Ex Honorary chairman of Toyota motors once said that “Electric vehicles will soon cease to be an option for anyone. They will become a necessity for everybody“. And since then, we can hardly argue this statement as it’s quite evident that conventional vehicles are not here for long.
As we pass each day, the human race is stepping forward towards a new future where electric vehicles will probably be the only choice and the best choice for us. And for a market like India, where you get an almost 10x audience compared to other countries. Doing EV business here can make fortunes for those who chime with the correct business strategy. And with the growing population and advancement in the technology around us, companies are continuously changing how they work. Adaptive business mindset is much more important than anything these days.
Looking at the next decade, one can easily say that there will be a major shift from petrol/diesel vehicles to electric vehicles for every mode of transport. And we may be are on the verge of a complete transformation of how EV companies may work in future. But till then, let’s ponder upon some latest trends and happenings that are ongoing or expected to come into the industry sooner or later.
Increase in government incentives and initiatives
Countries around the world are continuously adapting to the latest technologies. And when it comes to environment-friendly EVs, govt is readily giving great incentives, subsidies and tax relieves to everyone. This way, the prices are kept quite attractive and people are encouraged to buy an EV instead of a normal vehicle. Recently Indian Cabinet approved an incentive scheme of INR 260 Billion over the next five year period on battery-electric and fuel-cell vehicles. Other than this, companies are readily offering cheaper EVs in India since they can make use of the:-
- Tax rebates
- Reduced registration fees for high speed EV’s and no registration for low speed electric scooters
- Less interest on alternative fuel loans
- More Funding’s for R&D
- Subsidies for Electric Vehicles
- Better tax credits for purchase and setting up of charging infrastructure in the country.
The surge in EV sales and competitive pricing
The last decade was the time when EVs exploded and since then, hardly there exists any company which has complete control of the market. With a staggering increment of over 70% just from 2020 to 2021, EV sales have skyrocketed, which has directly helped companies sell vehicles at affordable prices. But as vehicles are increasing, the emergence of charging stations is on a rise. Hence, companies are now focusing on building charging stations either alone or by collaboration. Just imagine the fund inflow required for an industry whose sales jumped 70% in just 1 year.
Home charging stations
As electric 2 and 3 wheelers are on the rise, more and more charging stations are being built by companies worldwide and throughout India. Recently the National Highways Authority of India (NHAI) announced plans to add an EV Charging Station for every 40-60 Km of national highways .
Commercial vehicles (2 and 3 wheelers) are amongst the biggest need
With two and three wheelers being used the most, companies are projecting that two and three wheelers will have the best sales numbers in the upcoming years. India is targeting that 70% of commercial vehicles to be electric by 20230. We at Delta Autocorp LLP (DELTIC) are manufacturing one of the most efficient Electric 2 and 3 wheelers for people so that their next travel leaves a less harmful carbon footprint behind and leaves no dent in their pocket due to skyrocketing petrol prices in India.