The Economic Times
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| 25 January, 2021, 01:51 PM IST | E-Paper

India’s switch to electric vehicles will be rapid; 31m EVs by 2040


Currently, India has only 206 community charging stations across the country.


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India may be slow in embracing electric vehicles, but once it takes off, the adaptation will be fast. The nation is estimated to see 30.81 million electric vehicles sales by 2040. That number comes from Amitabh Kant, CEO of NITI Aayog.

Addressing the annual convention of SIAM, India’s auto industry lobby, Kant on Thursday said electric vehicles trend is set to grow in the country and India aims to reach zero emission by 2040.

He projected 7.30 million electric vehicles sales in the country by 2030, and 30.81 million by 2040.

“Low per capita car ownership gives India an opportunity to expand. At present we have 20 cars per 1,000 people while US has 800,” he said.

India sold only 25,000 units of electric vehicles in FY17, a good jump from 16,000 electric vehicles sold two years ago. Currently, India has only 206 community charging stations across the country.

All top carmakers have frontloaded electric vehicle plans, with Maruti Suzuki, Hyundai and Tata Motors readying to roll out products in the market.

Maruti Chairman RC Bhargava has gone on record saying the company would soon come up with models as soon as it manages to determine consumer preferences.

M&M, the pioneer in the electric car segment in the country, had firmed up plans to invest Rs 600 crore in its electric vehicles arm to strengthen the portfolio with more launches.

Tata Motors and Hyundai Motor are learnt to have fixed timelines for EVs. Tata, which revolutionised the auto mart with the world's cheapest car Nano a decade back, is learnt to readying an electric version of the Tiago for January lunch. Hyundai is considering assembly of electric vehicles in India by 2019.

Most auto stocks were trading higher on Thursday on higher August sales.

At 11.15 am, shares of Mahindra & Mahindra were trading 0.87 per cent higher at Rs 1327.95. Shares of Maruti Suzuki were trading 0.66 per cent higher at Rs 7,903. On the flip side, shares of Tata Motors were trading 1.62 per cent lower at Rs 377.20.

Maruti Suzuki India has reported 23.8 per cent increase in total sales at 1,63,701 units in August as against 1,32,211 units in the year-ago month. Mahindra & Mahindra reported a 3.75 per cent increase in total sales at 42,116 units in August.Tata Motors' sales in August stood at 48,988 vehicles, up 14 per cent YoY.

Globally, the electric car stock is projected to reach 20 million by 2020 and 70 million by 2025. At present, it is at around 9 million. The share of electric vehicles in passenger car sales is projected rise massively to 10.4 per cent by 2026 and 53.3 per cent by 2040.

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3 Comments on this Story

shantnu Rana1235 days ago
Very inspiring article for all those who want to see a reformative change in their country. Prime Minister and his new team has given us hope and confidence that “New India” will bring vast positive changes all across. India already has a Mature Domestic Auto Industry, New ministerial team is announcing incentives, re-drawing new roles for public sector Industries to play a more decisive role in fast changing technology driven world, allowing entrepreneurs to be innovative, creative and actively participate in building new age industries, businesses. Electrifying all kinds of vehicles will be a major Plunge to modernize our decade old, shabby rickety Transport system. We may witness Modern New Buses run on Clean fuel running in cities and highways, speedier, low noise pollution free autos, Taxis in our cities, gradual replacement of oil stations with Electric charging stations, Job creating in service and auto sector, opportunity for startups, a reduction of transportation cost for Businesses. This may require that we intensify and double our efforts to train, re-retain our workforce to meet changing demands, calibratate our courses to align with new requirments.
Sanjiv Dogra1236 days ago
it is very opportunity for vehicle manufacturer to grab market share from Maruti if they come up with true value for money EV. It will be a disruptive move
Sharan G1236 days ago
Where is the infrastructure for charging in the country !On an average it takes around 7 to 10 mins for a car to get a full tank ! bikes take around 3 to 5 minutes for full tank !Has the technology evolved for fast recharging ?
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