The electric vehicle industry has been evolving globally for a decade and is presently led by China. India however is developing a strong ecosystem for electric vehicle manufacturing when compared to other developed countries in the world. India presently has not acquired a significant market share in the global industry of electric vehicles even after capturing the two-wheeler and four-wheeler markets on a large scale.
Finance Minister Nirmala Sitharaman has announced in the budget session of the calendar year 2022 that the government will introduce strong battery swapping policies in the coming months. And on the date of 20th April 2020, NITI Aayog released the draft of India’s first battery swapping policy.
Through this battery vaping policy, it is expected that the cost of electric vehicles will be lower as compared to ICE engine vehicles for the implementation of swapping stations all across the country.
Electric Vehicle Vs Petrol Vehicle Price in India
On Thursday, Road Transport and Highways Minister Nitin Gadkari said in the Lok Sabha that “the prices of all-electric vehicles (EVs) in the country will be equal to the price of petrol vehicles within two years. Gadkari also said that MPs can buy electricity. Vehicles to have one-time charging stations installed in Parliament Complex.
also, The study by the market experts of the electric vehicle industry proves that the price of electric vehicles will be much lower than petrol vehicles in the coming years. Electric vehicles will see the heavy implementation of the batteries open policy and the construction of charging stations across the country to promote the growth of the electric vehicle industry.
The recent future will see the EVs getting sold without the batteries like the combustion engine vehicles are sold without petrol. The finance minister, in her speech on the budget allocation, highlighted the need of reducing the electric vehicle prices and creating a strong eco-system for the manufacturers.
Highlights of new policies for the promotion of Electric Vehicle
- The government has introduced additional financial incentives under the scheme of FAME-II for approximately 10,000 crores to promote the demand for electric vehicles.
- GOI has also allocated approximately 18000 crores for the PLI scheme of ACC & the auto-segment.
- The government also plans to focus on battery swapping technology. As per the reports, the plans announced in the budget will help in the formalization of interoperability and swapping policies. With time, the policy is expected to gain acceptance in the 3-wheeler and 2-wheeler vehicles. In the longer run, the manufacturers of electric vehicle batteries can reduce the high cost using the “economies of scale”.
- The government has bifurcated the implementation of the policy into phase 1 and phase 2 which will target the cities crossing the average population of a minimum of 40 lakhs and 5 lakhs respectively. [ Note: Indian companies including Hero electric, Revolt RV 400, Gravton Quanta, and Bounce Infinity.]
- The batteries (swappable) will be in sequence with Unique Identification Numbers (UIN) to maintain the safety and security of the batteries and prevent the misuse of the same.
- The swappable batteries will adopt the concept of “Lithium-Ion” which is often called Advances Chemistry cell. In addition to these regulations, the batteries which will be manufactured under the concept of battery swapping policy will be AIS 038 & 156 revision 2 certified. (PDF Here)
The government has mentioned restricting brand-specific battery manufacturing to help the eco-system of electric vehicles to adapt to the changes instantly. The government, in order to specify the policy details to the manufacturers, will conduct a briefing on 5th June 2022. The brief will further help the manufacturers and electric vehicle sellers to adhere to the regulations.