This Govt Company Will Buy 1 Lakh Electric Vehicles By Spending Rs 3000 Crore!

The central government wants to convert 60 lakh three-wheelers to electric cars (EVs).

Also India’s electric vehicle sales are on the mend, as the country tries to meet the FAME II deadline of adding 10 lakh electric two-wheelers to the roads by March 2022. Consumers are still unaware of the benefits available, such as user discounts and substantial exemptions from road tax and registration fees.

The step is towards the goal of turning 30% of all road wheels to electric by 2030.

The Top Three States In Terms Of Electric Vehicle Sales

The electric vehicle market saw 1.35 lakh units sold in the previous fiscal year (2020-21). According to a new report by the CEEW Centre for Energy Finance (CEEW-CEF), an initiative of Asia’s leading think tank, the Council on Energy, Environment and Water (CEEW).

Uttar Pradesh, Bihar, and Karnataka were the top three states in terms of EV sales in FY21, said Meghna Nair, analyst, CEEW-CEF. 

“Uttar Pradesh alone contributed 23% of the country’s sales, with 31,584 EVs sold in FY21. The top 10 states together made 88% of all EVs sold in India. Tripura, however, leads with the highest share of EVs per 1,000 internal combustion engine (ICE) vehicles, with 52 EVs sold for every 1,000 ICE vehicles in FY21,”

Meghna Nair, analyst, CEEW-CEF

According to the survey, two-wheeler and three-wheeler EVs accounted for nearly 96% of all sales during this period. Three-wheeler EVs accounted for roughly 65 per cent of all EV registrations.

“Electric mobility is poised to be at the forefront of India’s green recovery. In the coming years, the Central and state governments need to reduce uncertainty by rolling out detailed and clear long-term policies. Further, targeted efforts are needed to solve critical challenges such as higher upfront cost of EVs, lack of end-user financing, consumer’s range anxiety, and inaccessible charging. The CEEW-CEF dashboard provides key information of over 600 public charging stations in the country.”

Arunabha Ghosh, CEO, CEEW

Demand Of Three-Wheelers Electric Vehicle In Big Cities 

The state-run Convergence Energy Services Ltd (CESL) has released a tender worth Rs 3000 crore. It aims to purchase around one lakh electric three-wheelers.

The purpose of it will be mainly freight loading, disposal of garbage, transport of food and vaccine, passenger services. The pre-bid conference included about 20 original equipment manufacturers (OEMs).

“Before floating the tender, we launched a public exercise for demand aggregation. So we got commitments from financiers, fleet aggregators and others such as states that have funds under Swatch Bharat Mission, for about 85,000 (three-wheelers).”

“And so we kept a margin of an additional 15,000 and floated a tender to buy 1 lakh electric three-wheelers,”

Mahua Acharya, MD and CEO of CESL, was quoted by the Economic Times

According to the survey, communities that aim to switch their waste collection fleets from fossil fuel to electric power are driving demand for electric three-wheelers.