India is witnessing unparalleled transformation from rural to urban living over the last two decades thanks to increasing population and robust economic growth. According to a McKinsey Global Institute report, in India, around 590 million people will be living in cities by 2030. Further, by 2050, it is estimated that half of India’s population will be living in cities. Such large-scale urbanisation will certainly impose severe strain on urban infrastructure like housing, electricity, water supply, road and transportation. It will also contribute to rapid environmental degradation. Because of this, the Indian government has decided to put up a number of smart cities that are going to be clean, green and sustainable.
Electric mobility will be a prerequisite for these futuristic cities and electric vehicle (EV) industry is gaining ground due to the push towards smart living. In India, the acceptability of EVs is increasing by the day because of their eco-friendliness, cheaper fuel cost, and lower maintenance expenses.
The government has also taken many initiatives to give a boost to EVs. Being the world’s second largest two-wheeler market, fifth largest photovoltaic (PV) market and seventh largest commercial vehicles market, India has set the target of 30 per cent new sales of electric passenger cars, light commercial vans, buses and trucks by 2030.
The announcement of Phase-II of the Faster Adoption and Manufacturing of (Hybrid &) Electric Vehicles (FAME-India) Scheme, with an outlay of Rs 10,000 crore, also indicates a shift towards EVs. In FY19, total EV sales in India reached a total of 7,59,600 units as compared to 56,000 units in FY18. Once primary hurdles in the way of EV adoption like inadequate charging infrastructure and higher cost of battery are addressed, India will lead the EV movement in the world.
