India’s aggressive push to electrify all new vehicles by 2030 is compelling auto part manufacturers and carmakers to draw up early plans for electrification, company executives said.
A new auto policy is in the works and will include a roadmap for electric vehicles, a government official said, adding that this is likely to be made public before year-end.
Engine-maker Cummins India is investing in research on electric mobility solutions for India, while Hyundai Motor Co has begun talks with some of its suppliers for components for electric cars, company executives said.
Ashok Leyland, which launched an electric bus last year, has partnered with Indian start-up SUN Mobility to develop battery-swapping technology for cars, buses and trucks. According to media reportd, Anant Talaulicar, managing director, Cummins India said that commercial vehicle makers in India have asked Cummins to look into electric mobility solutions and only once they make a proposal will the company commit to capital investments.
Electric vehicles are expensive due to the high cost of batteries which are still not manufactured in India, and carmakers say a lack of charging stations could make the whole proposition unviable.
But the government is determined to push ahead. In a stern warning to the auto industry, India’s road transport minister Nitin Gadkari asked companies to start building electric and alternative fuel vehicles or risk being overtaken by policy changes.
In May India’s leading think-tank laid out a 15-year roadmap for electrifying all new vehicles in the country by limiting registration of petrol and diesel cars while giving incentives and subsidies on sales of electric cars.
Electric car sales in India, one of the world’s fastest-growing car markets, are negligible compared with annual sales of over 3 million petrol and diesel cars last fiscal year, according to industry data.
