ISLAMABAD: A working group constituted by the Prime Minister to draft the National Lithium-Ion Battery Manufacturing Policy 2026–2031 has given initial approval to lithium iron phosphate (LFP) battery technology for localisation in Pakistan.
The decision was announced by Special Assistant to the Prime Minister (SAPM) on Industries and Production Haroon Akhtar Khan during a meeting held on Tuesday to finalise the proposed Lithium-Ion Battery Policy. The meeting was attended by Secretary Industries and Production Saif Anjum, CEO Engineering Development Board (EDB) Hammad Mansoor and representatives from the private sector.
According to the initial draft of the policy, a copy of which is available with Business Recorder, the presence of key battery minerals—including lithium, graphite, phosphate, iron and manganese—has been identified across multiple regions of the country, though commercially proven reserves are yet to be quantified. Based on data shared by the Geological Survey of Pakistan (GSP), early viability of lithium (up to 2.15 per cent Li), battery-grade graphite potential and phosphate deposits has been validated.
The ministry has formally requested the GSP to authenticate reserves and confirm grades for strategic alignment. The next phase will involve GSP validation of locations, grades and quantities of lithium, graphite, nickel, cobalt, manganese, iron and phosphorus, followed by an assessment of extraction, beneficiation and achievable battery-grade purity to define a phased supply roadmap. This roadmap will cover domestic supply gaps, import reliance, joint venture opportunities and required policy actions.
The meeting was informed that under business-to-business (B2B) cooperation with China, 12 agreements worth $558 million have already been signed, including projects related to lithium-ion battery assembly and manufacturing for value addition. Consultations have also been held with federal and provincial mining and mineral departments, while another coordination meeting is expected soon.
Haroon Akhtar Khan directed the EDB to ensure that the new-generation energy storage policy is fully aligned with national energy security objectives. He said consultations with global experts are underway and reiterated the government’s commitment to transforming Pakistan into a regional hub for battery manufacturing.
The SAPM stressed the importance of establishing a comprehensive framework for battery testing, certification and recycling to ensure sustainability and environmental protection. A detailed review of progress on the National Lithium-Ion Battery Manufacturing Policy 2026–2031 was also conducted during the meeting.
He noted that, in line with the Prime Minister’s directives, the energy storage policy must be integrated into Pakistan’s broader energy security framework. Emphasising the government’s vision, Haroon Akhtar said partnerships with the private sector and international investors are critical for building a sustainable energy future.
The meeting was briefed that a dedicated working group for the National Battery Policy was constituted on December 12, 2025, on the instructions of the Prime Minister. The proposed policy includes phased localisation, tariff reforms and performance-based incentives to encourage domestic manufacturing and investment.
Haroon Akhtar Khan added that the policy has been developed with the support of federal and provincial ministries, industry stakeholders, universities and international experts. He highlighted that Pakistan’s reserves of phosphate, iron and manganese can be leveraged to reduce import dependence and support local battery manufacturing.
Emphasising quality and safety, the SAPM underscored the critical role of the Pakistan Standards and Quality Control Authority (PSQCA) in ensuring global standards for battery performance and safety. He also noted that lithium-ion batteries have diverse applications, including solar energy systems, electric vehicles, backup power solutions and telecom infrastructure.
Story by Abdul Rasheed Azad
