New Delhi (Agency): India should set a bold aim of achieving 100% electrification of two and three-wheelers by 2030, urged Amitabh Kant, India’s G20 Sherpa, during a meeting on Wednesday. Kant also called for 65% of the country’s state public transport to be electric by the same year.
At an event organized by the NITI Aayog, Kant stressed that for these ambitious electric mobility targets to be met, a well-structured policy framework is needed. He addressed the ongoing fourth Energy Transitions Working Group meeting under India’s G20 Presidency in Panaji.
“When India becomes more urban, our cities should be compact, livable, and green. In India, our first step should be to electrify two and three-wheeler vehicles,” stated the former NITI Aayog CEO. He insisted that “India’s policy should be that we must have 100 per cent electrification of two and three-wheeler vehicles by the year 2030. Whatever it takes, fix the target and work backwards.”
Kant, who believes that diesel and petrol technologies are on their way out, made clear that the future of transportation is in electric vehicles. The global electric car market, he pointed out, has reached 10 million, and 18% of new cars sold worldwide are electric. He highlighted the fact that in China, 60% of cars are electric, 15% in Europe, and 10% in the US.
Kant argued that India’s path to electric mobility would be unique and different from the routes taken by the USA and Europe. He also urged that low-cost financing options for electric vehicles be developed. He raised the issue of lenders being worried about the low resale value of electric vehicles, suggesting the NITI Aayog should work alongside financial institutions to cultivate a second-hand market for these cars.
Furthermore, Kant stressed the importance of establishing a robust charging infrastructure across towns and villages, through a public-private partnership (PPP) framework. He also stated the critical role of the automobile sector in India, which constitutes nearly half of the manufacturing industry and provides 8-9% of employment.
“If India does not leap forward in electric vehicles, it will lose out on the market to become the world’s automobile global champion,” Kant warned.