Union Commerce Minister Piyush Goyal says since the electric vehicles industry is now self-sustaining, there is no need for fresh incentives and subsidies.
He pointed out that there was a broad consensus among the government, auto OEMs, and battery-swapping companies that no new incentives or subsidies were required. The existing subsidies for the EV ecosystem would continue for some more time.
"EV manufacturing companies are benefiting from lower battery costs, a reduced overall cost of ownership, and the growing availability of charging infrastructure," Goyal said.
The government aims to encourage residential welfare associations, office complexes, and commercial establishments to set up their own charging infrastructure, further supporting the growth of the EV ecosystem, he told a press conference at the Startup Mahakumbh on Friday.
On the issue of interoperability of EV batteries, industry players noted that it has been pushed to the backburner, as companies have varying levels of innovation and research and development. There is a reluctance among companies to share their advancements with competitors.
However, the minister clarified that the companies themselves, rather than the government, would decide their own models for operation.
At the meeting, Goyal was joined by officials from the Department of Heavy Industries, Department for Promotion of Industry and Internal Trade (DPIIT), Bureau of Indian Standards (BIS), and representatives from major companies such as Tata, TVS, and Mercedes-Benz India.
The meeting addressed certain issues, including the location of swapping stations, charging infrastructure, and the need for standards.
The government rolled out an electric vehicle policy in March last year to attract global EV manufacturers to India. The incentives included in the policy were duty concessions for companies setting up manufacturing units in the country, provided they made a minimum investment of $500 million.
A stakeholder consultation meeting was held in April last year, with representatives of major manufacturers in India, including Maruti Suzuki, Hyundai, Tata, Mahindra, Kia, Skoda Auto Volkswagen India, and Renault.
The rapidly growing EV market in India is attracting global attention. According to the Economic Survey 2022-23, India's electric vehicle market is expected to reach annual sales of 1 crore units by 2030, creating 5 crore direct and indirect jobs. Industry estimates indicate that total EV sales in India stood at around 1 million units in 2022.
The commerce minister also asked quick commerce players to comply with the law while providing their services. Referring to Blinkit's ambulance service, Goyal asked the company to meet the law of the land and ensure all legal requirements are complied with.
(By arrangement with livemint.com)
