India Could Save Rs. 60000 Cr In Fuel Costs By Investing In Hybrids & EVs

By investing Rs. 14,000 crore for hybrid and electric vehicles in India, we car save fuel worth over Rs. 60,000 crore, says Government.

By Seshan Vijayraghvan

1 mins read

Published on August 31, 2016

Highlights

An investment of Rs. 14,000 crore could save fuel worth Rs. 60,000 crore
There has been a considerable surge in hybrid and electric cars in India
Upcoming hybrid cars include Honda Accord Hybrid & Volkswagen Passat GTE

There has been a considerable surge in hybrid and electric cars in India in recent times. The Government of India has started to realise the benefits of the technology for India, which is why it's offering special discounts that benefit the buyers. The FAME (Faster Adoption and Manufacturing of Hybrid and Electric vehicles) India initiative is just one way of appreciating this initiative. In fact, even carmakers have become more positive about introducing hybrid and electric cars in India and the most prominent examples are the Mahindra Reva and Toyota Camry Hybrid. Amidst all this, Member of Parliament, Anant Geete, today said that hybrid and electric vehicles currently need an investment of Rs. 14,000 crore in India and once this is in place, it will save fuel worth over Rs. 60,000 crore. These are of course the long-term benefits of the technology but one of the major obstacles faced by carmakers in bringing in more hybrid and electric cars in India is the lack of infrastructure to support the technology. Owning and maintaining one these cars is not exactly easy on the wallet and that is because of battery prices as well as electricity consumed. Another major reason is that a major sect of Indian consumers aren't convinced about this technology and there are those who are sceptical about buying a hybrid car. However, there is a move towards buying hybrid cars and there is evidence to support this. Of all the Camrys, Toyota has sold in India, 70 per cent of the sales have come from hybrid cars and that is a big number. So, there is a shift, yes, but there needs to be a strong push from all manufacturers in this direction. Toyota Camry Hybrid Currently, some of the key players in the hybrid and electric vehicle space in India include - Mahindra, Toyota, BMW, Maruti Suzuki, and Hero Electric among other small players. While Mahindra offers electric vehicles like the Reva e2o and the newly launched e-Verito, fellow Indian manufacturer Hero Electric, does the same in the two-wheeler space with its range of electric scooters. On the other hand, Toyota invested in hybrid technology with the Camry Hybrid, while Maruti Suzuki went for mild-hybrid technology with the Smart Hybrid Vehicle Form Suzuki (SHVS) in its Ciaz sedan and Ertiga MPV. Whereas, BMW entered the race with its hybrid supercar i8 and also plans to bring the i3 to India soon. Volkswagen Passat GTE Among the upcoming cars with hybrid and electric technology we have the Honda Accord Hybrid and Volkswagen Passat GTE, both of which will be launched in India by the end of 2017. Among home-grown carmakers, Tata Motors is also planning to enter the electric car space soon.