Sales of electric vehicles have peaked in September as sales of electric vehicles have been on the rise since April, as the public craze for electric vehicles in India continues to grow exponentially.
But the chip shortage in the automobile sector has hit the slow-growing electric vehicle market in India hard. Not only this, the future of the sector is in question as the central government has not yet given a big boost to the use of electric vehicles.
Only 1.66 percent
Of the 2 crore vehicles sold in India in the current financial year, only 1,21,900 are electric vehicles. This is just 1.66 per cent of total sales, according to Delhi-based think tank CEEW.
Electric two-wheelers
While electric two-wheeler manufacturers in India are currently expanding and gaining traction, sales in the market are low despite increased production of cars and heavy electric vehicles.
Modi government
To change this, the Modi-led government is planning to launch a $ 3.5 billion manufacturing promotion drive to boost electric car production in India. But no important announcement has been made yet.
Electric and hydrogen car
The main reason for promoting electric and hydrogen powered car production in India is the price of crude oil. India imports about $ 24.2 billion worth of crude oil. To reduce this, it plans to increase electric and hydrogen car production.
COP26 Conference
As India is the 3rd largest emitter of carbon in the world, India is currently playing a key role in the ongoing COP26 conference. Meanwhile, India has set a target of using more electric vehicles by 2030.
Price of electric vehicles
All companies are ready to increase the production of electric vehicles in India and are waiting for the federal government’s sustainable plan. Similarly, sales of electric vehicles in the Indian market have been sluggish due to slightly higher prices.
Jackpot for electric car buyers .. Nithi Ayog & World Bank’s new project ..!
Sales of cars are very low in India despite the high potential for growth in the electric vehicle sales market. To change this situation, Nithi Ayog, the central government’s think tank, and the World Bank have decided to come up with a new plan.
Nithi Ayog and the World Bank have decided to finance electric vehicles in India quickly and easily through this scheme. The project will greatly boost the sluggish electric vehicle sales in India.
Nitish Ayog and the World Bank
Nitish Ayog and the World Bank have developed the first loss risk sharing instrument worth about $ 300 million. The scheme is to be run by State Bank of India as Program Manager.
$ 1.5 billion
The project could finance the sale of electric vehicles worth about $ 1.5 billion. This will not only boost trade in the sector but also increase productivity.
Loss
Using this risk-sharing scheme, banks will be able to provide more loans for electric vehicles, which could be offset by the $ 300 million allocated for the project if the debt is affected.
Debt interest rate
This framework will not only increase the lending of electric vehicles by banks in India, but also increase its sales and production. Above all, the scheme will reduce the cost of financing of electric cars by 10 to 12 per cent, said Amitabh Khan, CEO of Nitish Ayog.
Great change
While the interest rate for electric two-wheelers and three-wheelers is currently 20 to 25 per cent, it is hoped that this financial scheme will reduce the interest rate to 10 – 12 per cent. This change is expected to cause major change in the market.