Currently about 25 crore vehicles are plying on the roads of India. These vehicles include two wheelers, passenger vehicles, and commercial vehicles. Over 99% of the vehicles are run by fossil fuels.
However, enlightened citizens who want to do their bit to curbing air pollution are pushing the sale of electric vehicles (EVs). At present, about 2% of cars sold in the country are EVs or Hybrid Electric Vehicles.
But, the EV industry is on the verge of a big boom, thanks to the policy push by regulators. NITI Aayog, the think tank of the Indian government, calls for the complete transition to electric mobility by 2030. The government has announced its official target: 30% of new vehicles sold will be EVs by 2030.
It is encouraging to note that many state governments are falling in line. States like Tamil Nadu have announced tax incentives and financial support for companies to manufacture and sell EVs.
Tamil Nadu has the second highest vehicle population in the country with 2.77 crore vehicles, and the largest automobile and auto component industry base. The State's EV Policy 2019 grants 100% road tax exemption for the sale of EVs, and 100% reimbursement of sales tax, and electricity tax for EV companies.
Considering the proactive initiatives of governments, and enthusiasm for EVs from the consumers, India’s switch to e-mobility can be faster than expected.