The auto industry will conduct a study through an external agency for a road map towards electric mobility amid push from Niti Aayog for transition to full electric vehicles (EVs) for three-wheelers by 2023 and two-wheelers up to 150cc by 2025, according to sources.
Last month at a meeting with industry representatives, Niti Aayog had asked the industry to come back within two weeks with concrete steps towards the transition but manufacturers had stated they would need a minimum of four months to work on the same.
Hero MotoCorp, Bajaj Auto, TVS Motor Co and Honda MotorCycle and Scooter India (HMSI) have opposed Niti Aayog’s plan to push for 100 per cent electric vehicles by completely banning conventional two- and three-wheelers.
Tata Sons Chairman N Chandrasekaran had also stated that migration to EVs needs to be planned to ensure entire ecosystem is ready through a multi-year road map.
When asked about the next step, a senior government official said, “They (auto industry) are getting a study done and will discuss with the government.”
Confirming the plans for the study, sources in the automobile industry said it is expected to take six weeks to two months.
“It will be done by an external agency and the recommendations will be shared with the government,” a source said, adding that the development is being seen as an attempt to find a middle path.
The auto industry had mooted the migration to EVs for two- and three-wheelers in a phased manner by selecting most polluted cities and target 100 per cent migration to EVs for such types of vehicles in staggered steps with proper timelines.
Two-wheeler and three-wheeler makers had expressed concerns over proposal to shift to 100 per cent EVs saying saying such a transition was completely uncalled for and could jeopardise the auto industry.
They had argued that the industry needed more time to stabilise after BS-VI changeover before it takes the next step of moving from internal combustion engine technology to EVs, especially considering Indian customer requirement of higher daily commuting distance and price consciousness.