The electric vehicle and ancillary industry in India is set to get a new charge with substantial investments of around USD 40 billion in the next five to six years said a report titled ‘EVs in India: Renewed Vigour in Electric Mobility’ by Colliers.

The vast majority of investments, constituting 67 percent (USD 27 billion) of the total investments planned, will be in the manufacturing of lithium-ion batteries, followed by OE and EV manufacturing at USD 9 billion (23 percent) and others accounting for USD 4 billion (10 percent).

The report observes that the despite slower than anticipated EV adoption, the investment commitments have grown 3X in the last three years.

Share of planned investments for EV over the next 5-6 years

The planned investments will also see a spill over effect on multiple real estate opportunities from manufacturing to showrooms to even EV charging infrastructure. The report estimates that almost 45 million square feet of real estate would be required by 2030 for charging infrastructure alone.

On the other hand, while the penetration of electric vehicles in the country is lower single digit, it is estimated to reach around 8 percent by 2024, which translates to sales of almost 2 million green vehicles.

Growth required in EV sales to achieve 2030 targets

Note: Penetration refers to share of EV registrations in overall vehicle registrations | 2024 data is estimated on basis of data till Oct 2024. Source: Ministry of Road Transport & Highways, Niti Aayog, Colliers, Industry

Badal Yagnik, CEO, Colliers India said, “Although the demand for EVs has picked up in recent years, the target of achieving 30 percent penetration by 2030 looks like an uphill task. While demand and supply incentives will continue to play a pivotal role in faster adoption of EVs, a multifold increase in EV sales can be fast-tracked by the reduction in production costs and improving affordability with respect to EV price points. Additionally, high-capacity original equipment manufacturing units and large-scale production of lithium-ion battery variants must be high on the EV priority list.” 

Vimal Nadar, Senior Director and Head of Research, Colliers India, said, “Accelerated growth in the EV industry is bound to positively impact the Indian real estate sector. Supported by supply-side incentives from the government, leading developers are likely to increase their focus on state-of-the-art warehouses. Additionally, over 45 million sqft of real estate will be required for building extensive network of public charging stations over the next 5-6 years. Residential and commercial developers too are likely to increasingly integrate dedicated charging stations and parking spots for EVs within their projects. Such practices will provide a competitive edge, aligning with the requirements of corporate occupiers and homebuyers.”

Bengaluru Metropolitan Transport Corporation (BMTC) has placed an extra order for 148 electric buses from Tata Motors, the biggest commercial vehicle manufacturer in India. This purchase comes after BMTC placed an earlier order for 921 electric buses, the majority of which have been delivered and are operating effectively with an uptime of more than 95 percent.

The Tata Starbus EV 12-metre low-floor electric buses will be supplied, operated and maintained for a term of 12 years by TML Smart City Mobility Solutions Ltd, a completely owned subsidiary of Tata Motors. With its best-in-class features and outstanding design, the Tata Starbus EV offers a pleasant and environmentally friendly commute. These zero-emission electric buses are built on cutting-edge battery technologies and next-generation design to provide a convenient, safe and comfortable intra-city journey around Bengaluru.

Ramachandran R, IAS, MD, BMTC, said, "We are happy to further strengthen our partnership with Tata Motors with these additional 148 electric buses for our fleet modernisation. The performance of the existing Tata electric buses has been exceptional, aligning perfectly with our commitment to sustainable and efficient public transportation. The larger e-bus fleet will significantly enhance our capacity to provide eco-friendly, comfortable and reliable services to the citizens of Bengaluru."

Asim Kumar Mukhopadhyay, CEO and MD, TML Smart City Mobility Solutions Limited, said, "We are honoured by BMTC's continued trust in our e-mobility solutions. This additional order of 148 buses is a testament to the proven success of our Starbus EVs and the operational excellence delivered in Bengaluru's urban environment. We remain committed to delivering innovative solutions that benefit both the community and the environment."

Maruti Suzuki India (MSIL), the country's largest passenger vehicle manufacturer, has shared the teaser image for its first electric vehicle product - the e Vitara.

Set to be unveiled at the Bharat Mobility Global Expo 2025, the e Vitara will be made in India for the world. It was recently unveiled by Suzuki Motor Corporation at Milan, Italy.

Partho Banerjee, Senior Executive Officer, Marketing & Sales, Maruti Suzuki India, said, “The e Vitara is a testament of our unwavering commitment to sustainable mobility and technological innovation. With decades of automotive expertise, we have combined advanced electric technology with a customer-first approach to deliver something truly transformative. At Maruti Suzuki, we have always believed that to promote EV adoption, we need to create a holistic ecosystem that simplifies customers' battery electric vehicle ownership journey.”

“A critical barrier to the adoption of EVs is the lack of accessible charging. To tackle this issue, we are committed to introduce a reliable and comprehensive EV ecosystem alongside the e Vitara. This will include home charging solutions as well as a nationwide network of fast chargers available at Maruti Suzuki dealerships and service touchpoints. Our goal is to make EVs accessible, convenient, and appealing to a broader set of customers, and this is exactly what we have set out to achieve with the e Vitara,” he added.

​​Vadodara-headquartered electric vehicle company WardWizard Innovations & Mobility recently launched its new range of EV offerings, which it expects to give a new charge to its retail sales.

It was on 13 December 2024 the Joy e-rik V1 (L5) and Joy Bandhu (L3) electric three-wheelers in the passenger category and Joy Sahayak + Cargo (L5) and Joy Eco Loader (L3) in the electric three-wheeler cargo space were launched by the EV maker, thus marking its entry into the fast-growing electric three-wheeler space.

The Joy e-rik V1, priced at INR 385,000 (ex-showroom), comes with 10.24 kW li-ion battery, 50 kmph max speed and 140 km claimed range on a full charge. It can be charged in 4.5-5 hours using the 50 Amp charger.

The Joy Bandhu priced at INR 134,000, uses a 7.2 kW lead-acid battery, has a claimed range of 120 km and top speed limited to 25 kmph.

On the other hand, the Joy Sahayak + Cargo, priced at INR 424,000, is targeted for payload capacity of 650 kg + driver, max speed of 50 kmph, up to 130 km range on a single charge. It uses a 10.2 kW LFP li-ion battery and can be charged in four hours using 50 Amp charger. The Joy Eco Loader, on the other hand, comes with a payload capacity of 310 kg + driver and is priced at INR 130,000.

At present, electric three-wheeler sales in India are averaging 56,674 units a month (CY 2024) as compared to 47,204 units last year. What’s also driving the sales is the government incentives like the Centre’s PM E-Drive scheme that provides demand incentives to support purchase of 316,000 e-three-wheelers including e-rickshaws. They are entitled to a subsidy of INR 25,000 in the first year and INR 12,500 in the second year. For the L5 category (cargo e-three-wheelers), the incentive is INR 50,000 per unit in the first year and INR 25,000 the next.

For the Vadodara-based EV maker, the idea to enter the electric three-wheeler space is on the back of the growing demand for greener last-mile delivery as well as last-mile mobility connectivity options.

Interestingly, it has already onboarded 27 dealerships that will focus on selling electric three-wheelers. Furthermore, it will also provide preference for its around 900 existing dealer and network partners to sell its new offerings.

For FY2025, WardWizard Innovations & Mobility estimates to sell around 50,000 units of electric vehicles across electric two-wheelers (low speed and high speed) and three-wheelers (L3 & L5) in India. It estimates that the sales will grow by 22-24 percent YoY in FY2026.

While it has recently entered the e-three-wheeler space, the company expects the new products to have around 30-35 percent share in its overall sales starting from FY2026.

On the other hand, reducing its reliance on low-speed electric two-wheeler category, the company also introduced a new high-speed e-scooter ‘Nemo’. Priced at INR 99,000 (ex-showroom), it comes with a 40 Ah NMC li-ion battery and a 1,500W DC brushless hub motor that gives it a max speed of 65 kmph. It has a claimed range of 130 km on a single charge in Eco mode. The e-scooter uses a digital speedometer, 5-inch full-colour TF display and projector LED headlight. The company has targeted a modest 2,000 units sales for Nemo in the next three months.

The EV maker currently has an installed capacity to produce 73,000 electric two-wheelers, 7,300 L5 electric three-wheelers and 18,250 L3 electric three-wheelers per annum. The company claims that apart from some plastic components and cells being imported, everything has been localised.

It further aims to start manufacturing its own batteries in the next one year in Vadodara, for which the pilots are underway.

Ahmedabad-based electric mobility start-up Matter was recently awarded the 10th CII Industrial IP Award 2024 at the CII Annual Summit on Technology, Intellectual Property, and Industry-Academia Partnership, held on 12th and 13th December in New Delhi.

The recognition was on the back of the company’s robust portfolio of over 300 patent applications and 58 granted patents in areas such as powertrain cooling, gearbox technologies, charging infrastructure, and manufacturing automation.

The EV maker is the first to launch a geared e-motorcycle called ‘Aera’, which it expects will play a key role in driving higher adoption of green vehicles in the motorcycle space.

Kumar Prasad, Founder and CTO, Matter, said, "Innovation has always been at the heart of Matter’s vision. This award reaffirms our commitment to redefining the electric mobility sector with pioneering research and development. We are proud to contribute to India’s vibrant IP ecosystem and continue driving technological advancements for a sustainable future."