- The government plans to achieve EV sales penetration of 30 per cent for private cars, 70 per cent for commercial vehicles and 80 per cent for two and three-wheelers by 2030, Nitin Gadkari said on Friday.
- The Union Minister also emphasized the immediate need to decarbonise the transport sector of India.
He noted that if India were able to reach this target by 2030, it would reduce crude oil consumption by a remarkable 156 million tonnes that is worth Rs 3.5 lakh crores.
“There is an immediate need to decarbonize the transport sector and make it sustainable with the economy, ecology, and environmental point of view,” he stated at the FICCI event.
A study by CEEW Centre for Energy Finance (CEEW-CEF) states that the Indian electric vehicle (EV) market’s worth would reach a peak at around Rs 14.42 lakh crore if the target is reached in India’s EV ambitions but would need a cumulative investment of about Rs 12.50 lakh crore.
“India’s electric vehicle market could be worth nearly USD 206 billion (about Rs 14.4 lakh crore) in the coming decade, if India were to achieve its 2030 electric vehicle (EV) ambitions,” it said.
The study further mentions that an estimated annual battery capacity requirement of 158 GWh by FY30 will provide our domestic manufacturers with an enormous market opportunity.
NITI Aayog has already gotten 25 states to develop multiple EV policies, from which 15 states have already implemented their state EV policies.
Even though India is not a global front runner in green energy consumption or in promoting and developing e-mobility, we are definitely on the cusp of an inevitable automotive revolution. An EV transition has the unquestionable potential to reduce oil consumption and imports, air pollution. It can also exponential growth of new industries and jobs. With properly developed plans and policies aimed at smoothening over the transition for the domestic manufacturers and a retrained workforce, this can only mean an uphill ride for the recently declining auto industry.