In six months, according to Gadkari, petrol and electric cars will bear identical price tags.
In a significant announcement made at the 32nd Convergence India and 10th Smart Cities India Expo, Union Road Transport and Highways Minister Nitin Gadkari declared that electric vehicle (EV) prices in India will match those of petrol vehicles within the next six months.
Gadkari's announcement underscores the government's push towards clean energy and sustainable transportation. This is not the first time the minister has predicted a reduction in EV prices. Over the past decade, he has been an advocate for EVs and alternate fuel vehicles.
The government's policy framework focuses on promoting import substitution, cost-effectiveness, pollution reduction, and indigenous production. Infrastructure development, according to Gadkari, is a crucial driver for India's economic growth, and he recently announced that the construction of the 212-km Delhi-Dehradun access-controlled expressway will be completed within the next three months.
The reduction in EV prices is expected to be driven by advancements in battery technology and increased domestic production. Battery costs represent a significant portion of an EV's total price, and as these costs decrease, the affordability of EVs for consumers is set to improve.
Long-term savings on fuel and maintenance are seen as major incentives for consumers in the shift towards EVs. The running cost of an EV is approximately ₹1 per km, compared to ₹5-₹7 per km for petrol or diesel vehicles. Nitin Gadkari has emphasized the cost benefits of EV ownership, stating that the operational expenses of EVs are significantly lower than those of internal combustion engine (ICE) vehicles.
The minister also stressed the need for technological innovation to lower road construction costs. Major automotive manufacturers across the passenger vehicle and two-wheeler segments have embraced the shift towards EVs. Each of these manufacturers has introduced at least one EV in their lineups, signalling a major shift in the Indian automotive industry.
While the government has not announced specific measures or initiatives aiming to equalize EV prices with gasoline vehicles within the next six months, past efforts include the National Electric Mobility Mission Plan initiated in 2013, which offered subsidies up to 150,000 rupees and targeted large-scale adoption by 2020. Ongoing policies to support domestic manufacturing and local sourcing under "Make in India" also aim to promote EV production.
Gadkari also announced incentives for vehicle scrapping, but no specific details were provided in the article. The predicted timeline for EV prices matching those of petrol vehicles remains uncertain, but the minister's announcement marks a significant step towards a more sustainable and cost-effective transportation future in India.
