The government’s commitment for a ‘Clean & Green’ India through proposals in the interim budget such as measures to reduce the use of fossil fuel in a phased manner by 2030 is expected to ensure faster adoption of electric vehicles (EVs) and environment friendly mass transportation in the country.

The emphasis laid on electric mobility in the ‘2030 Vision’ is aimed at increasing energy security, reducing oil import dependence and reducing vehicular pollution.

The government’s focus on the use of clean energy in the transportation sector will help India tackle the issue of climate change, the Society of Manufacturers of Electric Vehicles (SMEV) said. “The mission of bringing an EV revolution to India by 2030 is truly path-breaking,” said Sohinder Gill, director general, SMEV.

Dr. Pawan Goenka, managing director, Mahindra & Mahindra said other than the 5% import duty on lithium ion cells, everything else was in the right direction.

“There is lot of interest from state governments for setting up electric mobility, last mile connectivity. We have signed an MoU with the Thane Municipal Corporation and are in talks with 3-4 cities for setting up of a fleet of EVs and will soon be announcing a project with Uber,” Dr. Goenka said.

He said that the FAME II scheme, to be announced before March 31, would lay the roadmap for EVs.

Shekar Viswanathan, vice-chairman and whole-time director, Toyota Kirloskar Motor, said, “We applaud the government’s focus on EV drive towards reducing fuel import. Toyota has been a pioneer in electrified space offering alternate mobility solutions globally.”

“The vehicle emission based tax regime would boost the EV vision towards achieving a cleaner and greener environment,” he said.

Charles Frump, MD, Volvo Cars India said, “Volvo Cars’ future roadmap is completely in sync with the government’s vision as globally we plan to go fully electric in the next few years. The fully electric car will make its entry into the Indian market soon after its global launch.”

‘Cut lithium cell duty’

The Society of Indian Automobile Manufacturers (SIAM) said it would work with the government in creating an ecosystem that would enable India to achieve the target of becoming the world leader in electric mobility.

However, it requested the government to reduce the customs duty on lithium batteries from 5% to nil.