According to the World Economic Forum, India is one of the fastest-growing markets for Electric vehicles (EVs). This momentum has also been extensively supported by the Government and hundreds of EV-based startups in the country. Electric vehicles in India are projected to be powered by two-wheelers and three-wheelers by 2030.
India will be the largest EV market by 2030
India has the potential to become one of the largest electric vehicle (EVs) markets in the world, with the government pushing for the segment to curb pollution and reduce import-dependent fossil fuel. Major automotive players are investing in electric vehicles, and technologies underpinning the development of electric vehicles are evolving rapidly due to an increase in research & development expenditure. In order to push electric vehicles and increase its penetration, the government is planning to develop a proper charging infrastructure for electric vehicles across the country.
The government has also introduced various subsidies and programs to promote electric vehicle adoption. For instance, the National Mission for Electric Mobility (NMEM) mission initiated by the government which focuses on increasing the adoption of electric vehicles and provides the road map for achieving a substantial penetration of electric vehicles that are environment-friendly by 2020 in India. Oil is the major import commodity, and India is highly dependent on oil imports to address its energy requirements; higher adoption of EV’s will reduce imports of oil and help the country to have a trade surplus. This can be a power move to increase Electric Vehicles in India.
Two-wheeler vehicle type is expected to grow at the highest rate during the forecast period. More and more companies are developing Battery Electric Vehicles (BEV) and planning to launch new models in the coming years as a result of government incentives on EV from a cut on GST to tax-free registration. In addition, the Government and private sector’s plan to increase the number of charging stations along with the launch of new electric vehicles with a higher range, rapid urbanization, improving living standards, growing concerns for the harmful effects associated with carbon emissions will drive India electric vehicles market till 2026.
When should you invest in an EV?
Electric vehicles with more than 200 Km driving range are expected to dominate the market. This in terms of both value and volume during the forecast period in the two-wheelers segment due to customers’ preference for vehicles having longer range which provides flexibility to travel long distances.
The government has been pushing the EV industry to the best of their efforts. It cannot be denied that government funding, subsidy and incentives have helped fuel the demand for EVs in the market. Even as in the last three years, there are not many EVs on the roads, but there has been massive progress with over 200 startups becoming part of the EV mobility value chain. In the last few months itself, we have seen the traditional automobile giants in the country making serious debuts. With a massive lineup expected in the coming few months, will 2020 be the inflexion point that will shape the future of people’s transport?
We at Kabira Mobility, are setting the new waves and the transition that will permanently change the way people travel in India. Speak to an expert www.kabiramobility.com to understand how EVs are not only environment friendly but also economically more viable for you, in the long run.