INDIA EVS COST LESS OVER LIFETIME BUT FACE UPTAKE HURDLES

The lifetime costs of electric vehicles in India are less than those of Internal Combustion Engine (ICE) models across most vehicle segments. This facilitates adoption, especially for low-speed two- and three-wheelers as per the findings of BloombergNEF’s latest report, writes Ashish Bhatia.

- Ashish Bhatia

The lower Total Cost of Ownership (TCO) favours Electric Vehicles (EV) use in high-mileage applications such as urban deliveries, ride-hailing and intra-city public transit. Despite favourable TCO across most vehicle segments, EVs still face barriers to uptake, such as consumer concerns around resale value, charger availability and a lack of affordable finance to fund purchases.

Here are some excerpts from Bloomberg NEF's (BNEF) latest report on TCO in India.

Small passenger EVs face competition from Compressed Natural Gas (CNG) vehicles