Rising fuel prices, concern for the environment and growing enthusiasm for electric vehicles are driving the adoption of two-wheeler electric vehicles, among other factors. However, according to a new report, this growth may be hindered. According to the report of Crisil, there is a possibility that the price of electric scooter can increase by up to Rs 45,000 in the financial year 2025.
The reasons for the increase in adoption can be seen as official support for the use of electric vehicles. It supports the National Electric Mobility Mission comes in the form of faster adoption and Manufacturing of Hybrid and Electric Vehicles (FAME) plan under the plan. In addition, the subsidies provided by the states.
In addition to government support, other factors contributing to growth are better cost economics, the availability of different models, and the viability of house-charging options, to name a few, which are all factors to consider.
Read also: Tata Power partners with Vatika Group to install 59 EV chargers in Gurugram
According to a new Crisil report, subsidies, which bridge the cost gap between EVs and conventional, internal combustion engine (ICE) options, have been the primary driver of EV penetration in India.
According to the report, the fiscal year will be 2022, and in fiscal 2023, 7500-9500 Rs than electric scooters total cost of acquisition ICE counterparts. This year, the FAME II is due to subsidies, the government’s timetable after ending fiscal year 2023.
After the end of the scheme, the price of the electric scooter will be Rs 45,000 more than in the financial year 2023. The breakdown will include a FAME II subsidy of Rs 45,000 and a registration incentive of Rs 10,000. According to the research, the total cost of acquisition is expected to increase by Rs 18,000-20,000 during the financial years 2023 and 2025.
FAME plan after ending, starting from 2023 the hydrogen fuel cell vehicles and EVs can be used to support every effort to support EV adoption by new PLI scheme. PLI scheme is expected to tighten control over the increase in total costs and prices of acquisition.
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