critical mineral recycling scheme, 3 Sep 2025

facts from cited sources only; faculty review pending