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Background:-
Electric vehicles (EVs) are growing in popularity and certainly in mind space. They are cleaner and more efficient, easy to maintain and there is an advantage of regenerative braking. On the whole it is a package to fight against climate change and global warming as green house gas emissions are reduced. Recent targets by NITI Aayog indicate 40% of personal vehicles and public transportation in the country should go completely electric by 2030.
Government Initiatives:-
Boost to electric vehicles: India proposed to liberalize the permit system for electric vehicles to promote alternative fuels. It suggested raising the tax on diesel vehicles by 2% while lowering the tax on electric vehicles.
Problems with current model and why precautions need to be taken:-
Most worries hinge on battery costs and manufacturer readiness. Also at current the electric vehicles take longer time to charge than conventional vehicles.
EV battery production:
International experiences:-
There have been some concerns about previous experiences in China and Israel. But these models were meant for personal cars andwere costly. Besides, lack of marketing, proper execution and mismanagement led to the failure of the promising EV start-up in Israel Better Place. The subsidy structure also became distorted, favouring large batteries. Policies have to be developed to facilitate the indigenization of battery assembly, and manufacture of EVs and their basic components. Currently, there are distortions with the goods and services tax (GST). The GST rate on batteries is 28%, while it is 12% for electric vehicles.
Coordination among various stakeholders:
EVs, unlike ICE vehicles, involve several actors at the national, State and city levels, respectively Multiple ministries such as Road Transport and Highways, Housing and Urban Affairs, Heavy Industries, Power, New and Renewable Energy, External Affairs as well as national institutes such as NITI Aayog should work together. State and city-level players need to be involved so as to address several technical and infrastructural needs.
Charging infrastructure: Charging infrastructure for electric vehicles in India has not been fully developed yet. EV charging is more than just using electricity. It involves exchange of informationrequiring a communication protocol. The absence of a standard global infrastructure is a major deterrent for EV penetration in India, as creating infrastructure can be cost-intensive. The government needs to select or develop appropriate and safe charging technology that avoids multiplicity and reduces the cost of infrastructure.
What more needs to be done?
Figuring out the best mode forward:
Different countries have different approaches to increase the EV penetration.For example China has focussed on Electric busesas catalyst for EV penetration. On the other hand, Netherlands has captured the EV market using a simple yet well-crafted strategy of creating charging infrastructureand encouraging investment in charging technology. It’s a major exporter of this technology too. Hence, the impact on employment in the wake of shift to Electric vehicles needs to be thoroughly studied. Bold initiatives and robust investments in technological research are required to turn its EV dream into reality.
Conclusion:-
When India is focusing on reaching the targets on the Paris agreement and striving for cleaner environment the focus on electrical vehicles is the right direction.
By: SONAM SHEORAN ProfileResourcesReport error
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