India Poised to Put 1 Million EVs On the Road by 2022
NEW DELHI, India – India’s electric vehicle (EV) industry is heading for big leap on the back of government intervention in the next five years. Although EVs yet to gain large adoption, the government push and rising awareness would likely to be a game changer and the fledgling sector is expected to grow double-digit up to 2020.
“India poised to have 1 million EVs on road in the next five years by 2022-23,” estimated Sohinder Gill, Director, Corporate Affairs, Society of Manufacturers of Electric Vehicles (SMEV) in a TAITRA (Taiwan external Trade Development Council) organized event from 17th-19th May 2018 in New Delhi.
Challenges for Indian EV industry
Sohinder Gill also stipulated the challenges in the new energy vehicles, “We see resistance to adopt the new technology, conversion to e-driving and the high battery cost.” The Indian government targeting 100% electrification of public transport and 40% electrification of personal mobility vehicles by 2030. They also initiated almost 15 pilot EV projects in the last three years and that would likely to propel growth and India would likely to have 200,000 – 300,000 EVs on road in the next 2-3 years. “Growth as well as technology absorption would be much faster,” he believes.
EV sales to grow three-times to 160,000 units
An estimated 54,000 e-scooters were sold in India in 2017, Delhi headquartered Hero Electric controls 60-65% of the e-scooter market and sold about 30,000 units last year. “EV market is expected to grow three-times to reach 160,000 units in this budget year,” Gill noted. “Currently, about 415,000 e-scooters and 6,000 e-cars are on the road in India.”
Charging stations every 3 km
Interestingly, as part of government intervention, a network of charging stations is planned to be installed in the metropolitan areas. “Government wants to put-up charging station every 3 kilometers in major metropolitan area. This will further solve the issue of range anxiety, a major hindrance in EV adoption,” informed Gill.
To spur the EV adoption, the government rolled out the FAME (Faster Adoption and Manufacturing of Hybrid and Electric vehicles) scheme in India. This is a part of the National Electric Mobility Mission Plan.
The Indian government offers subsidy on buying electric or hybrid two-wheelers and cars.