Subsidy on Electric Cars to be Scrapped!

Yogesh Sarkar

Administrator
Even as the Government has set an ambitious goal of India switching to electric cars by 2030. It has decided to do away with a subsidy for the private car buyers and instead subsidies shared-mobility operators eg. Ola and Uber buying electric cars, since they will “run more than private cars”!

The government currently subsidizes the purchase of electric vehicles by up to 1.3 lakh and since electric cars generally cost a lot more than fossil fuel burning cars, it helps the buyer switch to green technology.

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The Centre plans to scrap cash incentives currently offered to buyers of electric cars despite having incentivised these clean fuel technologies till just a few months back. The move, experts said, will further dampen sales of private electric cars.

Policy-makers justified the move, saying the government has now decided to give cash subsidies to electric vehicles used by shared-mobility operators such as Ola and Uber, "as their vehicles will run much more than private cars".

Official sources said the government seeks to withdraw the cash incentives for private electric cars because it neither makes a "substantial difference in promoting sales nor serves the purpose of a clean environment".

Currently, the government offers a discount of up to Rs 1.3 lakh on an electric car as part of its clean-energy programme, FAME (faster adoption and manufacturing of hybrid and electric vehicles). This is being proposed to be removed in the new FAME Phase 2 draft policy drawn up by the heavy industries ministry.

While the inaugural FAME scheme had a budget of under Rs 1,000 crore, the ministry has proposed to raise it to over Rs 9,000 crore in the second phase. “The real utility of electric vehicles is in public transport. How much are the private cars driven?” asked an official.

The government feels that the addition of cab aggregators like Ola and Uber to the list of subsidy beneficiaries would prompt these companies to go for electrics, which offer highly-lucrative running costs as compared with conventional diesel/petrol or CNG alternatives (except for the high acquisition cost). “The maximum utility for the maximum number of people will be through public transport,” another source said.

The stance, however, runs contrary to the broader mobility vision that the government had projected just a few months back. As pollution rises across many top cities and smog and poisonous gases are difficult to control, the government had said it wants the entire car industry in India to switch to electric by year 2030. Last year, only around 1,500 electric passenger vehicles were sold against petrol/diesel/CNG car sales of 32 lakh.

The 2030 transition was pushed by former power minister Piyush Goel (now in-charge of railways and finance), and found strong resonance with the road transport and highways minister Nitin Gadkari. “I am going to do it, whether you like it or not. I will bulldoze. Petrol-diesel banaane walon kaa band-baja bajana hai (We will take the makers of petrol/diesel engine vehicles to task),” Gadkari had said in September last year.

Car companies and their lobby platform Siam, had disagreed with the government’s deadline for the e-switch, and have been petitioning for a more easy transition. Official sources said government will continue to give incentives on the purchase of electric buses and two-wheelers. However, for buses, incentives will be bought down. The current incentives on electric buses cover 60% of the cost of the vehicle. This will come down to 40%.

Source: ToI
 

deepam

Super User
This is interesting.
What is the percentage of Private cars that are registered to the TAXI CAB aggregators or vice versa?
As a private car owner I am holding to change to look at how the Technology will undergo change.
Currently e-vehicle sale should not be the basis for understanding future requirements! When technology and policy are friendly it will be better utilized and accepted.
This is again the lobbying of big industrialist as their investment is at stake!
Take the example of how Mobile operators who used to charge extra for Data usage, with onslaught of Reliance Jio how they started to give Mobile data usage free! Similar lines, is what is to be expected with switch to electric mobility. Prior to 5 years, Data was offered to 1GB per month now it is being offered to 1GB per day! How was this possible?
 

Yogesh Sarkar

Administrator
This is interesting.

What is the percentage of Private cars that are registered to the TAXI CAB aggregators or vice versa?

As a private car owner I am holding to change to look at how the Technology will undergo change.

Currently e-vehicle sale should not be the basis for understanding future requirements! When technology and policy are friendly it will be better utilized and accepted.

This is again the lobbying of big industrialist as their investment is at stake!

Take the example of how Mobile operators who used to charge extra for Data usage, with onslaught of Reliance Jio how they started to give Mobile data usage free! Similar lines, is what is to be expected with switch to electric mobility. Prior to 5 years, Data was offered to 1GB per month now it is being offered to 1GB per day! How was this possible?
Private cars aren't registered with taxi aggregators, though at times they were under the guise of car pool service.

The difference between data and car technology isn’t possible. It was always possible to give higher data speed and data usage limits, but it wasn’t given, because companies made more profit by charging so much more money for slight bump in speed and extra data cap. Now due to competition they are forced to do it. Whereas as far as electric vehicles are concerned, there is a lot of R&D needed to make them truly viable and replacement for fossil fuel powered vehicles. Tesla has done that, but their cars are too expensive to be sold in India (except to a handful of people.) Add to that, the charging infrastructure isn’t there and even if it is added, it will take longer to charge cars than to fill them with fuel. A trial by OLA has resulted in most of the drivers asking OLA to take back electric cars, because it isn’t profitable for them to spend at least a couple of hours to charge the car each day at the charging station and then do duties in the limited range they get from the charge.
 

Yogesh Sarkar

Administrator
Indian ride-hailing firm Ola’s pilot project to test a fleet of electric vehicles in the western city of Nagpur was expected to herald a coming revolution in the Indian auto industry. So far, though, it has only exposed fractures in Prime Minister Narendra Modi’s ambitions to make all new vehicles electric by 2030. With an initial investment of about $8 million, Softbank-backed Ola launched the project last year at an event that had all the trappings of a state function, including a big gathering and flagging off by Transport Minister Nitin Gadkari.

But nine months later, the program has hit a snag: Ola drivers, unhappy with long wait times at charging stations and high operating expenses, want to return their cars and switch to fuel-guzzling variants.

Out of 20 Ola electric car drivers interviewed by Reuters in Nagpur, more than a dozen said they have either returned their electric taxis and switched to diesel, or are planning to do so.

Ola had said it would make 50 charging points available across four locations in Nagpur – a city of about 2.5 million people – for its fleet of 200 electric vehicles, but on a visit to the city in late January, Reuters found only about a dozen charging points. Ola has since added 10 additional charging points, but is still short of its target. Ola did not respond to requests for comment for this article.

Getting infrastructure built in the world’s biggest democracy, where a not-in-my-backyard culture proliferates, is a barrier for a lot of businesses in India. And it is proving to be the same for charging stations – Ola was forced to close one in Nagpur last year after protests by residents angered by traffic jams caused by drivers.

The hurdles faced by Ola in setting up sufficient charging stations for a fleet of expensive electric cars with a limited driving range expose the challenges the Indian government and automakers will face if they are to get anywhere near realising the 2030 vision. Global auto makers have repeatedly warned that India is not ready for electrification, saying the government must first lay down a clear, long-term policy, provide incentives to encourage manufacturing of electric vehicles to bring down their cost, and create the charging infrastructure.

Mr. Gadkari added to uncertainty when he said last month that the government would no longer draft a separate EV policy. The Ola project has not turned out to be economically viable for either the company or its drivers, said an industry source.

Magnitude of challenges

Mahindra & Mahindra is the only electric carmaker in India and the high cost of even its entry-level model, which starts at ₹7,60,000 ($11,665) is a barrier for many first-time car buyers, and a non-starter for taxi drivers who can get a diesel or gasoline propelled car for about half the price.

Ola has deep pockets and while it has tied-up with Mahindra for the pilot project, its struggle to make the fleet viable in a small Indian city with much less congestion and space constraints than the biggest cities like Mumbai, underscores the magnitude of the challenges.

A shortage of stations and the limited range of cars – about 100 kilometres – has meant longer queues to recharge. During summer months when batteries discharge faster and need to be recharged more, the situation may worsen unless more charging points are added, said several drivers, none of whom wanted to be named as they feared retribution from the company.

Source: The Hindu
 

deepam

Super User
Why not think of portable batteries which can be placed for charging. While the vehicle drives in; the discharged battery is removed and charged battery is fitted and one can go!
Mahindra is not a small company not OLA, why blame the government for not implementing properly?
What we do today with Petrol or Diesel? Is it not distilled in back end and then transported?
The procedure followed today by manufacturer in EV Space is that I start distillation of Fuel when vehicle arrives? Come on .. Should not the analogy be changed. Now to do this Union government has to draft a policy?
 

vector4

Member
I guess the problem here is the sheer bulk of the battery that makes it difficult to handle.
And probably the biggest hindrance is the cost of the battery. For a easy swap system the number of batteries has to be much higher than the number of vehicles.
Buying and maintaining inventory would be an unnecessarily expensive affair, which would be very hard to recover for the already margin conscious businesses.

Just my two cents !
 

Yogesh Sarkar

Administrator
I guess the problem here is the sheer bulk of the battery that makes it difficult to handle.
And probably the biggest hindrance is the cost of the battery. For a easy swap system the number of batteries has to be much higher than the number of vehicles.
Buying and maintaining inventory would be an unnecessarily expensive affair, which would be very hard to recover for the already margin conscious businesses.

Just my two cents !
Additionally, batteries have a certain life. So a old battery user might end up getting a new battery and the reverse might happen to a person who has just bought a car and that would have repercussions on the vehicle performance.
 
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adsatinder

explorer
Cars fuelled by water, aluminium developed in India! All about IIT’s new innovation

The car that is powered by water: Students from IIT-R have developed an electric car that requires only 1L of water and can travel for up to 300 km. Details on the technology and the brains behind this brilliant innovation.


By: Ronak Shah | Updated: October 12, 2018 1:12 PM




10Log Materials has developed a new car that runs of water

Some of India's brightest and innovative minds from IIT Roorkee have developed a new electric car prototype that requires no fuel or even electricity and will almost cost as much as your standard car. This car prototype takes it power from water and aluminium and has zero emissions. One of the biggest concern today in India is the rising prices of the fuel and if this project coming out of India's leading educational institute, IIT-R will see solving the fuel crisis in India.

A report on The Print confirms that IIT-R students have started a new start-up called Log9 Materials and has developed an electric car that will need water and an aluminium plate to get its power from. Based out of an incubation cell, the project started about two years back and has developed the batteries that generate its power from just water and AL. Globally, we have seen many project cars running on water, however, this is the first time this innovation has been developed here in India.


It does get better, the students who developed this car running on water says that it will give a range of 1,000 kms on a single charge and would require 1L of water every 300 kilometres. Once you cross the 1,000 km mark, the aluminium plate has to be replaced and the whole process will not take more than 15 minutes. These plates cost about Rs 5000 and as the demand goes up, the cost is likely to go down in future. The car is still in its project stages and tests are being conducted to see its commercial viability.

Akshay Singhal, IITian and founder-CEO of Log9 Materials also confirmed to ThePrint that his start-up is in talks with some automobile companies and is ready with car's prototype.

The Technology Behind Car's Running On Water:
Further, it explains that the process of running the car using water as a fuel is based on the simple fuel cell technology that uses electrochemical reaction to produce electricity. The metal plate inside along with Graphene rod is used and water helps to carry the ions to the respective positive and negative nods. The produced energy is during the process is used by the electric motor to drive the car. The design is indeed innovative and the IITians are confident that these batteries will have a longer run.

This new innovative car that uses fuel has water has been applauded by many industry leaders. Kiran Mazumdar Shaw, Founder of Biocon tweeted saying "Innovative! Researchers at #IITRoorkee have developed an #environmentfriendly electric car prototype that runs on water and aluminium!

Also read: Maruti Suzuki electric cars flagged off for testing: All about Maruti’s first ever electric car

To reduce India's oil import bill, the government is very clear on having vehicles running on alternative source of fuel and is betting big on electric vehicles. Innovation like these will further help India to achieve its electric dream quickly. Cars and SUVs powered by fuel cell have been on sale globally but at a hefty price tag.

For IITians now the bigger challenge will be to keep the cost of the car in check. Mass production means the need for proper and durable batteries which at the moment are very expensive in India. This new technology can solve the big problems faced by electric vehicles in India today. The range and charging time of the vehicle.



Source: The Print

Cars fuelled by water, aluminium developed in India! All about IIT’s new innovation
 

adsatinder

explorer
Maruti Suzuki electric car caught testing for the first time! Maruti’s first ever EV and what to expect
The first ever Maruti Suzuki electric car was showcased in India for the first time at the 2018 MOVE summit that took place in September. The new Maruti Suzuki electric car will be launched in India sometime in the year 2020. More details here.
By: Pradeep Shah | Updated: November 5, 2018 11:29 AM


Electric Maruti car spotted

Maruti Suzuki has started testing its electric car and the same has been spotted testing for the first time in India. The upcoming Maruti Suzuki electric prototype has been snapped somewhere in Gurugram by a passerby. The test mule of the upcoming Maruti Suzuki EV can be seen cruising at a decent speed on a highway. The vehicle is seen with tail lamps fitted on the rear bumper that these appear to be LED type. The rear door window design also looks quite stylish ditching the conventional rectangular approach. India's leading carmaker announced yesterday that it has flagged as many as 50 vehicles for the testing. The electric Maruti Suzuki was showcased for the first time at the 2018 MOVE summit that took place in September.

Read more: All-new Maruti Suzuki electric Wagon R continues testing: Maruti’s first ever electric car launching in 2020

Also Read: All-new Maruti Suzuki electric Wagon R spied testing again: Details on Maruti’s first ever electric car

Watch The Video Of Maruti Suzuki Electric Car Here:



Maruti Suzuki WagonR electric car caught testing

The upcoming Maruti Suzuki electric car is based on the Solio that is currently on sale in the global markets and has the same tall boy design as the WagonR. Currently, there is no exact information available regarding the battery pack or power output of the new Maruti EV but reports on the internet suggest that it will come with a range of 150 km. The top speed of the vehicle is currently unknown. The new Maruti Suzuki electric car will be launched in India sometime in the year 2020.

Also Read: Exclusive: Maruti Suzuki electric revealed! WagonR like design but looks premium

In terms of safety, expect the new Maruti Suzuki electric car to come with everything that you would normally expect from a conventional budget family car. With that being said, the new EV will come with ABS (Anti-Lock Braking System) with EBD along with dual airbags as standard. Considering the fact that the WagonR has been a hit in the market for years, building a car around the same design language will definitely make Maruti's first ever EV a blockbuster in the Indian market.

Also Read: Maruti Suzuki electric cars flagged off for testing: All about Maruti’s first ever electric car



Maruti Suzuki electric car caught testing for the first time! Maruti’s first ever EV and what to expect
 
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adsatinder

explorer
Electric car sales decline in India: e-Scooters continue to grow

Electric two-wheelers dominated by electric scooters is driving growth in EVs in India. SMEV says that 54,800 units of electric two-wheelers sold in India at a growth of over 138%.


By: Ronak Shah | Updated: October 20, 2018 6:51 PM





While the talks about Electric vehicles in India is at an all-time high, the sale of electric vehicles in India still remains less than 1% of total vehicles sold in the country. Despite the growth of massive 124%, the electric vehicle sales during the financial year 2017-18 reported a sales of just 56,000 units and were dominated by e-Scooters confirms data released by Society of Manufacturing of Electric Vehicles (SMEV). The industry had sold 25,000 electric vehicles in FY 2016-17.

Sales of the electric car during the last financial year dropped to 1200 units in FY ended in 2018 as against 2000 units sold in FY ended in 2017 which is a decline of 40%. The lack of charging infrastructure and awareness around electric cars is one of the big reason for the decline. However, more procurements of electric cars by corporates, cab aggregators and by the government will see this number going up this year. Mahindra Electric is the only company in India to currently sell electric cars in India Mahindra e2o Plus and Mahindra e-Verito. Tata Motors also has started the production of its electric Tigor from its Sanand plant but is being supplied only as a part of EESL tender.

Also read: Electric Vehicles in India: Is India ready to deal with the dark side of EVs?

Electric two-wheelers dominated by electric scooters is driving growth in EVs in India. SMEV says that 54,800 units of electric two-wheelers sold in India at a growth of over 138%. e-Scooters score big on affordability and make a good business sense for small distance commute. Two-wheelers giants including the likes of Hero MotoCorp and TVS Motor Company have invested heavily in EVs.

Electric cars in India is still an expensive proposition thanks to high battery cost and none of the cars offers a range of over 120 km. These cars cost more than the standard ICE cars and take around 6-8 hrs for a full charge. The Government of India is yet to roll out the FAME 2 policy in India which has been pending for a very long time. Electric Vehicle makers have also asked GST council to drop 8% GST rate of EVs and further subsidise components to make EVs more viable. Global automakers including the likes of Nissan, Audi, Mercedes-Benz at many occasions have confirmed its plan to bring in electric cars in India.

Maruti Suzuki has already commenced testing of its electric car in India and Hyundai's electric Kona SUV will make its India debut in 2019. The future will be electric with the amount of work being done the rising pollution and also to reduce the oil import bill. However, the government has still not taken any bold and aggressive steps for faster adoption of EVs or hybrids in India.


Electric car sales decline in India: e-Scooters continue to grow
 
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