The year 2023 witnessed significant growth in EV sales across various categories in India. According to data from the Federation of Automobile Dealers Associations (FADA), electric passenger vehicle sales rose by 114.71%, electric commercial vehicle sales increased by 114.16%, electric three-wheeler sales saw a growth of 65.23%, and electric two-wheeler sales climbed by 36.09%.

To further promote the development of the EV ecosystem, the Indian government has launched several key initiatives. These include the Production Linked Incentive (PLI) schemes for the automobile and auto component sectors, as well as advanced chemistry cell (ACC) battery storage. The PLI scheme for the automobile and auto component sectors has a budget of Rs 25,938 crore over five years, aiming to incentivize domestic manufacturing of advanced automotive technology products and attract investments in the automotive manufacturing value chain.

Similarly, the PLI scheme for ACC battery storage has an allocated budget of Rs 18,100 crore over seven years. Its objective is to enhance India’s manufacturing capabilities and export potential in this sector by encouraging major domestic and international players to invest. Notably, some approved firms have already signed agreements to establish manufacturing facilities with a total capacity of 30GWh ACC.

Another significant initiative is the Faster Adoption and Manufacturing of Electric Vehicles (FAME) scheme, which aims to facilitate the adoption of EVs. Under the FAME II scheme, the government has provided subsidies totaling Rs 5,228 crore as of December 1, 2023, supporting the sale of 11,53,079 EVs. The scheme, which has a total budget of Rs 10,000 crore over five years, grants subsidies for the purchase of 7,000 electric buses, 5,00,000 electric three-wheelers, 55,000 electric cars, and 10,00,000 electric two-wheelers. Additionally, the creation of EV charging infrastructure is also supported through the FAME II scheme.

Finance Minister Nirmala Sitharaman, while presenting the Interim Budget 2024, expressed the government’s commitment to expanding and strengthening the EV ecosystem through continued support for manufacturing and charging infrastructure. Furthermore, the government intends to encourage the adoption of electric buses for public transportation networks by implementing a payment security mechanism.

According to data from the Ministry of Heavy Industries (MHI), numerous state and city transport undertakings, as well as municipal corporations, have placed orders for a total of 3,390 electric buses under the FAME II scheme. Out of these, 3,037 units have already been deployed. Moreover, through the Convergence Energy Services Ltd (CESL) under the aggregation model of NITI Aayog, the case for an additional 3,472 electric buses is being processed, with 454 units already deployed.

As part of the FAME II scheme, a total of 148 EV public charging stations have been commissioned, facilitating the growth of the charging infrastructure network. In line with this, the MHI has allocated Rs 800 crore to Indian Oil, Bharat Petroleum, and Hindustan Petroleum in March 2023 for setting up 7,432 public fast charging stations nationwide.

In summary, the Indian government’s proactive measures to expand and fortify the EV ecosystem include financial incentives, manufacturing-linked schemes, and subsidies for the purchase of electric vehicles. These efforts are complemented by initiatives to develop widespread charging infrastructure and promote the adoption of electric buses in public transportation networks. Through these endeavors, the Indian government aims to promote sustainable and environmentally friendly mobility solutions while supporting domestic manufacturing and attracting investments in the EV sector.

“Ather is embarking on an aggressive growth journey to tap into the growing demand for electric scooters. To meet this demand, we are adding about 100 retail touchpoints this quarter taking our total touchpoints to 350. Along with this, we have reintroduced our entry level scooter – the 450S at a very compelling price point that appeals to a wider set of buyers. The Ather 450S at this new price makes for a strong value proposition, bringing the quality & assurance of Ather at a more accessible price point,” said Ravneet Singh Phokela, Chief Business Officer, Ather Energy.

The 450S, proudly manufactured in India, offers a maximum range of 115 km and can achieve a top speed of 90 km/h, with an impressive acceleration from 0 to 40 km/h in a mere 3.9 seconds. Notably, it features a vibrant seven-inch display and incorporates innovative capabilities such as FallSafe, capable of detecting changes in speed, orientation, and acceleration to prevent rider falls. Ather has also introduced the ‘Emergency Stop Signal,’ a European regulation, to the Indian market through the 450S. Additionally, customers purchasing the 450S have the option to select the Pro Pack, which provides various added benefits, such as Ride Assist, Ather battery protect, AtherStack updates, and three years of complimentary Ather Connect service, at an extra cost of ₹10,000, as per the company’s official statement.

“Ather also provides a Battery Protect that extends battery warranty to 5 years/60,000 kms. This industry first warranty program not only covers battery failures but also guarantees a minimum of70% state-of-health for the battery at the end of 5 years. With this, owners will not need to worry about the scooter’s range dropping after a few years of usage and will be able to extract maximum performance, ride after ride. This reaffirms faith in our battery’s performance and longevity for all Ather owners. The 450X comes now with Ather Battery Protect included, making it a 3 +2 years coverage. Ather 450 Plus customers can purchase this additional 2 year warranty for INR 6,999,” the company said.

The Skoda Enyaq has been developed on the dedicated MEB electric platform of the Volkswagen Group, a significant detail worth mentioning. While the Enyaq boasts five different global variants, the Indian market is likely to witness the introduction of the Enyaq . This version is expected to feature an 82kWh battery pack, coupled with a single motor configuration that offers rear-wheel drive exclusively. The electric motor of the Skoda Enyaq IV will have the ability to generate a maximum power output of 282 bhp.

Impressively, the upcoming Enyaq IV electric SUV can achieve a range of up to 565 kilometers on a single charge. Sources indicate that it will accelerate from 0 to 100 kilometers per hour in just 6.7 seconds. As for charging capabilities, the Enyaq can charge from 10 to 80 percent in a mere 28 minutes when using a fast charger.

Turning our attention to the aesthetics and features of the Skoda Enyaq IV, we can expect a length of 4.64 meters, complemented by large aerodynamic alloy wheels. The vehicle will bear Skoda’s distinctive grille design, along with striking headlamps and tail lamps. Inside the cabin, drivers and passengers will be greeted by an attractive layout, highlighted by a 15-inch touchscreen infotainment system, a 5.3-inch digital driver display, and a head-up display. The Enyaq will also accommodate ample storage space with 585 liters of boot capacity. Safety-wise, the SUV will offer nine airbags, along with advanced connected car technology encompassing autonomous driving features.

In conclusion, Skoda Auto’s foray into the Indian electric car segment is marked by the much-anticipated launch of the Skoda Enyaq IV electric SUV. With robust performance metrics, notable charging capabilities, and a range of attractive features, including autonomous driving functionality, the Enyaq aims to appeal to discerning customers seeking a premium electric SUV experience.

India, there are currently no domestic lithium supplies, although recent reserves have been discovered in regions such as Jammu and Kashmir, Rajasthan, and Jharkhand. However, commercial availability of these reserves is expected to take time. Consequently, India relies entirely on lithium imports, which have been increasing year by year. In the fiscal year 2022-2023, India’s lithium import bill amounted to $33.05 million, representing a 49% increase compared to the previous fiscal year. Additionally, the import of lithium-ion batteries grew by 56.84%, reaching $2.87 billion in the same period.

To mitigate the risks associated with heavy dependence on lithium and the competitive race for lithium mines in countries like Chile, Argentina, and Australia, India is exploring other minerals and chemistries for battery manufacturing. One notable mineral being studied is sodium, which is paving the way for sodium-ion batteries, albeit on a smaller scale. Sodium-ion batteries have the potential to be a game-changer due to the limited availability of lithium. Furthermore, India is investigating alternative technologies such as aluminum-air batteries, vanadium batteries, and flow batteries.

India is actively implementing strategies to diversify and enhance its battery sector. In addition to exploring domestic reserves and sourcing lithium from other countries, the government has initiated a production-linked incentive scheme targeting “niche” batteries. This scheme aims to promote research and development in newer chemistries for batteries. Battery companies are also aligning their efforts by developing batteries based on alternative chemistries.

In conclusion, India recognizes the need to diversify its battery manufacturing sector beyond lithium to overcome potential supply constraints and reduce dependence on imports. The government’s initiatives, coupled with ongoing exploration of alternative minerals and chemistries, highlight the country’s commitment to fostering a robust and sustainable battery industry as part of its energy transition and electric mobility objectives.

The FAME II scheme, with an original outlay of Rs 10,000 crore over a five-year period starting from April 1, 2019, aims to accelerate the adoption of electric vehicles and support the development of a thriving electric mobility ecosystem in the country. The scheme encompasses subsidies for various types of electric vehicles, including 7,000 electric buses, 5,00,000 electric three-wheelers, 55,000 electric cars, and 10,00,000 electric two-wheelers. Additionally, it facilitates the establishment of charging infrastructure, further promoting the growth of electric mobility.

Recognizing the progress and potential of the FAME II scheme, the Ministry of Heavy Industries (MHI) conducted a year-end review in 2023 and revealed that electric vehicle manufacturers have received subsidies worth Rs 5,228 crore for the sale of over 11.53 lakh electric vehicles by December 1, 2023.

Several transportation entities, such as state transport undertakings, city transport undertakings, and municipal corporations, have actively participated in the FAME II scheme. They have placed orders for 3,390 electric buses, out of which 3,037 units have already been deployed. Additionally, a total of 3,472 electric buses are being processed through Convergence Energy Services Ltd (CESL) under the aggregation model of NITI Aayog. Among these, 454 buses have been deployed, ultimately resulting in a planned deployment of 6,862 electric buses across different states under the FAME II scheme.

Moreover, the scheme has also facilitated the installation of 148 EV public charging stations to cater to the growing demand for charging infrastructure.

Notably, on March 28, 2023, the Ministry of Heavy Industries sanctioned Rs 800 crore under the FAME II scheme to PSU oil marketing companies, namely Indian Oil, Bharat Petroleum, and Hindustan Petroleum. This allocation will be used to establish 7,432 public fast charging stations across the country.

In summary, the second phase of India’s FAME scheme has played a significant role in promoting the adoption of electric vehicles by providing substantial subsidies and supporting the development of charging infrastructure. With nearly 11.53 lakh electric vehicles incentivized and an encouraging deployment of electric buses, the scheme demonstrates the government’s commitment to fostering sustainable and eco-friendly mobility solutions.