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India's EPR Regime Just Got Teeth — and a Battery Recycling Policy Brief Explains Where It Still Bites Nothing

August 08, 2026

Two separate corners of India's Extended Producer Responsibility framework moved in the same fortnight: plastic packaging rules closed a loophole that let companies count landfilled waste as “recycled,” and a policy brief on EV battery recycling laid out, in detail, why a strong rulebook on paper still leaves a black market in battery scrap untouched. Read together, they are the same story — a regulator writing increasingly specific rules, and an enforcement gap that specificity alone does not close.

Regulation · Circularity · Waste

India's EPR Regime Just Got Teeth — and a Battery Recycling Policy Brief Explains Where It Still Bites

India's Plastic-EPR Recycled-Content Ramp Mandatory minimum recycled content, Category I packaging (2026 amendment) 20% 40% 60% 30% 2025-26 40% 2026-27 50% 2027-28 60% 2028-29 onward Source: Plastic Waste Management (Amendment) Rules, 2026 — mandatory recycled-content target, Category I packaging.
Category I plastic packaging must contain a rising minimum share of recycled content each year under the 2026 amendment — source: Plastic Waste Management (Amendment) Rules, 2026.
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Published · v1.0.0 · Plastic Waste Management (Amendment) Rules, notified 19 January 2026 · CSE policy brief, 2026

Spent batteries on a mechanical sorting line at a recycling facility
Mechanical sorting like this is the formal, registered side of battery recycling — the policy brief's "black mass" problem is what happens before batteries ever reach a line like this. Bebat battery mechanical sorting.jpg, Bebat organisation, CC BY 4.0, via Wikimedia Commons.
19 Jan 2026Effective date of the plastic-EPR rule closing the “End-of-Life certificate” loophole
90%Battery-material recovery rate manufacturers must hit by 2026-27
~4,000Producers, recyclers and refurbishers registered with CPCB for battery EPR
₹1,500crCabinet-approved critical-mineral recycling incentive, September 2025

Plastic: the loophole that let disposal count as recycling

Closed with no grace period.

India's Ministry of Environment, Forest and Climate Change notified an amendment to the Plastic Waste Management Rules on 19 January 2026, effective immediately, with the annual-return deadline falling just twelve days later. The headline change: companies can no longer use End-of-Life (EOL) disposal certificates — credits earned by sending plastic waste to landfill or incineration — to meet their recycling obligations. That closes a real loophole: an EOL certificate let a producer technically satisfy its EPR target without any material actually being recycled. The replacement framework enforces a strict hierarchy — reuse offsets every downstream obligation, recycling offsets recycling and EOL disposal, but EOL disposal can no longer offset reuse or recycling — and certificates must now match the specific waste category they claim to satisfy, with no cross-category substitution once FY2025-26 closes.

Exhibit 1

Mandatory recycled-content targets, plastic packaging (Category I)

Minimum share of recycled content required in new plastic packaging, by producer category and year, under the 2026 amendment.

Fiscal yearCategory I target, %
2025-2630
2026-2740
2027-2850
2028-29 onward60

Plastic Waste Management (Amendment) Rules, 2026, as summarised by Corporate Professionals' regulatory update. Category II targets run 10%→10%→20%→20% over the same years; Category III runs 5%→5%→10%→10%. All recycled plastic must comply with IS 14534:2023 and carry mandatory recycled-content labelling; food-contact applications carry a separate FSSAI layer and unfulfilled targets there may be carried forward up to three years.

For what these targets mean specifically for PET bottles — the FSSAI food-grade rPET capacity coming online to meet them, and the informal kabadiwala collection network the certification requirement doesn't yet formally recognise — see this site's dedicated PET-recycling piece.

Reuse targets tighten on a similar curve: rigid packaging in the 0.9–4.9 litre-per-kilogram range moves from a 10% reuse target in 2025-26 to 25% by 2028-29; drinking-water packaging, already at a demanding 70% reuse target this year, rises to 85%. CPCB has six months from the notification to prescribe verification guidelines, and registered environment auditors — a role the amendment formally creates — will conduct the checks.

Batteries: the rulebook is detailed. The enforcement gap is documented.

A 2026 policy brief lays out exactly where India's battery-EPR regime is being routed around.

India's Battery Waste Management Rules, first notified in 2022 and amended in 2023, 2024 and 2025, run a comparably detailed regime for EV and other batteries. Manufacturers must hit a 90% recovery rate of battery materials by 2026-27, up from 70% in 2024-25, and incorporate recycled material into new cells starting at 5% in 2027-28 and rising to 20% by 2030-31. Roughly 4,000 producers, recyclers and refurbishers are registered with the Central Pollution Control Board, which fixes a floor and ceiling price for EPR certificates every six months and allows limited carry-forward of unmet targets across a seven-year compliance cycle. A 2025 amendment added QR-code and barcode marking requirements so a battery's EPR registration travels with the physical product.

Where the rulebook still doesn't reach. A 2026 Centre for Science and Environment policy brief on EV battery recycling, reviewing this same regime, documents specific structural gaps a compliance rulebook does not by itself close: an EPR pricing mechanism industry participants dispute as poorly calibrated; a market in “black mass” — the shredded, unrefined material recovered from spent lithium-ion cells — that the brief characterises as opaque enough to title a full chapter “Black Mass — The Black Hole”; a large informal recycling sector operating substantially outside the registered-entity system the CPCB portal is built to track; and reverse-logistics and collection gaps that mean registered recyclers often cannot physically obtain the batteries their EPR obligations assume they will process. In September 2025, the Cabinet approved a ₹1,500 crore incentive programme for critical-mineral recycling under the National Critical Mineral Mission — a direct, if partial, government acknowledgement that the recycling ecosystem needs subsidy support the EPR-certificate market alone is not providing.

The brief's own framing is instructive: EV batteries reach “end-of-life” inside a vehicle once their state of health drops to 70–80% of original capacity — well before the cell is chemically exhausted. Under the EPR framework, producers are supposed to assess that residual capacity and route the battery to second-use applications, such as stationary storage, before final recycling. That second-use stage is itself where NITI Aayog's proposed “battery passport” — a QR-code-embedded digital record of a battery's source, composition, performance history and supply chain — is meant to matter most, giving a second-use buyer and an eventual recycler the data to make that assessment reliably. The passport system is announced, not yet operating at scale.

The pattern across both

Detailed rules, escalating targets, and a persistent gap between what's mandated and what's tracked.

What this article does not establish. Whether the plastic-EPR rule change has measurably shifted producer behaviour since its 19 January 2026 effective date — too little time has elapsed, and no compliance data post-dating the rule was found. The actual size of India's informal battery-recycling and black-mass market, in tonnes or rupees — the CSE brief characterises it as opaque and under-tracked by design, which is precisely why this article cannot size it either. Whether the ₹1,500 crore NCMM recycling incentive has been disbursed or remains an approved-but-unspent allocation — not established here. And whether NITI Aayog's battery passport has a committed launch date — the CSE brief describes it as “plans to initiate,” not a scheduled rollout.

Sources. Plastic Waste Management (Amendment) Rules, 2026 — Corporate Professionals, regulatory update summarising the Ministry of Environment, Forest and Climate Change notification; Aleph India, coverage of the End-of-Life certificate removal, dated to the 19 January 2026 notification. EV battery EPR regime, recovery-rate and recycled-content targets, registered-entity count, black-mass and informal-sector findings, and the ₹1,500 crore NCMM recycling incentive — Anumita Roychowdhury and Moushumi Mohanty, Electric Vehicle Battery Recycling and Extended Producer Responsibility (EPR): Reform the Terms of Action, Centre for Science and Environment, New Delhi, 2026. Battery Waste Management Rules background (2022 notification and 2023/2024/2025 amendments) as summarised within the same CSE brief.

A companion piece on the used-oil EPR regime covers a parallel circular-economy mandate under the same Hazardous and Other Wastes rules framework — a 5%-to-50% recycling ramp for lubricants, running on the same registration-and-certificate mechanics, and showing the same pattern: a real legal target, and a registration system still catching up to it.

About this article: Researched, written and edited by Umashankar Triplicane Dwarakanathan, with AI research assistance; every figure is meant to trace to the primary source cited. See the Editorial Policy for how sourcing, AI use and corrections work.

Umashankar Triplicane Dwarakanathan
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Umashankar Triplicane Dwarakanathan
Investment Promotion & Energy-Sector Leader · Chennai, Tamil Nadu, India
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