Electric Vehicle Industry: Current Status and Growth Potential in India

Electric Vehicle Industry: Current Status and Growth Potential in India

The automotive industry in India has seen a rise in Electric Vehicles (EVs) in the past few years. According to a recent study, the Electric Vehicle market is expected to be worth INR 475 billion by 2025.

The NITI Aayog is also optimistic about the future of the EV market in India. It estimates that 80% of two and three-wheelers, 40% of buses, and 30 to 70% of cars running on Indian roads will be electric by 2030. Currently, two-wheelers occupy the largest share of the EV market.

However, the future of the Electric Vehicle industry in India is not without its challenges. Inadequate infrastructure, high initial cost and lack of high-performing EVs are a few hurdles that affect their mass adoption.

Why Does the Future Look Optimistic for the EV Industry?

With tech giants like Tesla set to launch their Electric Vehicle models in India, the adoption of EVs is expected to increase. Additionally, the government is also working to create a suitable environment for a strong e-mobility ecosystem in India.

EV Adoption Campaigns

Metro cities like Delhi and Kolkata are leading the way for e-mobility in Indian cities. The cities encourage the use of e-rickshaws to save operation and economic costs. There are reportedly over 1 lakh e-rickshaws in Delhi, and Kolkata is slowly following suit. This has led to an increase in the purchase of EVs for personal use as well.

The Delhi government also introduced the 'Switch Delhi' campaign to promote the adoption of EVs. The campaign received overwhelming support from the youth of the city. The city's transportation minister announced an increase in the registration of electric two-wheelers since the campaign's launch.

To realise its dream of e-mobility, the Ministry of Power launched the National e-mobility plan in 2013. The project provided the roadmap for faster adoption of Electric Vehicles and their manufacturing in the country. It was designed to enhance national fuel security and provide eco-friendly transportation at affordable rates.

Positive Regulatory Tailwind

Government schemes such as Faster Adoption and Manufacturing of Hybrid and Electric vehicle (FAME) are working towards making India a global hub for EV manufacturing. Similarly, the Production linked Incentive Scheme also encourages the manufacturing of Electric Vehicles in the country.

To motivate consumers to switch to EVs, the government is offering subsidies and tax exemptions. While a tax exemption of Rs 1.5 lakh is available for buying electric cars through loans, the GST for direct purchasers is at the lowest bracket of 5%. The government has also been trying to improve the infrastructure of Electric Vehicle manufacturing in the country. It plans to set up 22,000 EV charging stations across the country through Oil Marketing Companies.

The government also launched the 'Go Electric' campaign to spread awareness of the benefits of e-mobility and EV charging infrastructure. The PAN-India awareness campaign is expected to boost the confidence of Electric Vehicle manufacturers.

Delivery Fleets are Going Electric

With e-commerce industries on the rise, the need for last-mile deliveries is also increasing. However, the growth of the delivery industry not only congests the road but also increases India's carbon footprint. It is creating a negative impact on the environment and the population's general health.

Certain last-mile delivery companies work entirely on EV fleets. They have set an example for leading the path toward pollution-free India.

Increasing Battery Swapping Stations

The lack of charging stations is the biggest roadblock to creating an electric ecosystem in India. Moreover, the charging time is excessively long and impractical. However, last-mile deliveries have ingeniously tackled the problem with numerous battery swapping stations. EV users can now switch the batteries in minutes instead of waiting hours to charge them. Many automobile companies have adopted the idea as a convenient solution to their EV charging needs.

Why Should Engineers Look towards the Electric Vehicle Industry?

With the growing awareness of EVs as cost-effective solutions, India is warming up to adopting Electric Vehicles. As a result, there is scope for EV engineers in the future. Hence, now may be the right time to upskill and prepare yourself for your role in the EV industry.

Skill-Lync offers the Post Graduate Program in Hybrid Electric Vehicle Design and Analysis. It is a comprehensive course that provides students with knowledge of essential engineering concepts and tools used by top OEMs to design Electric Vehicles.

After the completion of the course, students will be able to answer the following questions:

• how hybrid Electric Vehicles work
• how a generator produces electricity in hybrid vehicles
• how to simulate hybrid Electric Vehicles in Simulink
• how HEV batteries are recharged

The course will make students eligible to apply for the following roles:

• Hybrid Electric Vehicle Engineer
• Hybrid Powertrain Engineer
• Mobile Hybrid PSV Engineer
• BMS Frontline Engineer
• Motor Design Engineer

To Conclude

India is currently in the middle of an Electric Vehicle revolution. Increasing electric mobility will open many opportunities for EV engineers in manufacturing, designing, developing and maintaining Electric Vehicles.