The automotive and mobility industry is seeing unprecedented changes. The world is in the midst of a key transition away from fossil fuel vehicles, a shift that has already arrived in India, where EV use is ready to move beyond the nascent stage. Different stakeholders — the government, OEMs, suppliers, and investors, among others — have taken steps toward setting up a robust EV ecosystem in the country. The Indian Government's goal of 30% EV penetration for passenger cars, 70% for commercial vehicles, and 80% for two- and three-wheelers by 2030 through its flagship FAME Phase II policy will greatly boost EV adoption.
The government's intent is clear and is focused on the growth of the EV industry. The signs of growing EV acceptance are bright, with the industry increasingly seeing more partnerships, joint ventures, and M&As. Start-ups are gaining a lot more funding from private equity / venture capital (PE / VC) funds. EV adoption rates are picking up in the major cities, although this trend is not yet visible in Tier-2 / Tier-3 cities.
Given current geopolitical tensions, global supply chain disruptions, and the government's policy of making India self-reliant (Aatma Nirbhar Bharat), it is important that India creates its own indigenous solutions and a supporting domestic value chain... The year 2022 was a great year for EV adoption in India, sales touching a million mark. However, adoption rates are still low due to higher up-front prices of EVs compared to ICE vehicles, the dearth of a charging infrastructure, a lack of vehicle options, and low consumer confidence. Recently, macroeconomic factors such as the semi-conductor shortage and the COVID-19 pandemic have also hampered growth in the EV industry. EV sales are also hindered by a lack of appealing options, customer anxiety about battery range, and safety concerns, given the current state of technology.
India's EV market holds great potential. Early steps taken, however small, can be built upon to expand the market and kick-start growth through concerted actions by all EV industry stakeholders — vehicle manufacturers, component suppliers, power generation and distribution companies, the government, and above all, customers.
India EV Spectrum 2024 will aim to boost adoption of EVs through creating a common platform for knowledge Exchange and Business interactions.
INDIA EV SPECTRUM 2024 Highlights