Epsilon Advanced Materials Secures ₹145 Crore ECMS Capex Support for Graphite Anode Plant, Karnataka
Epsilon Advanced Materials has received approval for its Epsilon C2GR anode material project under the Electronics Components Manufacturing Scheme (ECMS) of the Ministry of Electronics and Information Technology (MeitY). The project has been sanctioned ₹145 crore in capital expenditure support, equivalent to 25 percent of the project's capital investment, under the scheme.
Epsilon is the only company to receive approval in this tranche of ECMS approvals for manufacturing anode material, a critical component of lithium-ion cells. The project is aimed at building indigenous technology and large-scale manufacturing capability for graphite anode materials in India, supporting demand from electric mobility, energy storage and electronics.
The company has already commissioned EAM-ONE, India's first graphite anode material customer qualification plant, at Vijayanagar in Karnataka, and is now moving toward commercial-scale production following the MeitY approval. Epsilon plans to expand its graphite anode manufacturing capacity to 30,000 tonnes per annum by 2028, followed by a second-phase expansion to 100,000 tonnes per annum.
The ECMS scheme, under which this approval was granted, has so far approved 106 projects across 30 products, representing a total investment of INR 69,548 crore and projected production of INR 5.34 lakh crore.
This latest approval builds on Epsilon Group's broader investment plans in Karnataka. The group had earlier signed an MoU with the Karnataka government to invest ₹15,350 crore over ten years in battery materials manufacturing and R&D infrastructure in the state, including separate allocations for graphite anode and LFP cathode manufacturing plants.