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*Electric Vehicle Business In India*
Electric vehicle the key to permanent solutions of a better, cleaner India for the sustainability of its populace. At a crucial juncture when all countries are engaged in freeing Mother Earth from the claws of carbon emissions, or CO2, India can play a lead role in it by switching over the EV mobility to ensure a greener and cleaner ecology. By promoting the EV sector’s organic growth and enhancing its popularity among the people with governmental media programmers, a substantial cut in fossil-fuel run vehicular mobility can be made possible. During the pendency of COVID-19, we watched how the environment improved due to lesser emissions from petrol and diesel-run vehicles and industries in India. In many cities, the smog completely vanished. In many parts of India, people could even view distant mountains that had been impossible for them to see for decades due to the atmospheric hindrances created by the emission of the smoke from fossil-fuel run vehicles. For India’s sustainable green planet goal, a robust push in cleaner mobility is essential. Only Electric vehicle can do this. The argument behind is that the fossil-fuel vehicles contribute 60 percent of PMs (particulate matter-related atmospheric pollution), and over 20 percent of CO2.The Electric vehicle, on the other hand, is smoke-free. They do not choke urban India with hydrocarbon pollution, something that the UNICEF aptly termed as “danger in the air.”
The petrol and diesel-run vehicles are hugely inefficient as nearly 70 percent of the precious fuel simply is wasted. It can neither be recycled, recovered, or reused. We know it takes millions of years to create natural fossil fuel, unlike the batteries that can be made as and when you need. On the other hand, the EVs are rechargeable, involving zero-wastage of energy. They do not have even a single iota of harmful effects on human health and ecology. The heavy petrol and diesel trucks alone cause over 30 percent of vehicular particulate pollution. As far as urban India as a whole is concerned, all fossil fuel-vehicles are responsible for nearly 29 percent of pollution.
India is one of the largest car markets in the world but that market is on the brink of a transformation. The Government of India is promoting electric mobility in a big way and the Department of Science and Technology (DST) is working towards technological solutions through R&D efforts with industry and R&D laboratories to realize the electric dream of 400 million customers by the year 2030.
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*Environmental benefits*
- One of the biggest advantages of driving electric is the improvement it can make to the environment we live in.
- Pure electric vehicles have no tailpipe, so they don’t emit any exhaust gases, which reduces local air pollution particularly in congested cities.
- Electric vehicle are an attractive solution for councils challenged to clean up air quality to improve their residents’ health and quality of life.
In india’s electric vehicle (EV) market is estimated to be a Rs. 50,000 crore (US$ 7.09 billion) opportunity by 2025, with two- and three-wheelers expected to drive higher electrification of the vehicles.
In 2020, India was the fifth-largest auto market, with ~3.49 million units combined sold in the passenger and commercial vehicles categories. It was the seventh largest manufacturer of commercial vehicles in 2019.
The two wheelers segments dominate the market in terms of volume owing to a growing middle class and a young population. Moreover, the growing interest of the companies in exploring the rural markets further aided the growth of the sector.
India is also a prominent auto exporter and has strong export growth expectations for the near future. In addition, several initiatives by the Government of India and major automobile players in the Indian market is expected to make India a leader in the two-wheeler and four-wheeler market in the world by end of this year (2021).
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*Market Growth*
Indian automobile exports stood at 1,419,430 units from April 2021 to June 2021 as compared to 436,500 units in April 2020 to June 2020. EV sales, excluding E-rickshaws, in India witnessed a growth of 20% and reached 1.56 lakh units in FY20 driven by two wheelers. According to NITI Aayog and Rocky Mountain Institute (RMI) India’s EV finance industry is likely to reach Rs. 3.7 lakh crore (US$ 50 billion) in 2030. A report by India Energy Storage Alliance estimated that EV market in India is likely to increase at a CAGR of 36% until 2026. In addition, projection for EV battery market is forecast to expand at a CAGR of 30% during the same period. Premium motorbike sales in India recorded seven-fold jump in domestic sales, reaching 13,982 units during April-September 2019. The luxury car market is expected to register sales of 28,000-33,000 units in 2021, up from 20,000-21,000 units sold in 2020. The entry of new manufacturers and new launches is likely to propel this market in 2021.
. In H12019, automobile manufacturers invested US$ 501 million in India’s auto-tech start-ups according to Venture intelligence.
- Investment flow into EV start-ups in 2019 (till end of November) increased nearly 170% to reach US$ 397 million.
- On 29th July 2019, Inter-ministerial panel sanctioned 5,645 electric buses for 65 cities.
- NATRiP’s proposal for “Grant-In-Aid for test facility infrastructure for EV performance Certification from NATRIP Implementation Society” under the FAME Scheme was approved by Project Implementation and Sanctioning Committee (PISC) on 3rd January 2019.
- Under NATRiP, following testing and research centres have been established in the country since 2015.
- International Centre for Automotive Technology (ICAT), Manesar
- National Institute for Automotive Inspection, Maintenance & Training (NIAIMT), Silchar
- National Automotive Testing Tracks (NATRAX), Indore
- Automotive Research Association of India (ARAI), Pune
- Global Automotive Research Centre (GARC), Chennai
- SAMARTH Udyog – Industry 4.0 centres: ‘Demo cum experience’ centres are being set up in the country for promoting smart and advanced manufacturing helping SMEs to implement Industry 4.0 (automation and data exchange in manufacturing technology)
*FIRST ELECTRIC VEHICLE IN INDIA*
Japanese auto company Suzuki Motor Corp is now set to enter the electric vehicle (EV) market by 2025. Suzuki, which operates in partnership with Maruti in India is likely to launch its first EV in the country Maruti Suzuki, which has been India’s best selling car company will now launch its first EV. According to reports, the all-electric compact model will be available first in the Indian market by 2025. Suzuki India which works in partnership with the Indian company plans to launch it first in India, before entering other markets.
Currently, Maruti Suzuki’s top-seller compact four-wheelers include Alto, WagonR, Baleno and Swift. Owing to the success, there is no reason to not believe that the first Suzuki Electric Vehicle wouldn’t be in this segment. The company would test the waters in India before launching the EV in its home market Japan and Europe. The auto market will be keen on the development as the EV market in India remains to be explored. Despite electric vehicles introduction is catching on, factors like high prices and range anxiety have been limiting the market.
MANUFACTURERS
The electric vehicle (EV) ecosystem in India continues to be at a very nascent stage. However, the central government has already announced the second phase of its ambitious FAME (Faster Adoption and Manufacturing of (Hybrid) and Electric Vehicles) policy and aims to step up EV adoption in the country across segments.
while accelerating the adoption of electric cars, electric scooters and electric motorcycles as well as electric buses in the country. Here is a list of top 10 EV manufacturers in the country:
- Hero Electric
- Tata Motors
- Ather Energy
- Mahindra Electric
- Lohia Auto
- Twenty Two Motors
- Byd Olectra
- Hyundai Kona electric
- Ashok Leyland
- MG Motor
*vehicle charging station startup*
Electric Vehicle charging station business is de-licensed by the government of India, as an initiative of make in India. So it is hassle-free to open an electric car charging station in India. Considering the global rise in the electric vehicle market to billions, electric vehicle charging startups started to boom rapidly along with the electric cars charging stations business opportunity in India. India is one of the rapidly growing markets in the EV sector with almost quite a few companies investing currently. So Indian startups and investors have a great opportunity to rise and invest in this sector. And the best part is that any individual can invest in the electric mobility sector, following the guidelines of the government and Ministry of Power(MOP). With the support of the Central Government and State Government, electric car charging stations have started penetrating the Indian startup sector under EV make in India scheme-FAME.
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