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“To encourage 2-wheelers and
passenger cars sales, State Gover-
nments and local authorities
should come up with non-fiscal
incentives, which can prove to be
of immense significance in long-
term transportation planning.”

Rashmi Urdhwareshe
President
Society of Automotive Engineers
India
(SAE India)

and Centre for Energy Finance,                                                                              Source: Rashmi Urdhwareshe

by 2030 cumulative EV sales in      Rashmi Urdhwareshe, President, Society of Automotive Engineers India
                                    (SAE India)
all vehicle segments could cross
                                    achieving integrated environ-       commitment of developing and                                    Local
over 100 million units, 200 times   mental goals.                       absorbing the technology as well                                manufac-
                                                                        as products.                                                    turing of
its current market size. Please     Currently, India is heavily depen-  The investment by the Gov-                                      batteries,
                                                                        ernment in setting up charging                                  especially
share your view.                    dent on imports to meet its bat-    infrastructure would be rath-                                   the cells,
The Indian market does have this                                        er limited and can cover only                                   would
much potential. There are sever-    tery storage requirements and       a small portion of the total re-                                need heavy
al steps to be taken and many                                           quirement. Private players can                                  investments,
hurdles to be crossed to reach      local manufacturing is limited.     come forward for participation                                  which
those numbers. As stated above,                                         with the Government, only after                                 could be
the Indian consumer, especially     What are the measures being         there is assured business. The                                  justified
in the passenger car segment, is                                        chicken and egg situation can                                   only through
picky and also grounded. Unless     undertaken to localize battery      be overcome with gradual but                                    larger
consumer requirements are ad-                                           sustained growth in EVs rather                                  volumes.
equately addressed, substantial     manufacturing and strengthen        than jumping to some numbers.
shift in the passenger car num-
ber would not come.                 other factors like battery stor-    According to you, is the Indian
The 2-wheeler segment is high-
ly promising when it comes to       age, charging stations, battery     machine tool industry equipped
numbers as well as positive im-
pact on the environment. A sus-     disposal to achieve successful      enough to cater to the needs of
tained effort in displacing the
ICE vehicles with EVs is very       EV adoption?                        the EV industry?
much practical especially with      Yes, heavy dependency on any        The Machine Tool industry is
reduced cost parity (partially      major component of automotive       undoubtedly capable of handling
due to increase in BS VI compli-    always would results in losing      the EV industry’s demand. It is
ant vehicle technology).            competitive advantage. Local        getting ready is what can be seen
Public transportation (city bus-    manufacturing of batteries,         through its expansion plans and
es, taxies and auto rickshaws)      especially the cells, would         investment patterns. Investments
would be the most appropriate       need heavy investments, which       in tooling, assembly, skills, and
segment to focus on.                could be justified only through     manufacturing capacities are cur-
In my view, the year 2030 has       larger volumes. These vol-          rently being done. There is, how-
another significance in India’s     umes should include not just        ever, a significant gap between
energy management status. Our       domestic consumption, but India     the status of ‘getting ready’ and
total electricity production is     should aim at greatly enhancing     ‘is ready’. This gap can be filled
currently dominated by fossil       export potential.                   up only with commitments from
fuels. With the focus on Renew-     Battery manufacturing is also       all the stakeholders, not just the
able Energy and Non-conven-         closely linked with the avail-      Machine Tool industry. 	
tional energy, it is expected that  ability and effective utilization
by 2030, the major electricity      of key raw materials, power
production would be green and       electronics components and
that is when EV penetration         standardization. In order to give
would be really significant in      impetus to this industry, OEMs
                                    could work as consortium and
                                    share the responsibility and

www.mmindia.co.in                                                                                         | 31May-June 2021
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