In a significant move for the electric vehicle (EV) ecosystem, the Indian government is set to introduce a unique identification system for batteries, akin to an Aadhaar card. The Ministry of Road Transport and Highways has proposed a 21-digit Battery Pack Aadhaar Number (BPAN), aimed at enhancing traceability and providing crucial data on battery health and origin.
What is the Battery Pack Aadhaar Number (BPAN)?
Proposed on 2 January 2026, the BPAN system is designed as a local digital identification and data storage framework. Each battery pack in applicable categories will be assigned this unique 21-digit code, enabling end-to-end tracking from raw material to disposal. The system will cover electric vehicle batteries, industrial batteries with a capacity above 2 kilowatt-hours (kWh), and vehicle Starting, Lighting, and Ignition (SLI) batteries.
The BPAN will embed several key data points, including a Battery Manufacturer Identifier (BMI), Battery Descriptor Section (BDS), and a unique Battery Identifier (BI). Crucially, it will also contain information on Battery Material Composition (BMCS), Carbon Footprint (BCF), and Dynamic Data (BDD) which offers real-time insights into a battery's State of Health (SOH) and performance. The ministry highlighted that SOH, battery status, and category are among the most critical parameters for enabling timely diagnostics and maintenance.
Why is the Government Introducing BPAN?
The initiative stems from multiple objectives central to India's growing EV ambitions. Firstly, with EV sales surpassing 2 million units in 2025 (up from 1.9 million in 2024), ensuring transparency in the battery market is paramount. A battery can constitute up to half the total cost of an EV, making its health a primary concern for owners, insurers, and financiers.
Secondly, the system will help verify claims under the government's ₹18,100-crore Production-Linked Incentive (PLI) scheme for advanced chemistry cells. By identifying a battery's origin, authorities can assess whether manufacturers are genuinely using indigenous components as claimed.
While drawing inspiration from the EU's Battery Passport regulations, the Indian framework aims to be tailored for the domestic market. The ministry noted that India's scale, price sensitivity, and diverse stakeholder base—especially in two- and three-wheelers—require compliance "without imposing EU-level data burden and infrastructure cost on mass-market batteries."
Key Beneficiaries and Market Impact
The BPAN system is poised to benefit a wide range of stakeholders. For second-hand EV buyers, it will provide an authentic record of battery health, reducing uncertainty in the used vehicle market. Financiers and insurers will gain a standardized tool to assess risk and residual value, which is currently challenging due to the lack of uniform battery degradation reporting.
"Lenders use various methods to track asset performance, but the lack of standardized frameworks for reporting battery degradation complicates asset monitoring in India," said Dhiraj Agarwal, Chief Business Officer at EV financier Mufin Green Finance. The BPAN's static (unchanging data like origin) and dynamic (evolving data like health) information will empower these entities to make better economic decisions.
The move also comes against the backdrop of India's heavy reliance on imported lithium-ion batteries, with imports surging to approximately $3 billion in FY25 from $1.8 billion in FY22. By fostering transparency and accountability, the BPAN system could support the domestic battery assembly and manufacturing landscape, providing a clearer picture of the supply chain and encouraging local value addition.
