The electric vehicle (EV) industry has sold 2,36,802 units in the fiscal year 2020-21, 20 per cent down against 2,95,683 units sold in the previous year. These include electric two-wheelers (E2W), electric three-wheelers (E3W) and electric four-wheelers (E4W), Society of Manufacturers of Electric Vehicle (SMEV) has said.
“We were anticipating a good growth before the start of FY21, but sales remained stagnant due to various reasons. The sales in electric three-wheeler and two-wheeler segment stood low as compared to last year,” Sohinder Gill, Director-General, SMEV, said.
In the E2W segment, the industry registered sales of 1,43,837 units, which include 40,836 high-speed and 1,03,000 low-speed E2W. The sales of E2Ws declined by 6 per cent in FY21, having registered sales of 1,52,000 units in the FY20. The E3W segment registered sales of 88,378 units (1,40,683), it said on Thursday.
The data doesn’t include E3Ws that are not registered with the transport authority. In the E4W segment, the industry witnessed registration of 4,588 units compared to 3,000 units in FY20, the industry body said.
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“A good thing has happened that people started moving towards advanced batteries — lithium. The city speed and high-speed category in the two-wheeler segment have witnessed growth,” he said.
Policy push needed
However, a lot more needs to be done to achieve the target under the FAME II scheme. Timely intervention by the government in a form of policy change is required to fuel the growth and achieve the target by the end of FY22, he added.
A strong bank finance mechanism is still missing in the country. Only a few banks like SBI and Axis are offering loans on selected models. The government should ask banks to offer loans on electric vehicles, which will augment sales, Gill said.
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Another important factor that would transform the industry is creating awareness about green vehicles. The Central and State governments can play a crucial role in motivating and encouraging citizens to adopt e-vehicles.
In terms of charging infrastructure, Gill said that the industry has seen a rapid movement here. “Around, 1,300 charging stations have been set up till now. Many corporates have ventured into the segment and started installing charging stations across the country. We anticipate that in the next 5-6 years, we would be able to create robust charging infrastructure in the country,” he added.