India is already progressing in the field of electric vehicles. Indian industries have come up with solutions that support the environment. The quest to resolve such issues of the environment is real. It begins with the development of innovations that act as the building blocks of vehicles. Electric vehicles run on batteries. The battery is the core of all-electric vehicles.
The function of batteries is to run engines effectively. They don’t consume fuel and help in the conservation of non-renewable resources. The trend of EV battery swapping is significant. All these changes are happening under the EV battery swapping policy. We shall discuss the overview of this policy in this write-up.
EV Battery swapping policy in India
The Indian Government has taken many initiatives to support the sustainability of the environment. One of them is the EV battery swapping policy. It was in April last year (2022) that NITI Aayog declared the drafting of this policy. They aimed to reinforce the ecosystem, improve efficiency, and monitor the functioning of electric vehicles.
They also made other announcements. They decided to initiate a subsidy scheme for the providers of batteries and get a decrease in the GST tax slab. Moreover, they decided to standardize the battery space and check out their operability.
The Government has yet to declare too much information about this policy. However, they would soon pass a bill introducing this policy and subsidy for battery sellers. This policy is undergoing some changes in this revision. Therefore, they are developing concerns for the batteries and are considering a change in this policy.
It is a moment of pride for Indians that no other country has reached this level. India is the first nation to develop such a technology.
Exploring the demand for battery swapping in India
The demand for the swapping of batteries in India has risen in the past decade. This rise in the demand for battery swapping is increasing slowly. One can understand this roller-coaster with the help of statistical figures and numbers. Here are some numbers that may help in understanding this ride of rise and decrease:
- The demand for the swapping of batteries in India reached a whopping number of $10.2 million in 2022.
- These statistics are estimated to increase sharply. This number would see a growth of about $61.57 million by 2023. The rate of CAGR for this event of rise would be 25.20% between 2022 and 2030.
- The increase in the use of electric rickshaws, electric two-wheelers, electric four-wheelers, scooter sharing, moto-taxi, and the reduction in the number of petrol/ diesel vehicles is responsible for the sales of electric vehicles.
- The Indian Government has removed the restriction on the registration of vehicles that operate without batteries.
These relative facts, numbers, and figures help us understand the future demand and scope in India. These facts and figures would be helpful in this policy’s analysis and other vital factors.
How has India’s lack of charging infrastructure restricted the widespread adoption of EVs?
Every new change faces several challenges before showing its impact. Lack of charging infrastructure causes a significant decrease in the adoption numbers of electric vehicles. Here is how the lack of charging infrastructure has reduced the adoption of electric vehicles:
- The number of electric charging stations in India was very few until 2022. Electric Vehicle Supply Equipment (EVSE) is increasing gradually in India.
- India has a number of 2700 public charging stations and 5500 connectors for charging till the end of 2022.
- India will have more than 10 000 public charging stations by the end of the next decade.
- However, there needs to be more charging stations and infrastructure in India. This deficiency of 20.5 lakh chargers is causing an inconvenience in adopting electric vehicles.
- The officials have said they are collaborating with PSUs and other essential organizations to increase the number of charging stations in India.
- There are many free-of-cost public charging stations in India in metro cities.
These are some points with explanations for the lack of charging infrastructure to restrict the increment in the adoption of electric vehicles in India.
How would successfully implementing the battery swapping policy be a game changer for the EV industry in India?
There will be much to see once the Government successfully implements the EV battery-swapping policy in India. These achievements would make India a unique nation in the world. This achievement would also be a significant step in the electric industry in India. There are some points to explain how the successful implementation would help India:
- Delivering batteries as a service or energy as a service (Baas/ Eaas) would rapidly accelerate the nation’s growth.
- This policy would save commuting time. This time could have been taken over by the time required for charging the batteries.
- The initial cost of swapping batteries is very high. However, it would become a massive success once it gains significant momentum.
- This policy will help in reducing the investment that electric vehicle makers have to invest in battery making and other factors.
- The reason for less adoption of electric vehicles is covering less distance in a single round. The successful implementation of this policy would help in decreasing this risk.
- People would have access to the battery or energy subscription models as a service. This step would reduce the risks in the usage of batteries.
The successful implementation of this policy would help reduce battery space investment, environmental risks, and harms to electric vehicle manufacturers and sellers. It would be a significant step in a country where there are a lot of environmental concerns.
There are countless challenges to taking any environment-friendly step. Vehicles are an essential part of daily life. They are an important factor in affecting the composition of the environment and serving the purpose of transportation.
Electric vehicles use batteries to operate. The recent hot topic of swapping EV batteries under a policy needs to go ahead. We have discussed the background of this act in this write-up. This issue will gain a lot of momentum in the upcoming time. After all, the environment needs care at its best.