Honda Motors acquires a stake in India's OMC Power for the development of clean energy batteries

Honda Motor, a Japanese automaker, has acquired an equity stake in India's OMC Power. The company is backed by Mitsui & Co. and Chubu Electric Power.

Honda did not disclose the exact size of its equity stake in India's clean energy sector. This will be Honda's debut foray.

Distributed energy systems can power smaller sites or areas at a lower scale. They can be connected to the grid or disconnected from it.

OMC Power has more than 500 renewable power plants in North and Central India. These plants provide electricity to small and medium businesses, rural homes, telecom companies, and healthcare providers via mini-grids.

OMC Power, as part of this deal, will reuse Honda's detachable batteries and portable batteries that were originally used for electric two-wheelers and three-wheelers to create clean energy storage.

The company stated that the project will begin in January 2026. It will extend the lifecycle for used EV batteries, by repurposing the batteries to power small and medium business and rural homes.

(source: Reuters)