New Delhi, India's electric two-wheeler industry is undergoing an "amazing transformation" and political support is a crucial signal to all stakeholders that the government remains committed to a 100 per cent electric vision, said co-founder and Ather Energy CEO Tarun Mehta. Wednesday.
In a post on social media platform a lever more powerful than 100 percent." electrification to reduce dependence on fossil fuels and reduce emissions.
"I firmly believe that we are in an amazing transformation in our industry and we will build a huge global giant out of India in E2W (electric two-wheelers). However, there is still a lot to resolve," Mehta wrote in response to an article from India's G20 Sherpa, Amitabh Kant, who highlighted the need to electrify transportation in India.
Mehta further said, "While technology and products are evolving, customer adoption is still 5-6 per cent, and political support is a crucial signal to all stakeholders that the government remains committed." with a 100 percent electric vision".
Demand incentives remain critical to this as they have the highest output per rupee spent. Accelerating demand paves the way for more capabilities, more infrastructure, more research and development, more products, more suppliers and a broader ecosystem, he added.
"Subsidies are not about helping companies grow, but about accelerating adoption across the industry," Mehta said.
He acknowledged that in 2021, when the government introduced EV-friendly policies, they provided much-needed support to the nascent EV industry. This support was crucial in making EVs economically viable for consumers while allowing EV startups to invest in R&D at levels never seen before, especially for a new industry.
"This has enabled the industry to drastically reduce costs and expand its portfolio and infrastructure on all fronts," Mehta added.
The FAME policy revised last year happily coincided with the industry's ability to reduce costs through innovation and economies of scale, reducing reliance on subsidies, he said, adding that "with reduced maximum benefits per vehicle ( from Rs 55,000 to Rs 10,000), the government can now support the 5X E2W transition."
Responding to critics of electrification, he said: "Industry critics will continue to be picky about new technologies, but there is perhaps no more powerful lever than 100 percent electrification to reduce dependence on fossil fuels and reduce of emissions.
"Electrification along with the 'greening' of solar and wind power generation is an incredibly simple and powerful level for our country today," he added.
Mehta noted that demand incentives, along with localization targets, end up driving a strong ecosystem of local components, a crucial step in establishing India as an electric vehicle manufacturing hub.
Promoting localization helps reduce dependence on imported components and fosters a self-sustaining industry, driving export growth and cementing India's position as a global leader in the electric vehicle revolution, he added.
"Electrification, along with the 'greening' of solar and wind power generation, is today an incredibly simple and powerful level for our country," Mehta wrote.
The founder and CEO of rival Ola Electric, Bhavish Aggarwal, also wrote on X in support of electrification.
"ICE (internal combustion engine) is inflationary. Electric vehicles are deflationary. (It is) only a matter of time before the purchase price of electric vehicles is much lower than that of ICE vehicles. China already It's there," he wrote.
Aggarwal added, "All formats of ICE, hybrid, CNG, etc. will be costlier than electric vehicles in the near future. Those companies that do not believe in electric vehicles are making a strategic mistake."
In a post on social media platform a lever more powerful than 100 percent." electrification to reduce dependence on fossil fuels and reduce emissions.
"I firmly believe that we are in an amazing transformation in our industry and we will build a huge global giant out of India in E2W (electric two-wheelers). However, there is still a lot to resolve," Mehta wrote in response to an article from India's G20 Sherpa, Amitabh Kant, who highlighted the need to electrify transportation in India.
Mehta further said, "While technology and products are evolving, customer adoption is still 5-6 per cent, and political support is a crucial signal to all stakeholders that the government remains committed." with a 100 percent electric vision".
Demand incentives remain critical to this as they have the highest output per rupee spent. Accelerating demand paves the way for more capabilities, more infrastructure, more research and development, more products, more suppliers and a broader ecosystem, he added.
"Subsidies are not about helping companies grow, but about accelerating adoption across the industry," Mehta said.
He acknowledged that in 2021, when the government introduced EV-friendly policies, they provided much-needed support to the nascent EV industry. This support was crucial in making EVs economically viable for consumers while allowing EV startups to invest in R&D at levels never seen before, especially for a new industry.
"This has enabled the industry to drastically reduce costs and expand its portfolio and infrastructure on all fronts," Mehta added.
The FAME policy revised last year happily coincided with the industry's ability to reduce costs through innovation and economies of scale, reducing reliance on subsidies, he said, adding that "with reduced maximum benefits per vehicle ( from Rs 55,000 to Rs 10,000), the government can now support the 5X E2W transition."
Responding to critics of electrification, he said: "Industry critics will continue to be picky about new technologies, but there is perhaps no more powerful lever than 100 percent electrification to reduce dependence on fossil fuels and reduce of emissions.
"Electrification along with the 'greening' of solar and wind power generation is an incredibly simple and powerful level for our country today," he added.
Mehta noted that demand incentives, along with localization targets, end up driving a strong ecosystem of local components, a crucial step in establishing India as an electric vehicle manufacturing hub.
Promoting localization helps reduce dependence on imported components and fosters a self-sustaining industry, driving export growth and cementing India's position as a global leader in the electric vehicle revolution, he added.
"Electrification, along with the 'greening' of solar and wind power generation, is today an incredibly simple and powerful level for our country," Mehta wrote.
The founder and CEO of rival Ola Electric, Bhavish Aggarwal, also wrote on X in support of electrification.
"ICE (internal combustion engine) is inflationary. Electric vehicles are deflationary. (It is) only a matter of time before the purchase price of electric vehicles is much lower than that of ICE vehicles. China already It's there," he wrote.
Aggarwal added, "All formats of ICE, hybrid, CNG, etc. will be costlier than electric vehicles in the near future. Those companies that do not believe in electric vehicles are making a strategic mistake."
