Cabinet approves ₹25,473 crore package across four sectors

New Delhi: The Union cabinet on Wednesday approved a package of schemes with a combined outlay of ₹25,473 crore to boost renewable energy storage, strengthen critical mineral supply chains, expedite trials in sexual offence cases and modernize the statistical ecosystem.

The cabinet, chaired by Prime Minister Narendra Modi, also approved a two-year extension of the ‘Second Tour of Duty’ for Agniveers recruited under the Agnipath scheme, a short-term military recruitment model.

The cabinet approved a viability gap funding (VGF) scheme with an outlay of ₹14,500 crore for grid-scale energy storage systems over FY27-FY31. The scheme aims to add 92 gigawatt-hours (GWh) of storage capacity to help integrate large-scale renewable energy generation into the national grid.

The capacity comprises 60 GWh of pumped storage projects (PSP), 30 GWh of battery energy storage systems (BESS), and 2 GWh from emerging storage technologies.

“The scheme aims to support the development of 92 GWh of new energy storage capacity across the country,” the government said in a statement, emphasising that financial de-risking will reduce the levelised cost of clean storage, curb renewable curtailment, and deliver round-the-clock power during peak consumption hours.

Critical mineral processing

The cabinet also approved a capital expenditure support scheme to promote critical mineral processing with a financial outlay of ₹2,814 crore over five years from FY27 to FY31 to build domestic critical mineral processing and refining capacity, primarily for lithium and nickel.

The scheme will offer capital subsidies on eligible investments to incentivize private sector participation and lower the capital hurdles associated with processing units.

“Building self-reliance in critical minerals will develop domestic processing capabilities, support value addition within the country, reduce import dependence, and develop a resilient value chain,” the statement said. The intervention will ensure an uninterrupted pipeline of minerals required for electric vehicles, batteries, and advanced manufacturing ecosystems.

"Critical mineral processing is capital-intensive and has long gestation periods, which has deterred several Indian companies from entering the space,” said Prassann Daphal, chief executive officer, Evergreen Recyclekaro India Ltd, an e-waste and lithium-ion battery recycling company. “The scheme can help bridge this gap and encourage investments, technology partnerships and collaborative ventures,” Daphal said.

"The scheme’s focus on lithium and nickel processing can encourage private investment, support technology development and create the foundation for domestic value addition," said Nitin Gupta, co-founder and CEO, Attero, an e-waste and lithium ion battery recycling company.

Fast-track courts

The Cabinet approved a five-year extension of the Centrally Sponsored Scheme for Fast Track Special Courts (FTSCs), including exclusive courts under the Protection of Children from Sexual Offences (POCSO) Act, from 1 April 2026 to 31 March 2031. The scheme has an outlay of ₹3,788.04 crore.

The network of 779 functional courts, including 399 exclusive POCSO courts, will be expanded to 850 courts across 29 states and union territories.

Each court will have a dedicated judicial officer, special public prosecutor and six support staff to expedite case disposal.

The scheme prioritises cases involving women and children, with provisions for vulnerable witness deposition centres and child-friendly court spaces to facilitate testimony in a safe and supportive environment, the government said.

Statistical system overhaul

To modernize India’s official data collection and analytics frameworks, the cabinet approved the Viksit Bharat Initiative for Statistical Transformation, Analytics & Research (VISTAR), with an outlay of ₹4,371.10 crore for FY27-FY31.

The scheme has three components: strengthening statistical operations and the broader statistical ecosystem, supporting statistical capacity-building in states, and conducting the nationwide Economic Census.

“The scheme aims to establish a dynamic, real-time, and future-ready official statistical architecture,” the government statement said, noting its mandate to enhance data timeliness, provide deeper granularity, harmonize datasets, and generate AI-ready statistical repositories for public policymaking.

Agniveers' tour of duty

The Cabinet also approved a two-year ‘Second Tour of Duty’ for Agniveers under the Agnipath recruitment scheme. The provision will allow eligible and willing Agniveers to serve an additional two years, subject to selection criteria, before being considered for enrolment as regular soldiers after completing their four- or six-year tenure.

Defence minister Rajnath Singh said in a post on X that the decision is a continuation of structural reforms aimed at creating a younger, fitter, technologically equipped, and future-ready military to meet the changing character of warfare.

About the Author

Priyanka Sharma is a journalist at Mint, where she covers the Union Ministry of Health and the pharmaceutical industry. Her work focuses on explaining government policies and how they impact healthcare and the medicine market in India. With 12 years of experience in journalism, she has built a reputation for providing clear and honest news on important health topics that affect the entire country.<br><br>Her educational background includes a journalism degree from the prestigious Indian Institute of Mass Communication (IIMC) and specialized training in public health from the Public Health Foundation of India. Before her current role at Mint, Priyanka worked with India Today, The Pioneer, and ANI. She also served as a lead consultant for the National Health Authority, which gave her firsthand knowledge of how the government manages large-scale health programmes.<br><br>Priyanka is based in New Delhi and is an avid traveller who loves visiting the mountains. She has a great interest in regional flavours, particularly South Indian food.