EV market getting flushed with funds

Source: https://evcd.in/ev-market-getting-flushed-with-funds/

The EV market in the country is flourishing. While newer models are flooding the market, many established brands are pouring investment into EV startups. In the midst of this comes the report that says that EV market is likely to attract investments of Rs 94,000 crore over the next five years.  India, says the report, is currently at a nascent stage but it is likely to grow, backed by Government initiatives and a move towards recognising climate change. 

Electric mobility is the buzzword in the industry and despite a plethora of problems, there is a substantial rise in the sale of EVs across the country. While most major brands are coming up with their own EV models, with lower cost and better range; many are also investing funds in the younger players and startups which are venturing into the booming EV market. 

A recent example is Ultraviolette Automotive, an innovator in sustainable mobility, raising a new round of capital in its Series C funding, led by TVS Motor Company. According to the startup, Zoho Corporation joined this round to support Ultraviolette’s vision of developing high performance mobility solutions for India and global markets. TVS had been an early backer of Ultraviolette and the former reaffirmed that “EVs are a huge focus area for us.”

• Ultraviolette Automotive, an innovator in sustainable mobility, raised a new round of capital in its Series C funding, led by TVS Motor Company. Zoho Corporation also joined this round.
• ElectricPe, a Bengaluru-based EV charging platform, raised a Seed Round of $3 million. Led by Blume Ventures and Micelio Fund, the company said it will utilise the capital to further develop its deep-tech platform.
• Colliers India-Indospace report said the EV market is likely to attract investments of Rs 94,000 crore over the next five years. The industry in India is currently at a nascent stage but it is likely to grow, said the report.

Likewise, ElectricPe, a Bengaluru-based EV charging platform, raised a Seed Round of $3 million in November. Led by Blume Ventures and Micelio Fund, the company said it will utilise the capital to further develop its deep-tech platform to enable easy access to affordable charging points via the ElectricPe app.

In this context, the findings of a recent report by property consultant Colliers India and Indospace did not come as much of a surprise. According to the report, titled ‘Electric Mobility in Full Gear’, the electric vehicle market is likely to attract investments of Rs 94,000 crore over the next five years and is expected to generate business opportunities in the real estate sector.

The report mentioned that the electric vehicle industry in India is currently at a nascent stage but it is likely to grow, backed by Government initiatives and a move towards recognising climate change.  “India is taking a step towards sustainability and has vowed to cut its carbon emissions. At the recently-concluded CoP26 summit, India pledged to reach net-zero carbon emissions by 2070. In India, the transport sector is currently the third-largest emitter of CO2. This is leading to increased thrust on EVs in India,” said the report.

Colliers estimated that over the next five years, the EV space in India is likely to see investments of Rs 94,000 crore ($12.6 billion) across the value chain. “There is ample opportunity for landlords across the spectrum from manufacturing to charging infrastructure,” it said. Significant land around 1300 acres will be required pan-India to set up 110 GWh battery manufacturing capacity by 2030.