India has prepared a plan to encourage manufacturing of full range of cleaner electric vehicle technologies as country’s efforts for a cleaner and greener transport system for the future. A Scheme under the National Electric Mobility Mission 2020 has been proposed by the NDA Govt. and is being sent to the Cabinet for approval. The scheme will cover all states and union territories of the country from urban to rural.
The Mission Plan 2020 envisages demand incentive scheme for faster adoption of Electric Vehicles. It will include mild hybrid, full hybrid vehicles (HEVs), Plug in Hybrids (PHEVs) and Pure Electric Vehicles (BEVs) (collectively termed as xEVs) thereby leading to creation of a viable and self-sustaining electric vehicle industry and its eco system in India. Electric and hybrid vehicles have a significantly lower level of emissions, including carbon-dioxide emissions, which is one of the major contributors to global warming.
It is estimated that the Govt will need to provide support to the tune of Rs 13,000 – Rs 14000 Crore over the next 5-6 years. The mission projects a potential for 6-7 million units of new vehicles sales of EVs, along with resultant fuel savings of 2.2 – 2.5 million tonnes that can be achieved by 2020.
Today, over 80 percent of India’s requirements of petroleum products is being imported. This dependence on imports is likely to increase. Since high international prices of oil contribute significantly to India’s import bills, thus the govt is making all possible efforts to reduce the transport sector’s dependence on oil.
The Govt. has decided faster adoption of the full range of electric vehicle technologies, including hybrid vehicles. These technologies are not only more efficient but they are also cleaner. They have the potential of contributing substantially to the efforts for mitigating the adverse impact of economic development on the environment.
An inclusive approach has been proposed in the scheme and all vehicle segments come under the purview of the incentive scheme, along with the complete range of electric and hybrid vehicles (Mild, Strong, Plug-in, BEV variants are covered). The scheme proposes a comprehensive approach which includes providing charging infrastructure, development of indigenous technology, capacity creation and supply side measures to increase confidence and provide greater acceptability for electric car and other vehicles.
During 2010-12, the Ministry of New and Renewable Energy (MNRE) had implemented an Alternate Fuels for Surface Transportation Program (AFSTP), at a total expenditure of Rs.95 crore. Incentive was provided to OEMs for EVs. The MNRE scheme was a limited intervention and was not designed to catalyze any major vehicle or component development activity by the industry i.e. components of technology, charging infrastructure, and supply side interventions were not covered.
The Mission is designed as a comprehensive program of activities. The major sets of activities are: Market Creation through Incentives Scheme (including retrofitting of in-use vehicles); Projects for Pilot Demonstration Fleet; Scheme for Public Charging Infrastructure and Charging Standard; and Technology Platform Development (including vehicle testing and homologation infrastructure).