Kant urges stakeholders to replicate Indian dominance in ICE 2 wheelers in EVs

NITI Aayog CEO Amitabh Kant on Thursday urged the stakeholders to replicate the Indian dominance in traditional Internal Combustion Engine (ICE) two-wheelers in the sector of Electric Vehicles.

In a series of tweets, Kant informed that Volvo Car India has decided to launch one electric vehicle annually.

"Electric Vehicles on the move: Volvo Car India will launch one electric vehicle annually. It aspires to become a fully electric car company. Kia has revealed the 1st images of EV6 -its first dedicated battery electric vehicle (BEV) built on its new Electric Global Modular Platform," he tweeted.

"India has taken the lead in the manufacturing of EV Vehicles. The dominance and leadership that India has in traditional Internal Combustion Engine (ICE) 2 wheelers must be replicated in EVs," he added.

The NITI Aayog CEO further said that firms such as Bajaj, OLA, Ather, Okinawa, Kinetic, Revolt and TVS are pursuing manufacturing for India and global markets.

"The world is at the cusp of a mobility revolution that will be EV driven. 2 wheelers and 3 wheelers constitute 80 per cent of total sales in India. These are low-hanging fruits. We should target for hundred per cent electrification of new two or three-wheeler sales in near future. Will give size & scale to penetrate global markets," he tweeted.

India's transition to electric vehicles will require a cumulative capital investment of 266 billion dollars (about Rs 19.7 lakh crore) in EVs, charging infrastructure and batteries over the next decade, stated a recent report by NITI Aayog and Rocky Mountain Institute (RMI).

The report also identifies a market size of 50 billion dollars (Rs 3.7 lakh crore) for the financing of EVs in 2030 -- about 80 per cent of the current size of India's retail vehicle finance industry worth 60 billion dollars (Rs 4.5 lakh crore).

The report further determines that investment in India's transition to electric mobility has the potential to create significant economic, social, and environmental benefits for the country.

As the economics of EVs continue to improve, new business models and financing instruments gain acceptance, and government programs drive early adoption and promote domestic manufacturing, India's EV market is poised for growth in the coming decade, said the report.

( With inputs from ANI )