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PluginIndia Electric Vehicles

NITI Aayog Report : Indian government is fully committed to electric vehicles

15/5/2017

21 Comments

 
By Kamlesh Mallick
The National Institution for Transforming India, also called NITI Aayog, a Government of India policy think-tank setup by our Prime Minister has declared that Accelerated adoption of electric and shared vehicles could save $60 billion in diesel and petrol costs while cutting down as much as 1 gigatonne (GT) of carbon emissions for India by 2030.
The organization released a report that establishes a vision for the future of India’s mobility system and also ​defines a change model to support rapid scaling and deployment of solutions.

We need to go from here...
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...to here
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Schematic (from NITI Aayog) showing how building on India’s existing supporting conditions can set the country’s trajectory towards an advanced mobility future that is affordable, clean, safe, and accessible, leapfrogging the traditional mobility paradigm​. 

India is well-positioned for a mobility transformation 
  • Currently non-motorized transportation (i.e., walking and biking) and public transportation represent a large share of all trips taken in India (roughly 66% in 2007). This is in stark contrast to a meager 10% in the United States. Preserving this mode share through improved urban design can make walking, biking, and public transport safe
    and desirable in India. 
  • Auto ownership in India remains low, with only 18 cars per 1,000 citizens (China has nearly 69, while the U.S. has 786 cars).6 The scarcity of privately owned
    four-wheel vehicles and a large number of two-wheelers creates opportunities for India to deploy emerging technology and business models to make mobility services more convenient and cost-effective 
  • India has a growing portfolio of programmes supporting a mobility leapfrog - Make in India , Digital India, FAME, Green Mobility Fund (80,000 CR) etc.
Picture
A THREE-PHASED APPROACH TO CHANGE
  • Phase 1 (“Notching the arrow,” 2017–2019) prioritizes solutions that are already economic and capable of rapid scaling, while cultivating solutions that are nearly economic.

  • By Phase 2 (“Drawing the bow,” 2020–2023), opportunities that were introduced in Phase 1 are being refined and scaled, while the options that were previously identified as nearly economic have become cost-effective and ready for deployment. Simultaneously, public and private-sector action continues to lay the groundwork for enhancing the economics and feasibility of future opportunities.
    ​
  • ​In Phase 3 (“Letting the arrow fly,” 2024–2032), more opportunities become economic and scale to the national level. Emerging ideas follow this same trajectory, while systemic solutions from lighthouse examples help integrate technology, design, and business models at a national scale. 

  • These three phases align with NITI Aayog’s 15-year vision document, which looks forward to 2032.
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Source: NITI Aayog
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Source : NITI Aayog

The report also listed opportunities and actionable solutions w.r.t to electric​ mobility transformation ​
  • A single entity responsible for strategic planning and implementation, empowered with financial and evaluative capabilities, can accelerate mobility-oriented development
    • City governments could combine transit, transport, and land use agencies into integrated Metropolitan Planning Councils (MPCs) designing to address all modes of transit, from walking to biking.
  • A well-designed feebate (a system of charges and rebates whereby energy-efficient or environmentally friendly practices are rewarded while failure to adhere to such practices is penalized.) programme can steer buyers towards ‘clean-fuel’ vehicles, encourage manufactures to incorporate low-emissions technology, and retire inefficient vehicles.
    • Launch a national-level feebate programme for light-duty vehicles to complement, not compete with current standards
  • ZEV credit programmes could help scale electric vehicle manufacturing across india.
    • ZEV credits represent an important incentive category—supply-side incentives—that could be strengthened in India, and are customizable to meet specific states’ policy
      objectives, which could work well with India’s governance style.
    • While Tesla, as a manufacturer of BEVs only, is not subject to ZEV mandates, it earns ZEV credits, which it can sell to other automakers seeking to meet compliance
      levels; in Q2 2016, Tesla sold a portion of its ZEV credits and earned Rs 9.2 crore in revenue, helping the company post profits that quarter.  Indian automakers could benefit from this new revenue source.
  • Shared vehicles could electrify 1 trillion passenger-kilometres by 2020
    • A package of smart policies could disincentivize privately owned ICE vehicles and promote shared EVs in India, electrifying more passenger-kilometres sooner while providing higher-quality and greater access to mobility services.
    • Electrifying 1 lakh crore passenger-kilometres could save about 20% of India’s 3,300 lakh BTUs of annual transportation energy consumption—saving several hundred
      Rs crore in fuel cost and several crore metric tonnes of CO2.
    • Offer shared and fleet EVs lower interest rates, VATs, registration taxes, and electricity tariffs compared to privately owned EVs and ICEs.
  • Regulations that enable EVSE (Electric Vehicle Supply Unit) deployment.
    • Regulatory frameworks could classify EVs, charging infrastructure, and battery swapping facilities as distributed energy resources, and aim to monetize various value streams from EVs—for example, provision of demand response, oil use reduction, etc.
  • Without the requisite demand and a common platform to share knowledge and resources, manufacturing electric vehicles in india will continue to scale slowly
    • Decrease risk for manufacturers by incentivizing EVs for most fleet operations in cities; this could be achieved through a supportive policy environment and promulgation
      of innovative business models.
    • Establish a manufacturing consortium to develop a battery and scale production.
  • The right stack of fiscal incentives across all levels of government could rapidly accelerate EV adoption in India, possibly at a faster pace than Norway has observed, considering India’s scale and experience with fast transformation.
    • The central government may not have to extend FAME demand incentives beyond 2025, as many forecasts project that declining battery prices and manufacturing costs will erase EV cost premiums in a matter of years, potentially saving the Government of India several years of subsidies 
  • 2- and 3-wheelers constitute ~80% of India’s domestic automobile sales and ~20% of India’s national mode share, offering a huge market that is almost ripe for electrification
    • Standardized, smart, swappable batteries for 2- and 3-wheelers with lease and/or pay-per-use business models, an extensive swapping-station network, and an integrated payment and tracking system could rapidly electrify personal and intermediary public transit by cutting sticker prices by as much as 70%
    • Policy changes to ease tax burdens (under new GST) related to battery swapping, buying and selling energy for EVSE providers, and buying batteries without vehicles (India’s current tax structure makes buying batteries without the vehicles costlier than batteries for the EVs)
    • Identify a domestic manufacturing plant to develop modular batteries with a standard form factor for sale to OEMs with compatible 2- and 3-wheelers
    • Build swapping stations managed privately or jointly by utilities, DISCOMS, and OEMs; offer preferential electricity tariffs

Impact of the transformation

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Final Words
This is an incredible report by NITI Aayog, created by remarkable and intelligent team of people. We have the data, we have actionable items, we have support from the government. Now is the time to make the change.  Our dream of breathing clean air in our cities is getting real.

Read the full report
INDIA LEAPS AHEAD: TRANSFORMATIVE MOBILITY SOLUTIONS FOR ALL
21 Comments
Raphae Halim link
15/5/2017 06:38:11 pm

Amazing work by NITI Aayog! Thanks for this article Kamlesh. I'll need to go over it a few times to get everything. But they seem to have understood India well and many of the points starting with making using public transport "Safe and Desirable" do ring true. One sees so many footpaths being made but very few using the correct method of laying paver block and even fewer that are actually usable. At some point the masses will be aware and those cutting corners and embezzling funds intended for development will realise it's hurting themselves a lot more... One is looking forward to positive change. Warm Regards! - Raphae

Reply
hemen parekh link
25/5/2017 12:10:27 pm

Pawan Goenka knows his Onions !

There is no doubt about that

First , he reads following report :

“ India Leaps Ahead : Transformative Mobility Solutions for All “

( NITI Aayog and Rocky Mountain Institute / May 2017 )

---------------------------------------------------------------------------------

Then , he says ( DNA / 25 May 2017 / M&M charged up on Electric Cars ) :

Commenting on the practicability of implementation of Niti Aayog’s plan , Goenka said that it can happen only after 20 % reduction in price to make vehicle purchase viable on per kilometre basis

“ Plus, instead of giving any more subsidies, the government should instead be steady on its policies for the next few years, which will give confidence to the OEMs, suppliers and others to invest in the segment “ , he added

Further, the government should also make rules easier to register these vehicles as the company recently found it very difficult to get its eVerito Sedan car registered

“ In one of the states, it took about six months for us to convince RTO that there can be no CC to the engine of the electric car “ , Goenka said


An eminent industrialist like Shri Goenkaji – and an expert on Electric Cars – need not read my following suggestions ( earlier sent as emails to NDA ministers / Secretaries / Niti Aayog ) :

• Will Tesla follow Apple ?
{ https://myblogepage.blogspot.in/2017/05/will-tesla-follow-apple.html }
---------------------------------------------------------------------------------------------------
• Look Before You Leap
{ https://myblogepage.blogspot.in/2017/05/look-before-you-leap.html }
---------------------------------------------------------------------------------------------------
• From Elon to ION
{ https://myblogepage.blogspot.in/2017/05/from-elon-to-ion.html }
---------------------------------------------------------------------------------------------------
• A Reverse Toll ? Possible !
{ https://myblogepage.blogspot.in/2017/05/a-reverse-toll-possible.html }
---------------------------------------------------------------------------------------------------
• Solar Panels charging Li-ion Batteries of Electric Cars
{ https://myblogepage.blogspot.in/2017/05/solar-panels-charging-li-ion-batteries.html }
---------------------------------------------------------------------------------------------------
• More than one Solution
{ https://myblogepage.blogspot.in/2017/04/more-than-one-solution.html }
---------------------------------------------------------------------------------------------------
• A Take-Off Time ?
{ https://myblogepage.blogspot.in/2017/04/a-take-off-time.html }
---------------------------------------------------------------------------------------------------
• Building Castles in the Air ?
{ https://myblogepage.blogspot.in/2017/03/building-castles-in-air.html }
---------------------------------------------------------------------------------------------------
• Internet of Vehicles ?
{ https://myblogepage.blogspot.in/2017/03/internet-of-vehicles-iov.html }
---------------------------------------------------------------------------------------------------
• Welcome ! Elon Musk
{ https://myblogepage.blogspot.in/2017/02/welcome-elon-musk.html }
---------------------------------------------------------------------------------------------------
• From Old to New ? No , go NEWER !
{ https://myblogepage.blogspot.in/2016/09/from-old-to-new-no-go-newer.html }
---------------------------------------------------------------------------------------------------
• A Radical Radial Revolution ?
{ https://myblogepage.blogspot.in/2016/08/a-radical-radial-revolution.html }
---------------------------------------------------------------------------------------------------
• All Charged Up ?
{ https://myblogepage.blogspot.in/2016/08/all-charged-up.html }
---------------------------------------------------------------------------------------------------
• Retiring Old Vehicles : Gadkari Style
{ https://myblogepage.blogspot.in/2016/05/retiring-old-vehicles-gadkari-style.html }
---------------------------------------------------------------------------------------------------
• Piyush Plan
{ https://myblogepage.blogspot.in/2016/03/piyush-plan.html }
--------------------------------------------------------------------------------------------------------------------------------------
BUT, IF SHRI GOENKAJI WERE TO READ , HE WOULD SUPPORT THESE WHOLE-HEARTEDLY !

25 May 2017
www.hemenparekh.in / blogs

Reply
Sudhir
17/5/2017 04:44:15 pm

World over, hydrogen as fuel is gaining traction. Why is it not thought in India. This can be replicated like other fuel and the technology to store and use Hydrogen is also improving. There has to be more focus on this from India, before we are left out in the race.

Reply
ashish
17/5/2017 07:00:04 pm

Reply
ashish
17/5/2017 07:03:36 pm

hydrogen is not a form of energy ,it takes energy to produce hydrogen plus a hydrogen car is essentially an electric car,watch elon musk on youtube trashing hydrogen as fuel source. dont be mislead only electric vehicle can give true independence as it can be charged with our own solar panels making transport cost free

Reply
Bhuvan link
22/5/2017 06:14:20 pm

Electric Mobility Transformation by Govt. of India

It's definitely possible and in the way, Government is moving its really going to happen but have anyone considered other aspects behind it as in what will happen to thousands of companies who are dependent on current technology as in their are nearly 2000 moving parts in present ICE Vehicle when compared to EV which has only 20 moving parts and there are hundreds of I Tier companies which are supplying those parts to OEMs and in aftermarket and are dependent on them not even this there are thousands of 2 Tier and 3 Tier companies which manufacture these parts and supply to these major OEMs. A whole vertical is going to vanish from Automotive Industry Alone aftermarket business in India is more than $16.5 Billion now can anyone imagine how many people are going to loose their jobs & how many companies are going to be closed. There will big recession in Automotive Market and as a result in the whole country and I believe economist must have already forecasted it.

Reply
hemen parekh link
25/5/2017 12:11:09 pm

Pawan Goenka knows his Onions !

There is no doubt about that

First , he reads following report :

“ India Leaps Ahead : Transformative Mobility Solutions for All “

( NITI Aayog and Rocky Mountain Institute / May 2017 )

---------------------------------------------------------------------------------

Then , he says ( DNA / 25 May 2017 / M&M charged up on Electric Cars ) :

Commenting on the practicability of implementation of Niti Aayog’s plan , Goenka said that it can happen only after 20 % reduction in price to make vehicle purchase viable on per kilometre basis

“ Plus, instead of giving any more subsidies, the government should instead be steady on its policies for the next few years, which will give confidence to the OEMs, suppliers and others to invest in the segment “ , he added

Further, the government should also make rules easier to register these vehicles as the company recently found it very difficult to get its eVerito Sedan car registered

“ In one of the states, it took about six months for us to convince RTO that there can be no CC to the engine of the electric car “ , Goenka said


An eminent industrialist like Shri Goenkaji – and an expert on Electric Cars – need not read my following suggestions ( earlier sent as emails to NDA ministers / Secretaries / Niti Aayog ) :

• Will Tesla follow Apple ?
{ https://myblogepage.blogspot.in/2017/05/will-tesla-follow-apple.html }
---------------------------------------------------------------------------------------------------
• Look Before You Leap
{ https://myblogepage.blogspot.in/2017/05/look-before-you-leap.html }
---------------------------------------------------------------------------------------------------
• From Elon to ION
{ https://myblogepage.blogspot.in/2017/05/from-elon-to-ion.html }
---------------------------------------------------------------------------------------------------
• A Reverse Toll ? Possible !
{ https://myblogepage.blogspot.in/2017/05/a-reverse-toll-possible.html }
---------------------------------------------------------------------------------------------------
• Solar Panels charging Li-ion Batteries of Electric Cars
{ https://myblogepage.blogspot.in/2017/05/solar-panels-charging-li-ion-batteries.html }
---------------------------------------------------------------------------------------------------
• More than one Solution
{ https://myblogepage.blogspot.in/2017/04/more-than-one-solution.html }
---------------------------------------------------------------------------------------------------
• A Take-Off Time ?
{ https://myblogepage.blogspot.in/2017/04/a-take-off-time.html }
---------------------------------------------------------------------------------------------------
• Building Castles in the Air ?
{ https://myblogepage.blogspot.in/2017/03/building-castles-in-air.html }
---------------------------------------------------------------------------------------------------
• Internet of Vehicles ?
{ https://myblogepage.blogspot.in/2017/03/internet-of-vehicles-iov.html }
---------------------------------------------------------------------------------------------------
• Welcome ! Elon Musk
{ https://myblogepage.blogspot.in/2017/02/welcome-elon-musk.html }
---------------------------------------------------------------------------------------------------
• From Old to New ? No , go NEWER !
{ https://myblogepage.blogspot.in/2016/09/from-old-to-new-no-go-newer.html }
---------------------------------------------------------------------------------------------------
• A Radical Radial Revolution ?
{ https://myblogepage.blogspot.in/2016/08/a-radical-radial-revolution.html }
---------------------------------------------------------------------------------------------------
• All Charged Up ?
{ https://myblogepage.blogspot.in/2016/08/all-charged-up.html }
---------------------------------------------------------------------------------------------------
• Retiring Old Vehicles : Gadkari Style
{ https://myblogepage.blogspot.in/2016/05/retiring-old-vehicles-gadkari-style.html }
---------------------------------------------------------------------------------------------------
• Piyush Plan
{ https://myblogepage.blogspot.in/2016/03/piyush-plan.html }
--------------------------------------------------------------------------------------------------------------------------------------
BUT, IF SHRI GOENKAJI WERE TO READ , HE WOULD SUPPORT THESE WHOLE-HEARTEDLY !

25 May 2017
www.hemenparekh.in / blogs

Reply
Alkè link
13/6/2017 07:52:11 pm

Sustainable mobility is the future of transport, but there will be a starting point! Very good article!

Reply
JSRMurthy
29/10/2018 10:28:02 pm

From the latest research done by universities in UK and USA and also by scientist of IISc, it is now clear that supercapacitors are going to be the main drivers. Govt should encourage those companies who comits to this technology.The main objective of greener non pollution cities in India will be a sureshot reality. All other technologies will have implications of chemicals to some extent and not zero. Also phinergy IOC metal plus water energy resource should get expedited.

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15/11/2018 01:12:07 pm

Nice article.

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