New Year 2021 set to witness EV revolution

Source:https://www.energybite.co.in/blog-post/new-year-2021-set-to-witness-ev-revolution/

A variety of steps taken by the Government, supplemented by multiple efforts of the private sector, have contributed to energising the EV scenario in the country. With more and more EVs making their foray and aggressive steps towards strengthening charging infrastructure in the pipeline, the year 2021 is likely to witness a revolution of sorts in this arena.

With the planned entry of giants like Tesla and the ever-increasing benefits being offered by the Government, 2021 seems be setting off a revolution for the EV industry in India. Through its FAME-II (Faster Adoption and Manufacturing of Hybrid and Electric Vehicles) scheme, the Government is aiming to boost the sales of electric vehicles manifold and also strengthen the charging infrastructure.

The Government has outlined an ambitious plan of replacing 30 per cent of automobiles in India with EVs by the year 2030. Under FAME-II scheme, it has been providing a subsidy of up to Rs 3 lakh on commercial vehicles. It has also brought down the GST rate on EVs to 5 per cent from the previous rate of 12 per cent. Tax benefits and waivers on registration and road tax are being provided by several state governments in the country. All these measures are set to bring down the prices of EVs drastically.

• Under FAME-II scheme, it (the Government) has been providing a subsidy of up to Rs 3 lakh on commercial vehicles. It has also brought down the GST rate on EVs from 12 pc to 5 pc.
• To strengthen the EV infrastructure, the Government is planning to install at least one charging kiosk at each of the 69,000 fuel stations across the country by the end of this year.
• The revolution couldn’t have come at a better time for a country which is home to 14 out of the world’s 15 most polluted cities, as per the WHO data.
• In FY2020, more than 1.5 lakh EVs, including two-wheelers and four-wheelers, were sold in India. That is a whopping growth of over 150 per cent from the year 2018.

To strengthen the EV infrastructure, the Government is planning to install at least one charging kiosk at each of the 69,000 fuel stations across the country by the end of this year. This is bound to give a huge boost to the EV market in India. The Department of Heavy Industries has earmarked an investment of Rs 1,000 crore towards development of EV charging stations across the country. Several private players, including Tata Power, Okaya and Tirex, have already installed hundreds of EV charging stations in many states and they are continuing with their efforts relentlessly.

The revolution couldn’t have come at a better time for a country which is home to 14 out of the world’s 15 most polluted cities, as per the WHO data. Seeing the phenomenal growth of automobile industry in India, many domestic and international brands are bringing their EVs to the country. In FY2020, more than 1.5 lakh EVs, including two-wheelers and four-wheelers, were sold in India. That is a whopping growth of over 150 per cent from the year 2018.

With a variety of EV models coming to the market, strengthening of the charging infrastructure and technological advancements in the field of lithium-ion batteries, the EV space in India is set to grow even further and the year 2021 may prove to be no less than a revolution.