Nitin Gadkari, the Union Transport Minister, recently announced the Indian government’s plan to eliminate petrol and diesel vehicles within ten years, aiming for a complete transition by 2034. Speaking at a rally in Himachal Pradesh’s Mandi, Gadkari highlighted the cost benefits of electric vehicles (EVs) over internal combustion engine (ICE) vehicles. He emphasized that while diesel costs Rs 100, electric vehicles consume electricity worth only Rs 4 for the same distance. Gadkari’s goal is to reduce pollution and decrease India’s reliance on imported crude oil by promoting EVs and vehicles running on alternative fuels.
Despite Gadkari’s enthusiasm, this ambitious plan might face resistance from the Indian automotive industry. The global trend shows a slowdown in EV sales, and India has been slow to adopt this technology. However, the Indian market is starting to attract manufacturers due to its potential, supported by government concessions like lower import duties on electric vehicles.
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Gadkari has also proposed reducing the GST on strong hybrid cars from 28 percent to 15 percent to make them more affordable, but this proposal was recently rejected by Finance Minister Nirmala Sitharaman, who prefers to prioritize the promotion of EVs.
While the vision to ban petrol and diesel vehicles is commendable, India’s readiness for EVs is questionable. The country still lacks adequate infrastructure, and the current EV models available are expensive. For a successful transition, the technology must become more affordable without compromising on quality, and significant improvements in infrastructure are necessary.