Mobility

Reflecting on India's commitment to address environmental concerns, reduce emission intensity of its gross domestic product (GHG emissions per unit GDP) by 33%–35% over 2005 levels by 2030, and embrace sustainable transportation solutions, electric mobility is emerging as one of the cardinal segments in the automobile industry in India. It is estimated that E-Two Wheelers will reach a market of 5 Mn by 2025, with E-Three Wheelers accounting for 30% of sales.

Growing at a compounded annual growth rate of 49% between 2021 and 2030, the government anticipates the EV segment to cross annual sales of 17 Mn units by 2030. To encourage the adoption of electric vehicles, the Government of India initiated the second phase of Faster Adoption and Manufacturing of (Hybrid &) Electric Vehicles in 2019. This initiative spans a period of 5 years, with a total budgetary support of INR 10,000 Cr. The primary focus is on electrifying public and shared transportation, with the aim of providing subsidies for 7262 e-Buses, 1.6 lakh e-3 Wheelers, 30461 e-4 Wheeler Passenger Cars, and 15 lakh e-2 Wheelers. The overall Electric Vehicle penetration of India is projected to grow 8x by 2030 from the current 5%. 

The National Programme on Advanced Chemistry Cell (ACC) Battery Storage, which aims to establish Gigascale ACC and battery manufacturing facilities in India, has incentivized the adoption rate of this segment, leading to a 40% surge in the number of registered EVs in 2023 compared to 2022. With an aim to go fully electric by 2030, automotive players like Tata Nexon EV, Hero Electric Vehicles Pvt Ltd (Hero Electric Eddy), Mahindra Electric Mobility Limited (Mahindra eVerito), etc. have been engaged in research and development, in addition to working towards equipment for EVs, including GPS navigation, remote sensors, anti-theft locking systems, and more. 

Bridging the gap of various challenges through the government's initiatives of charging infrastructure for electric vehicles, electric mobility in India is henceforth leaping towards a quantum surge in volumes and technology.