In the last few years in India, the central government has not only emphasized increasing the connectivity and speed of the country, but the government is also moving rapidly towards electric fuels and vehicles to make the environment carbon-free. This is the reason that so far 18 states have prepared or listed a policy for electric vehicles. Not only this, but to encourage the purchase of electronic vehicles, the central government has reduced the GST from 12 percent to 5 percent and the subsidy has been increased from 20 percent to 40 percent.
According to the report of the Federation of Automobile Dealers Association of India (FADA), retail sales of electric vehicles in India grew by about 185 percent to 1,11,971 units in October on a year-on-year basis. This figure also includes sales of passenger vehicles. FADA said on Wednesday that in October of 2021 last year, the sale of electric vehicles stood at 39,329 units. At the same time, there has been a three-fold increase in electric vehicles in the year 2021-22 as compared to the year 2020-21.
According to the data, sales of electric passenger vehicles jumped 178 percent to 3,745 units in the previous month from 1,346 units in the same month a year ago. On the other hand, sales of electric commercial vehicles increased by 125.64 percent to 274 units. Talking about electric two-wheelers, in October 2022, its sales increased by 269.06 percent to 73,169 units. Which were 18,040 units in the same month of last year i.e. 2021.
The highest number of three-wheeler electric vehicles
During the Parliament proceedings, Minister of State for Heavy Industries, Krishna Pal Gurjar, in a written reply to a question in the Rajya Sabha, said that the number of electric vehicles is the highest among the total number of electric vehicles in the country. The Central Government told the Parliament that many important steps have been taken by them to promote electric vehicles. According to the data given by the government's Ministry of Road Transport and Highways, a total of 13,92,265 Electric Vehicles (EVs) are plying on the country's roads in India till 3 August 2022 this year.
What did the minister say?
Minister of State for Industry Krishna Pal Gurjar said that at present there are 7,93,370 electric three-wheelers in our country. At the same time, the total number of two-wheelers is 5,44,643 and as of 3 August 2022, the number of four-wheelers is more than 54,252. Along with this, the Center also informed that with a three-fold increase, the number of sales of electric vehicles in the financial year 2021-22 reached 1,34,460, which is 3 times more than the year 2020-21.
Minister Krishan Pal Gurjar informed the Parliament that the government has taken several steps to make people aware to promote electric vehicles in the country. He also informed that on May 12 last year, the Center had approved the Vision Scheme of Production Linked Incentive (PLI) for manufacturing of Advanced Chemistry Cells (ACC) in the country to reduce the battery prices in the country. Due to this, the cost of electric vehicles will also come down along with the reduction in battery prices.
What is the government policy for EV
The minister informed that electric vehicles are eligible for incentives under the PLI scheme for automobiles and auto components, the scheme which was approved on September 15, 2021, with a budget outlay of Rs 25,938 crore for five years.
Sales of CNG cars also increased
The sales of CNG cars in India have also increased in recent years. After the strictness of many rules related to emissions, automakers are staying away from small cars with diesel engines. Manufacturing small cars with diesel engines according to the emission norms increases their cost significantly and the price difference between a hatchback with such a diesel engine and a compact SUV remains very small.
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