Paper: GS – III, Subject: Science and Technology, Topic: Emerging technologies, Issue: Changes needed in India’s EV journey.
Context:
As India aims to transition from internal combustion engines (ICEs) to electric vehicles (EVs), there is a need for rapid transformations in India’s EV ecosystem.
Key Highlights:
India’s vision: India aims to transition from internal combustion engines (ICEs) to electric vehicles (EVs),
Targets:
- 30% EV penetration by 2030.
Objectives:
- Reduce greenhouse gas emissions.
- Cut imported petroleum dependence.
- Improve air quality.
Current status: As of 2024, Only 7.7% achieved (i.e., only 2 million EVs sold).
Though progress is made, significant policy push and reforms are required for rapid transition.
Key Challenges in EV Transition:
- High cost of EVs: Battery cost constitutes 40% of total vehicle cost.
- Charging infrastructure gaps: Land availability, power connections, and movement patterns ignored.
- Awareness deficit: Low consumer knowledge of EV benefits.
- Import dependency: Lithium, nickel, cobalt not available domestically.
- Policy uncertainty: Inadequate coordination and inconsistent regulations.
Seven Key Changes Suggested:
1. Financial and Regulatory Support:
- Provide financial support for EV purchases.
- Mandate charging facilities in large vehicle fleets (public buses, trucks, para-transit).
- Focus on high-pollution segments which reduces disproportionate emissions.
2. Prioritising Two-Wheelers and Fleets:
- Two-wheelers constitute 75% of India’s vehicle fleet which is easier to electrify.
- Personal cars constitute only 13% of fleet, thus lower priority.
- Thus, early adoption should focus on Fleet vehicles (taxis, buses, logistics) and Two-wheelers for cost efficiency and shorter travel ranges.
3. Pilot Cities for EV Adoption:
- Instead of spreading thinly, focus on 5 pilot cities.
- Aim for 100% transition in buses, auto-rickshaws, freight vehicles.
- Scale up to 20 cities within a decade.
4. Easier Financing Models:
- EV adoption is hindered by high upfront costs.
- Measures:
- Access to low-cost finance.
- Create second-hand EV market.
- Encourage leasing deals and battery-swapping models.
5. Battery Component Self-Reliance:
- High cost: Batteries constitute 40% of EV cost.
- Import dependence: Current dependency on imported lithium, nickel, cobalt is a risk.
- Solutions:
- Develop indigenous battery chemistries.
- Invest in R&D with academia-industry partnerships.
- Promote Atmanirbhar Bharat in battery supply chains.
6. Centre-State Coordination:
- Need for harmonised EV policies across states.
- Create a common framework for incentives, subsidies, and regulations.
- Encourage private investment in EV manufacturing and charging infra.
7. Tax and Policy Reforms:
- GST alignment: Maintain EVs at 5% GST slab.
- Provide policy stability for long-term investor confidence.
- Reduce policy unpredictability that delays infra development.
Conclusion:
Focused financial and regulatory support, Strong battery supply chain self-reliance, City-level pilots for replication and Stable long-term policies are needed for long term EV adaption. Achieving this will improve energy security, reduce emissions, and help meet climate goals.
La Excellence IAS Academy, the best IAS coaching in Hyderabad, known for delivering quality content and conceptual clarity for UPSC 2025 preparation.
FOLLOW US ON:
◉ YouTube : https://www.youtube.com/@CivilsPrepTeam
◉ Facebook: https://www.facebook.com/LaExcellenceIAS
◉ Instagram: https://www.instagram.com/laexcellenceiasacademy/
GET IN TOUCH:
Contact us at info@laex.in, https://laex.in/contact-us/
or Call us @ +91 9052 29 2929, +91 9052 99 2929, +91 9154 24 2140
OUR BRANCHES:
Head Office: H No: 1-10-225A, Beside AEVA Fertility Center, Ashok Nagar Extension, VV Giri Nagar, Ashok Nagar, Hyderabad, 500020
Madhapur: Flat no: 301, survey no 58-60, Guttala begumpet Madhapur metro pillar: 1524, Rangareddy Hyderabad, Telangana 500081
Bangalore: Plot No: 99, 2nd floor, 80 Feet Road, Beside Poorvika Mobiles, Chandra Layout, Attiguppe, Near Vijaya Nagara, Bengaluru, 560040
