New-age electric vehicle companies expect market to boom in two-three years

NEW DELHI: Electric vehicle (EV) manufacturers expect the marketplace for eco-friendly vehicles to boom within the next few years whilst their current share in automobile sales is a smaller amount than one per cent. While few established auto players have entered this domain, niche companies control a bigger a part of the market.

“People have now started realising the advantages of EVs. It’s running cost is 10paise/km as against Rs.1/km in ICE bikes. The ecosystem is preparing and within the next two-three years, there’ll be a drastic change. I think 25 per cent of the entire two-wheelers sold are going to be electric by 2030,” Jeetender Sharma, director, Okinawa Autotech told this publication.

According to Uday Narang, chairman of Anglian Omega Group, the quantity of cash invested within the EV ecosystem is large. He believes that when the battery cost is brought down, game for ICE vehicles are going to be over.

“By 2030, or even earlier, 20-30 per cent of total two-wheeler demand are going to be electric. Electric four-wheeler share is going to be even more at 30-40 per cent,” he added.

Narang’s Omega Seiki, which entered the EV space in February 2020, now makes roughly 12,000 units of EV three-wheelers per annum. Both businesses have rapid expansion plans.

“In subsequent two years we’ll makeover 1 lakh electric three-wheelers, 50,000 electric two-wheelers, 50,000 electric four-wheelers and 50,000 electric tractors,” said Narang.

Sharma added Okinawa plans to launch an electric motorcycle which goes to be 100 per cent inbuilt India.

“We have now reached to pre-covid level. at the present, we are selling around 3500-4000 units per month. This fiscal we’ll be launching an electric motorcycle which goes to be 100 per cent inbuilt India,” said Sharma.

In spite of the govt push to market the difference of environmentally friendly vehicles, India’s EV industry hasn’t picked up the way many would have wanted. Experts have repeatedly attributed factors like lack of charging stations, higher battery cost and a concrete future policy slowing down the expansion of this segment.

At present, India sells around 10,000-12,000 EVs per month as against China’s 1.30 lakh units per month. “We need more awareness, more direct incentives and thousands of charging stations per annum,” the executives said.

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