The Report dissects the increasing penetration of electric vehicles in India and across the world and analyses the reasons for the same – spanning from ecology, economics, and ecosystem. Positing lower operating costs and technological improvements as key drivers, it hazards that the evolution will continue even once subsidies dry up. It also charts out a differential growth path for each vehicle class, presenting the challenges associated with electrifying passenger cars. Towards this, it argues that a clever reworking of the incentive framework such as introduction of SPMEPCI and PM E-DRIVE will act as a fillip. Pondering on the interesting dominance of incumbent ICE players in India’s EV landscape, the Report draws out key differentiators for the Indian market. Here cost and technology go hand-in-hand, and after sales service is a key differentiator. A final component of the puzzle is development of the ecosystem, with special focus on development of upstream battery capacity and charging infrastructure.
