-Policy makers have been asked to put a hold on several EV initiatives
-Road ministry had recently proposed a hike in registration costs
-Was contemplating banning ICE two-wheelers up to 150cc from 2025
The Indian government is reportedly intending to go slow with the implementation of its EV plans in order to give manufacturers time to cope with declining sales. Reports suggest that the policy makers have now been asked to take a laid-back approach. This includes putting off the tight deadlines and increasing the share of EVs gradually.
The Modi government has been actively working on new initiatives and policies to encourage the production and sales of electric vehicles. For instance, government’s think tank Niti Aayog had recently proposed to convert all three-wheelers into electric ones by 2023 and all two-wheelers, up to 150cc, were to be electrified by 2025. What's more, as we had reported last month, the road transport ministry had proposed to exponentially increase the registration cost of new vehicles along with a substantial hike in renewal charges of old ones.
Citing these policies and deadlines to be unrealistic amidst the slowdown in the industry, a number of manufacturers have strongly protested against it. Meanwhile, the Society of Indian Automobile Manufacturers (SIAM) has also advised the government that the sudden implementation of policies such as hike in registration cost will only worsen the slump that the market is currently seeing.
