Electric vehicles (EV) are set to charge up India’s roads very soon. The sector achieve a milestone by surpassing 1.5 million unit sales in year 2023. EV penetration remains relatively low, constituting only about 1% of total car sales in the country at present, despite the government’s push in the form of various incentive schemes.
The adoption of 4-wheeler EVs for private use remains limited, with only a small number of Indian buyers going far with electric vehicles.
So, now the Qustion arises, what’s stopping Indians from buying EVs?
As per one of the survey, 51.7% of the respondents said that in order to expedite EV adoption in India the government must improve charging infrastructure.
The Indian customers hesitation has primarily to do with inadequate charging infrastructure in India.
As per Nitin Agnihotri, Automobile Expert :
Nitin Agnihotri said :
As taxes on EVs in India are already not very high, a 27.1% of survey respondents believe that the government should reduce taxes on EVs.
On making EVs more attractive to both buyers and manufacturers, Nitin Agnihotri said :
Offering tax breaks to manufacturers is equally essential to stimulate the auto industry’s shift towards EV production.
As the government can provide tax incentives directly to EV purchasers.
Nitin Agnihotri suggest reducing GST on batteries from 18% to 5% will result in a decrease in the cost of EVs for consumers, making them more affordable for a large segment.
Also, slashing custom duty on importing certain EV spare parts will enable manufacturers to allocate more resources towards R&D and improve the overall quality of EVs.
The important aspect is the safety of EVs remains a concern.
A comprehensive budgetary approach that encompasses GST reductions, subsidy extensions, infrastructure incentives, R&D support, awareness campaigns, and state-level collaboration will provide the necessary impetus for the sustainable growth of the electric vehicle ecosystem in India.
What I think is that the government needs to focus on three key aspects to enhance charging infrastructure in India:
- High Availability
- Lower Set-up Cost
- Increase Awareness about EVs
Also to reduce the cost of setting up charging stations, government must incentivise solar-based charging.
Rahul Ram Dwivedi (RRD) is a senior journalist in 2YoDoINDIA.
NOTE : Views expressed are personal.