HSN classification muddle raises costs for battery storage sector
The battery energy storage sector in India is facing cost and regulatory challenges due to unclear Harmonised System of Nomenclature (HSN) classification, leading to inconsistent customs duties. Industry stakeholders have sought separate HSN codes for cells, packs, and systems, along with clearer import rules and duty deferment mechanisms. The ambiguity is increasing project costs even as demand for large-scale storage grows to support renewable energy integration and grid stability.