Batteries Not Included
Forbes India|April 12, 2019

Can subsidies alone power India’s push to electric vehicles?

Samar Srivastava
Batteries Not Included

Leapfrogging technologies can be problematic—eliminating intermediate steps often results in messy policy and slower adoption. It’s a problem electric vehicle (EV) makers and consumers globally have grappled with. While some governments have intervened, like China’s, most have let market forces play, waiting for battery prices to fall and an ecosystem to develop.

India has believed that throwing money at the problem will result in faster (and superior) results. It hasn’t worked so far.

In early March the government announced a significant increase in the support given to EVs. Under Fame 2 [Faster Adoption and Manufacture of (Hybrid &) Electric Vehicles] scheme the Department of Heavy Industry laid out a 10,000-crore, three-year plan to incentivise vehicle owners and battery makers, with 8,596 crore as subsidies to owners, up from the 795 crore allocated under Fame 1 in 2015.

Fledgling EV makers have supported the move. “There are a lot of learnings from the previous policy that have been incorporated here,” says Mahesh Babu, CEO, Mahindra Electric, who says Fame 1 received a tepid response primarily because it was announced for a year and carmakers were unsure about its longevity. However, a large carmaker says, “The previous policy did not kick-start anything. This is only an extension of that policy and doesn’t alter our plans.”

Industry watchers question the wisdom of the new incentives for three reasons. First, the technology is still not quite there. People buying EVs still suffer from range anxiety, and charging stations that are few and far between do not help. Fame 2 does little to address this, by allocating only 1,000 crore for charging infrastructure.

Diese Geschichte stammt aus der April 12, 2019-Ausgabe von Forbes India.

Starten Sie Ihre 7-tägige kostenlose Testversion von Magzter GOLD, um auf Tausende kuratierte Premium-Storys sowie über 8.000 Zeitschriften und Zeitungen zuzugreifen.

Diese Geschichte stammt aus der April 12, 2019-Ausgabe von Forbes India.

Starten Sie Ihre 7-tägige kostenlose Testversion von Magzter GOLD, um auf Tausende kuratierte Premium-Storys sowie über 8.000 Zeitschriften und Zeitungen zuzugreifen.

WEITERE ARTIKEL AUS FORBES INDIAAlle anzeigen
Home-Cooked Meal Is Now Greatly Valued
Forbes India

Home-Cooked Meal Is Now Greatly Valued

The pandemic has also brought with it an improved focus on hygiene, use of technology in dining, rise of cloud kitchens and resurgence in popularity of Indian ingredients

time-read
8 Minuten  |
May 21, 2021
Paytm 3.0 - Reaching Near Breakeven In Two Years
Forbes India

Paytm 3.0 - Reaching Near Breakeven In Two Years

As of 2020, Vijay Shekhar Sharma’s super app for financial services had run up losses in thousands of crores. Now, as digital payments gets yet another boost courtesy Covid-19, he’s hopeful of reaching near breakeven in two years

time-read
10+ Minuten  |
June 4, 2021
THE PANDEMIC HAS CAUSED WOMEN GREATER LABOUR PAIN
Forbes India

THE PANDEMIC HAS CAUSED WOMEN GREATER LABOUR PAIN

Covid-19 has shown that women are more likely to face the brunt of job losses than men, and find fewer opportunities when they want to resume. That apart, several have to deal with increased hours of unpaid work at home and even domestic abuse

time-read
8 Minuten  |
May 21, 2021
LEADERSHIP WILL BE ABOUT SEEING THE BIGGER PICTURE
Forbes India

LEADERSHIP WILL BE ABOUT SEEING THE BIGGER PICTURE

Leaders must not only guard their teams first during a crisis, but also deal with stakeholders with respect and dignity. And apart from pursuing business goals, they should remain committed to our planet and the environment

time-read
7 Minuten  |
May 21, 2021
PHILANTHROPY SHOULD BE HUMBLE, BUT NOT MODEST
Forbes India

PHILANTHROPY SHOULD BE HUMBLE, BUT NOT MODEST

Apart from building a flexible and resilient framework for the future, philanthropists, civil society and the government must work in tandem so that every rupee is absorbed on the ground

time-read
9 Minuten  |
May 21, 2021
INTEGRATED HEALTH CARE, TECH WILL DISRUPT SECTOR
Forbes India

INTEGRATED HEALTH CARE, TECH WILL DISRUPT SECTOR

While clinical research will get a boost, having a skilled workforce and public spending on health care will be challenges in the near term

time-read
8 Minuten  |
May 21, 2021
DIGITALISATION WILL HELP IN VALUE CREATION
Forbes India

DIGITALISATION WILL HELP IN VALUE CREATION

As the pandemic brings technology and innovation to the core of business and daily life, the next decade will see about 150 million digital-first families in India

time-read
8 Minuten  |
May 21, 2021
Industry 4.0: Climate Revolution?
Forbes India

Industry 4.0: Climate Revolution?

Augmenting sustainability alongside digital capabilities is an economic, competitive and global opportunity for India’s businesses, but regulations need to reflect intent

time-read
10 Minuten  |
June 4, 2021
EV Dream Still Miles Away
Forbes India

EV Dream Still Miles Away

Electric vehicles have remained a buzzword in India for years. But not much has moved on ground due to high upfront costs, range anxiety and charging infrastructure

time-read
6 Minuten  |
June 4, 2021
Living Waters
Forbes India

Living Waters

A virus has caused us to scramble for oxygen but our chokehold on the environment is slowly strangling the very waters that breathe life into us. The virus is a timely reminder: We are merely consumers, not producers of life’s breath on this planet

time-read
4 Minuten  |
June 4, 2021