India well positioned to achieve the milestone by 2030

New Delhi (Best Hindu News): Despite some initial hiccups, EV penetration in India is slowly but steadily increasing, especially in the e-scooter segment. Now, four-wheeler manufacturers have joined in, furthering India’s goal of reducing dependence on conventional fuel and internal combustion engine-powered vehicles by 2030.

The government expects EV sales to account for 30 per cent for private automobiles, 70 per cent for commercial vehicles and 80 per cent for two and three wheelers by 2030, which will not only reduce the country’s oil import bill in the long term but also Will also ensure a clean environment.

Electric vehicles (EV) sales in the country have seen a growth in the last two years. 48,179 EVs were sold in 2020-21, rising to 2,37,811 in 2021-22 and 4,42,901 in 2022-23 (as on December 9, 2022).

Union minister Mahendra Nath Pandey had said in a written reply in the Lok Sabha last month that the ministry is planning a scheme called ‘Faster Adoption and Manufacturing Ring of Electric Vehicles in India’ Phase II to promote the adoption of electric/hybrid vehicles in the country. The plan is implemented. Currently, Phase-II of the FAME India scheme is being implemented for a period of five years from 1st April 2019 with a total budgetary support of Rs 10,000 crore.

According to auto industry experts, the three-wheeler segment currently leads the market with a 4 per cent share in EV adoption, followed by two-wheelers at 3.5 per cent and passenger vehicles at 1.3 per cent.

In the passenger car segment, Tata Motors continues to lead the market with over 90 per cent share.

In the passenger car segment, Tata Motors leads the market with over 90 per cent share, followed by MG Motor at 7.2 per cent and Hyundai at 1.8 per cent, senior research analyst Soumen Mandal told IANS. In the electric two-wheeler segment, Ola leads the market, followed by Okinawa and Hero Electric.

By 2025, the market share of electric passenger vehicles in India is expected to exceed 6 percent. Currently, the market is dominated by Tata Motors, MG Motors and Hyundai, but other companies such as Mahindra, BYD, Suzuki and Volkswagen have also announced their roadmaps to introduce EVs.

India’s EV market is expected to change with the entry of Maruti in 2025, Soumen Mandal said. Maruti is popular for its offerings in the budget segment under Rs 10 lakh. He further added that if Maruti launches its first EV priced below Rs 10 lakh, it could be a potential game-changer. Currently, the Tata Tiago is the only EV model available for less than Rs 10 lakh.

Auto manufacturers in India unveiled several models at the ‘Auto Expo 2023’ to showcase and tease their EVs. One of the major reasons for the growing demand for EVs is their low emission level, which is anticipated to boost market revenue growth during the forecast period.

Compared to other petrol or diesel-powered vehicles, EVs emit fewer greenhouse gases and air pollutants. For a market that already has over 13 lakh EVs including 2WS, 3WS and 4WS and continues to grow in the coming years, there is tremendous potential. According to industry experts, private equity (PE) investment in India’s EV industry was expected to touch $1 billion in 2022.