By 2030, the government aims to make India a 100-per cent electric-vehicle nation. It has proposed that two-wheelers below the engine capacity of 150cc sold in the country after March 31, 2025, and three-wheelers sold after March 31, 2023, should be EVs , it wants all three-wheelers to run on batteries. Incentives are also being offered to make car makers develop new EV models and manufacturing components such as lithium-ion batteries and electric motors
Upon assessing the mobility needs and patterns in Indian cities, it was deduced that in the absence of adequate and reliable mass transit options, two-wheelers have a significant role to play in India's mobility. They not only provide an affordable and reliable means of transport but also as a mean of livelihood for millions of people in urban and rural areas of India.
The predicted growth of two-wheelers in India also puts light on its impact on local air pollution, national energy security, and global warming. As proven through modelled scenarios in this report, a phase-wise adoption of electric two-wheelers can mitigate these local, national, and global concerns to some extent. But in order to make a significant and sustainable impact, electric vehicles will have to be complemented with widespread charging infrastructure, green sources of energy, increased coverage of public transport systems and localization of the EV manufacturing in India.
Even after interventions by the National and State governments, the proportion of electric two-wheelers remains at a minuscule level of 0.001% of the overall two-wheeler market in India. The report, therefore, makes an attempt to understand this conundrum and develop enablers for the adoption of EV two-wheelers through primary customer surveys, interviews with industry executives, and real business case analysis.
Consumers' Perspective - The online stated preference survey conducted in this study revealed that the electric vehicles are not looked upon as primary vehicle, and only used for short irregular trips. The current consumer's perspective is mainly because of concerns about limited range and lack of charging facilities. The anxiety about limited range gets further accentuated among prospective EV and ICE buyers. This finding necessitates the need for widespread charging facilities.
Feasibility of Charging Infrastructure - The feasibility study of public charging stations showed the running of public charging stations (PCS) as an expensive prospect due to large operational costs in terms of land rentals. The PCS becomes economically viable only at high tariffs for customers. However, the survey conducted showed that most vehicle users were not willing to pay more than the household energy rates for public charging.
Further analysis shows Battery Swapping Stations (BSS) as an unviable economic model. Besides being an unviable solution, BSS and battery standardization for BSS operations also has significant demerits. A standard battery will limit the product experience options for the customers and discourage innovation in battery technology advancement. The OEMs emphasize that integral battery design by them is crucial for optimal vehicle safety, reliability, and performance.