ELECTRIC VECHILES AND

ITS FUTURE IN INDIA

Symbiosis Center For Management

Studies

Submitted By-
Ambika Sehgal
Roll no- 2071
PRN- 17020621053
About Munjal Showa Limited

 Hero Group is the Parent company of Munjal

Showa Limited.
• Munjal Showa Limited in its joint venture with
Showa Corporation, designs and manufacturers
shock absorbers and struts for leading two-
wheelers and four-wheelers.
• The Munjal Showa manufacturing plant is spread
over an area of 24075 sq. mt in the industrial
area of Gurgaon, Haryana, on the outskirts of the
National Capital Territory of Delhi, India.
• With time MSL expanded their Business by
establishing two more manufacturing plants
which are Manesar Plant spread over 60826 sq.
mt which started its production in year 2005
and Haridwar Plant spread over 41500 sq. mt
and started its production in 2009.
• Today Munjal Showa Limited is one of the largest
suppliers of shock absorbers to major auto
giants in India, Japan, Germany, the United
States and the United Kingdom, amongst other
developed markets.
• The Company’s products conform to the highest
standards of quality, safety, comfort and
dependability and are QS 9000, ISO 14001, and
IATF16949
MSL MANAGEMENT

MR. Yogesh Chander

Munjal
Chairman & Managing
Director

Mr Yogesh Chander Munjal, the Managing

Director of Munjal Showa Limited is an
eminent personality in the corporate world
and an active participant in the affairs of and in
the man -material management of Hero Group
companies.
MSL Vision

“A Customer focused and

socially responsible
organization with
committed employees of
highest quality which aims
to remain profitable and
grow continuously by
creating an eco-friendly and
safe work environment”
MUNJAL SHOWA PLANTS
Sales trend
In today’s world people are being more environment friendly due to
which they are switching to Electric vehicle over Fuel Vehicle’s and
more over it is a hot topic for manufacturers as well as for the
customers.

An electric car is an alternative fuel automobile that uses electric mortar and motor controller, in
place of most common method such as the internal combustion engine (ICE). Electricity can be used
as a transportation fuel to power battery electric vehicles (EV) .EVs store electricity in an energy
storage device, such as battery and the battery is charged by electric appliances

They are of three types

1 BATTERY ELECTRIC VEHICLE

it is almost same as charging mobile phone , it consist of grid so when depleted ., the battery are
recharged using grid electricity from dedicated charging unit or charging station.

2PLUG-IN HYBRID ECECTRIC VEHICLES

The same technology exist in hybrid vehicles, the only difference is it also consist of small petrol or
diesel engine that also connect to turn the wheel when battery is depleted
3 RANGE EXTENDER ELECTRIC VEHICLE

With the range extender vehicles, the petrol or diesel engine only kicks in when the battery is
depleted, and instead of supplying locomotion to the wheels it instead recharges the battery which
drives the car forward through the electric motor
As we all know that the over pricing of crude oil and the gassoine products are the major reason why indian economy
is going into econmoic crises , lets undersatnd the concept a little deep -:

-As the fuel prices increases , fuel

bill also increases
As india import crude oil it from
various nation various nation
which results in increase of import
bill
Import bill has two consiquenses

Current account deficit Inflation

1. CURRENT ACCOUNT DEFICIT

IMPORT EXPORT

-when the fuel price increases than the import bill also increases which means there is widening of current
account defficiet and results in the negative effect in the value of money
-so when imports are more than exports
 It means supply of dollar<demand for dollar
 so when the demand of dollar is high than the demand of indian ruppee will eventually come down
 Therefore when import increases demand for indian rupee comes down
 So when demand for indian rupee comes down, the value of indian rupee decreases and this is known
as depreatition

PRICE
2. INFLATION
- increase in import bill means increase in fule price ( moreover crude is used as a raw material in various sectors like
industries, automobile , agrriculature and many more )
- as the price of fuel increases , all the sectrors in the economy will be negatively affected which results in the increase
of cost of production
this is a macro level impact and therfore prices of goods will increae this is known as cost push inflation
India meets over 82 per cent of its crude requirement through imports and has been facing the
onslaught of rising crude rates and Rupee depreciation which have been adding pressure on the
Current Account Deficit (CAD), fiscal deficit and inflation.

This is the data of import of crude oil during different financial year (acc. To Economic times)

CRUDE OIL IMPORT BILL(RS)

1,000,000
900,000
800,000
700,000
600,000
500,000
400,000 CRUDE OIL IMPORT BILL(RS)
300,000
200,000
100,000
0
FY6
FY7
FY8
FY9
FY10
FY11
FY12
FY13
FY14
FY15
FY16
FY17
FY18
FY19*

As we can clearly see in FY6 the amount of import bill is between 1,00,000-2,00,000 and every
financial year this bill was increasing , From FY14 the bill started came down and then again it took a
major push in 2019( estimated figure) .

- Rupee against the dollar and increased reliance on imports, it is likely to push import bill
higher by 42%to $125 billion or RS 881,282 Crore in the current financial year ending march
2019
 - Import of crude oil is estimated to increase by 42% in $88 billion in FY17-18 TO $125 billion
in FY 18-19 considering the indian basket crude oil price of $77.88/billion and $/Rs exchange
rate of 72.22 for the balance part of the year,” Petroleum Planning and Analysis Cell (PPAC),
the oil ministry’s technical arm, said in a report.

In volume terms, the country’s crude oil imports are set to rise 3.72 per cent to 228.6 MT in the
current fiscal from 220.4 MT last financial year. According to this data crude oil import bill during
the first six months (April-September) of the current fiscal had increased 56.11 per cent to $58.7
billion, which means the oil imports rose 5.80 per cent to 113 Million Tonne (MT).

-Before this, the highest peak of annual crude oil imports for India was witnessed in 2013-14 when
the Indian basket of crude oil averaged $105.52 per barrel. The country had imported 189.23 MT of
crude oil then, valuing around Rs 864,875 crore.

The government is in the worry due to increase petrol prices and now due to these products are
heavily taxed, the crisis in India is much bigger problem

There are two solutions for it

1. Reduce taxes on these products

2. Or ask oil companies to offer discount

According to business today , A back-of-the-book calculation suggests a RS 1 reduction in excise

duty means reduced collection of RS 13000 crore.

Moreover every $10 rise in crude price per barrel slows growth by 0.2-0.3 % point and fuels WPI
inflation by 1.7% point. India may need an additional $30 billion to by last year quantity of crude

- according to economic times petrol price has crossed 90 ta a litter , its going up because the
rupee is depreciated sharply against dollar , while crude oil price have risen steadily for the
past years.
- to make it worse government have raised taxes

ECONOMIC IMPACT

- we are highly dependend on crude oil

- price of fuel are highly volatile and it is not within the control of our economy

outcome

Alternative factors should be used, within domestic territory

- So we can reduce the import bill and fuel bill , the prices will stablize and depreciation can also
settle
- Electric vehicles will be used to lower the fuel price

- We all know that price increases when demand >supply by using alternatives like electric vehicles

Demand will come down as a results price will also come down
 Fuel car
1.The engine are not self-starting . many
accessories like DC motors are used to
start the engine which makes the IC
engine heavy
2. the liquid coolant is used to cool the
waste heat produced by IC engine is
much higher
3. it takes 5 min to put fuel in the tank
4 it cause a lot of air as well as noise
pollution
5. IC engines cannot be operated beyond
a certain speed range. it need a complex
mechanism for speed control
Electric car
1.They produce uniform speed and power
output and are self-starting making the
engine really light and producing much
greater power and torque output
2. the liquid coolant is used however the
head produced is much lower than IC engine
3. It takes 1-2 hours to charge a battery
which depends on its quality and material
4. electric car has zero emission engine
5. Speed can be controlled directly through
motor hence speed varying transmission is
not required in an electric car. The speed
can be adjusted by controlling the output
power frequency
 6. Maintenance cost is a lot 6. Maintenance cost is low

7. The pickup is very smooth and quick 7.Gas powered cars seems clunky and
clumsy

Lets take an example of two cars of Mahindra one of them is electric and the other one is petrol

MAHINDRA
MAHINDRA
E-VERITO
VERITO(PETROL)
(ELECTRIC)

1.The company claims that the 1. It needs 18 units of electricity

Cars gives the mileage of for a battery to charge fully
19kmpl on city road with traffic 2. Car can travel 100 km in case
2.100km at 19 kmpl it would of traffic , if fully charged
work out 5.26 liter (assuming it 3. The average cost of
6 liter) electricity for a battery for
3.current price of petril in delhi domestic consumption in
is rs. 72 delhi is RS 4 units
72x6=RS 432 Which will cost 4x18=RS 72

Thought the cost of electric vehicle is more than the cost of petrol vehicle
but at the end of the day it will be more cheaper that petrol car, as in the
following example we can see that the person can save up to RS 360 by
using electrical vehicle
- 4 Seater electric automatic hatchback
- -4 electric doors and 48cc engine
- Available for 6.07l-6.83l on newcar.in
- This car has two variants
- Advanced gadget like6.2- inch touchscreen, sound system
- 280AH Li-on battery vehicle car get fully charged by the 10Kw 32Amp chargr in just 95 min(fast
charging more) 8-9 hrs(normal charging mode) giving the maximum range of 140 Km
- Maximum speed 85Kmph
- 3W 16Amp standard charger which takes 6-7 hours to charge completely
- 135l boot, which is lot more than TATA NANO
-Starting at rs. 9.5l, everito has 3 variants costing upto 10l
- seating space of 5
-72V electric motor that produces 41PS of power and 91Nm of torque
-Range of 110Km
- top speed rated at a modesty 86Kmph

2019-2020 New launch of electric cars

1. Nissan Leaf

2. Tata Tiago EV

3. Mahindra KUV 100 EV

4. Tata eVision EV

5. Renault Zoe EV

6. Renault KWID EV

7. Maruti Sezuki WagoanR EV

8. Tata Nexon EV

9. UNIT 1

10. Mahindra Xuv aero

11. Hyundai Kona electric

12. Tata Nano EV

13. Hyundai ioniq electric

We all know India has population of almost 1.3 billion and we can see that in every home , whether
they are single family or a joint family , at least they have 2 cars in their home , brag is the other
factor which exist in India and people mostly buy expensive cars not for their personal need but to
brag about their money , because of it the pollution rate in India is very high and which causes
multiple health problems to people and due the which the death rate in the economy is increasing
with the increase of pollution

According to a study of IIT Kanpur automobile companies in India is reaching new heights with the
combined efforts of Indian companies and foreign companies and the values are surprising

Type of vehicle Count in2001- Count in 2012-2013 Avg. annual growth

2002 rate

Passenger 669719 3233561 34.8%

vehicles

Commercial 162508 831744 37.4%

vehicles

2- wheelers 4271327 15721180 24.0%

3-wheelers 212748 839742 27.0%

This data is till 2013 , just to know the glimpse of increasing vehicles in india . as per the data of 2016
, india automobile industry have produced more than 30 million vehicles including passenger
vehicles, commecrcial vehicles,2-wheelers and 3-wheelers . That is more than the population of
more than half of the countries in the world , and the number is increasing at a suprising note
 total no. of registered vehicles(in millions)
160

140

120

100

80 total no. of registered

vehicles(in millions)
60

40

20

0
2004 2005 2006 2007 2008 2009 2010 2011

This has led to the total number of vehicles up to march 2015 to be more than 210 million which was
increased by 230 million in 2016 , we all know to run these vehicles we need equant number of fuel

and these fuel contain harmful gasses like CO,co2 nitrogen oxide and many more which cause
greater damage the economy as well as to our health

The rate of pollution in tons/days which comes from automobile emission

 pollution load(tons/day)

carbon monoxide 217.7

Hydro carbons 66.7
nitrogen oxide 84.1
particular matter 9.7
sulphur dioxide0.72

As from this graph we can see that these gasses are polluting our air and it results in multiple new
problems which wasn’t exist in the past respiratory and lungs disease like asthma attack, leukemia
,birth defects and immune system defects and many more

India is once again heading into the worst time of air pollution, where the poor quality of air has
become more toxic. According to world health organisation 93% of all children in the world breath
air with pollution level that exceed their guidelines

According to IIT Kanpur study the particular matter which is classified on the basis of size, can be
hazardous to human health.

The PM2.5 (micrometres) and PM 10 has been proved to cause respiratory and cardiovascular
diseases. It is threatening to know that PM level in Delhi has been recorded to be 1500% which is
over the safe limit

Noise pollution
Other factor of concern after air pollution is noise pollution. According to world health organisation
in some of the metro cities of India noise pollution is above the recommended level

Category of vehicles Noice limit in db(A)

 2-wheelers and 3-wheelers 80

Passenger cars 82

Passenger vehicles or commercial 89

vehicles above 4MT up to 12MT

Passenger vehicles or commercial 91

vehicle above 12 MT

Let’s now see the different sources from which these harmful gasses and matters are coming

From the above diagram we

can see that most of the
gasses which are pollution the
air has mainly come from the
transport sector which is
recorded as 22.5% and after
the transport sector the
highest percent is from
diffused sources that is bit
difficult to take care of, so if
we cover one aspect of that
which is the transport sector
we can still control a lot of
pollution, and can live in a
fresh air

There is widespread myth that electric cars are more polluting than the gasoline car but it is
totally a myth , it is true to say that electric cars cause more pollution during manufacturing
and assembling than gasoline cars

The Usc found that manufacturing a midsized EV with 84-mile range results in about 15%
more emission than manufacturing an equivalent gasoline vehicle, for larger long range EV’s
that travel more than 250 miles per charge , the manufacturing emission can me more than
68%. Though 68% is the higher amount but there is no need to worry according to USC these
difference changes as soon as the car are driven , EV’s are powered by electricity which is the
cleaner source than gasoline

https://cleantechnica.com/2018/02/19/electric-car-well-to-wheel-emissions-myth/ (video is
must)

1. REGULATIONS ANS INCENTIVES

 E-mobility through a range on incentives

 Supportive regulation on strict regulations on carbon emission

 Reduce current account deficit and geographic dependence driven

by crude oil) indirectly prompts the higher adoption of EVs.

2. TECNOLOGY

 Higher battery price impact manufacturing and sales

 Improved technology can reduce battery costs, increase efficiency and improve driving range

Making EV accessible and attractive to potential customers

3. CUSTOMER DEMAND

 All customers have the same demand

4.INFRASTRUCTURE

 Easy and affordable access to charging station and power plant for solar energy

Beside the end users and customers, three stake holders can play imp. Role in India’s
transition towards EV

1. THE GOVERNMENT
-By defining the regulation on emission and fuel efficiency
-clarifying aspirations
-strategic intent and direction
-exploring incentives and subsidies
It can support EV adoption and focus on developing a supportive ecosystem
- banks State Bank of India, the largest bank in the country, has announced that it is slashing
the interest rates offered on car loans for electric vehicles (EV). The bank said that it will
offer a discount of 20 basis points on the interest paid on the loan. Additionally, borrowers
will also get a longer repayment period. These deals are offered in an attempt to encourage
adoption of electric vehicles in India. By economic times my wish to include

2. THE POWER, FUEL AND CHARGING INFRASTRUCTURE COMPANIES

-laying down foundation of support
-example leasing of batteries, swapping infrastructure, deploying fast chargers)
- Providing stable power supply and grid stability

3. THE AUTOMOTIVE INDUSTRY

-by changing the product and component mix bringing EV component and vehicle to life
-bringing right talent pool and skill set
-improving the performance of battery and electric vehicles and building scale
The most important benefit of an electric car from an customer perspective is, it is cheaper than
petrol and diesel cars and as we all know in India customers will only prefer any product if it is
cheaper

The electricity charge an EV works out around a third as per kilometre as buying petrol for the same
vehicle

Let’s check how much cost we can save by using electric car as compare to petrol cars

According to fuel cost saving calculator

Lets take an example o

Let us assume that car drive for

10,000 kms at price of $1.07 petrol
price

Let it be small vehicle 7.2 litres per

100 kms

Now electricity cents per unit(kwh) is

$0.17

From the above diagram we can see

the avg saving on petrol

From this we are clear that the

electric cars will be less cheap as
compare to petrol cars.
3. Cheaper to maintain

A battery electric vehicle has a lot less moving parts than a petrol diesel cars , it is relatively less
servicing and no expensive exhaust systems, starter motors, fuel injection system, radiators and
many other parts that aren’t needs in electric vehicles

4. Better for the environment

 less pollution

As many as 14 of the world’s top 20 most pollutant cities are in India , according to 2018
(WHO Report)
In terms of % vehicular pollution contributes about 20-25% of overall air pollution during
winter in Delhi
As with the coming of electric vehicles it helps us to reduce harmful air pollution from
exhaust emission. An EV has zero exhaust emissions
 renewable energy

Nowadays coal is used for generating energy which also causing pollution, but if you use
renewable energy to recharge your EV, you can reduce your greenhouse gas emission eve
further
When we recharge EV from grid the greenhouse gas emission is reduced, another idea to
purchase green power from electricity retail

 Eco-friendly material
The Nissan leaf interior and bodywork are partly made out of green material such as
recycled water bottles, plastic bags, old car parts and even hand home appliance and hence
it is eco friendly

5). Health benefits

`
 Reducing harmful emission in the air eventually helps to control death rate which is caused
by the multiples problem occurred due to pollutes air the common example is asthma..
Better air quality will lead to less health problems, EV’s are even more quieter than petrol/
diesel vehicles, which means less noise pollution

5. Safety improvements

Recent findings have shown that several EV features can improve safety. EV’s tend to have
lower centre of gravity that makes them less likely to roll over, they also have lower risk for
major fires and body construction

1). MOST OF EV’s HAVE PRETTY SHORT RANGES

Yes it is true that EV’s have pretty low range although they are improving , but still this problem
sometimes put doubt in the mind of customers whether to buy electric car or conventional. On a full
charge most model are limited to a range of 60 to 100 miles, but a small minority of models can go
between 2000 and 300 miles per charge

2.). Recharging can take time

As we all know that for changing a conventional car it can take few minutes, but take some time to
charge a battery car so there is a downtime. . While most electric car engine take about 4 hours to
reach a full charge, some take a whopping of 15-20 hours

3. They are a large initial investment

The most affordable electric car model start in the $30000 to $40000 range and the luxury models
start with $80000 and upward, until there is no technology upgradation and the manufactures are
less than consumers can expect to pay $10000 and $50000 more for an EV

Let’s take example of tesla for understanding why tesla doesn’t want to set its manufacturing plant
in India

The story of tesla started in 2003 , when group of engineers came together for fulfilling their
ambitious goal , the people don’t need to compromise will electric car , they wanted to bring
something innovative so that the people should believe that electric vehicle can be better quicker
and more fun than gasoline cars , but the real story started in 2005, when eon musk , an investor ,
manufacturer and a business tycoon joined the company
With the coming of this gentleman the company took its next step and developed the most
innovative car tesla(2018) with its different model with different price range

Tesla wanted to step up its manufacturing unit in India but it was delayed due to some
misunderstanding, eon musk was carrying wrong information about the foreign direct policy of India

According to him if anyone wanted to set up its manufacturing plant in India than the company has
to use 30% resources of India, but according to musk 30% is the huge percentage which could not be
possible

Recently musk tweeted about the same

the commerce and industry minister twitted again to replay eon musk that FDI policy would actually
allow Tesla to sell , but only if they are also manufacturing in India

it is not the first time Indian government trying to convince tesla to set up their manufacturing
capacity in India , even our transport minister visit the company to offer them land for a factory
Musk in an interview said that tesla plan to announce location for up to 4 new giga factories, and
god knows India can be one of them

Apart from the government regulation, there was one more reason that why tesla doesn’t want to
come in India, is due to lack of infrastructure as we all know that there are not enough charging
station for electric car so why would an Indian buy an electric car , there can be a possibility that
tesla is waiting for a good infrastructure facility or a good subsidy policy .

To compete with tesla many other manufacturers are also on their way to compete , as Mahindra
group have said in one of the news that they will set there manufacturing plant in India before tesla

ttps://www.slideshare.net/SushovanBej/feasibility-analysis-of-electric-vehicles-in-india

Policies of electric vehicle in India

1. Automotive mission Plan (2016-26)

It is a collective vision of government of India and India automotive industry on where the vehicles ,
auto components and tractors should reach over the next 10 years in term of size, contribution

2026 also seek to define the trajectory of evolution of the automotive ecosystem in India including
the glide path of specific regulation and policies that govern research, design, technology, testing ,
manufacturing, import/export , sale, use , repair

2. National electricity mobility mission plan (NEMMP) (2020)

It is one of the most ambitious initiatives undertaken by the government. this is a comprehensive
collaborative planning for promotion of hybrid and electric mobility in India through combination of
policies aimed at gradually ensuring a vehicle pollution of about 6-7 million electric/hybrid vehicles
in India by the year 2020

It is composite scheme using different policy-levers such as:

 Demand side incentive to facilitate acquisition of hybrid/electric vehicle

 Promoting R&D in technology including battery technology, power electronics, motors,
system integration , battery management system and insuring industry participating in the
same
 Promoting charging infrastructure
 Supply side incentive
 Encouraging retro-fitment of road vehicles hybrid kits

With the support from the government, the cumulative sale is expected to reach 15-16
million by 2020. It is expected to save 9500 million litters of crude oil equivalent to RS
62000cr. Savings

3. Smart city initiative

The smart city mission is an urban renewal retrofitting programme by the government with the
mission to develop 100 cities across the country making them citizen friendly and sustainable.

Smart city initiative undertaken by the MoUD has given a greater boost to improve the electric
vehicle segment in India

4. Faster adoption and manufacturing of (hybrid and electric vehicles) (FAME)

The scheme which was initially up to 31st April 2017, has been extended up to 31st March 2019 or till
notification of fame 2 whichever is earlier

Total outlay of phase -1 of the FAME-India scheme has enhanced from RS. 795 Crore to RS. 895
Crores

Component of the scheme 2015-16 (in Rs. 2016-2017 (in Rs. Crore)
Crore)

Technology platform ( 70 120

include testing)

Demand incentive 155 340

Charging infrastructure 10 20

Pilot projects 20 50

IEC/Operations 5 5

total 260 535

Grand total 795

PILOT PROJECT UNDER FAME 1

 Running pure electric vehicles(7 seater) in the last 2 kms at Taj Mahal ( AGRA)
 Pure electric 2 Wheeler vehicles for home delivery ( Dominos, KFC’s etc. )
 Pure electric 3-wheelers/small 4-wheelers for fruit and vegetable distribution and garbage
disposal etc
 Electric car for Taxi fleets, corporate hire and rental scheme use etc
 Last mile connectivity from metro station
 Hybrid and electric busses for public transport

The detail of subsidy proposed under phrase of FAME-1 programme is as follows

 Sr. No. Category Subsidy (Per No. of No. of Cities selected
Vehicle) vehicles vehicles
applied sanctioned

1 Electric Bus INR 7,500,000 Delhi ,Ahmedabad,

to 10,000,000 Bengaluru, Jaipur ,
(60% of total 3,144 390 Mumbai, Lucknow ,
cost) Hyderabad, Indore,
Kolkata, Jammu and
Guwahati

2 Electric Taxi INR 124,000 2,430 370 Kolkata, Bangalore,

(10-15% of Indore and
total cost) Ahmedabad

3 Electric Auto INR 37,000 to 21,545 720 Bangalore, Indore and

61,000 (20% of Ahmedabad
total cost)

Government has sanctioned a total of 390 busses,370 taxi and 720 three-wheelers

 The nine BIG cities (Delhi ,Ahmedabad, Bengaluru, Jaipur , Mumbai, Lucknow , Hyderabad,
Indore, Kolkata) will be given subsidy for 40 busses each, while Jammu and Guwahati will get
subsidy for 15 busses each
 Kolkata will get subsidy for 200 e-taxis, followed by Bangalore (100 taxis) , Indore (50 txis)
and Ahmedabad (20 taxis)
 Bangalore will get subsidy for 500 three-wheelers, followed by Indore for 200 three-
wheelers and Ahmedabad for 20 three-wheeler

5.) FAME 2

Break up fund allocation scheme year wise, component wise, for the scheme’s duration is given
below: value in RS. Crore

Sr. No. Component 2019- 2020- 2021- Total fund

2020 2021 2022 requirement
in crores
 1 Demand 822 4587 3187 8596
incentive
2 Charging 300 400 300 1000
infrastructure
3 Administrative 12 13 13 38
exp. Including
publicity, ICE
activities
Total of 1134 5000 3500 9634
fame-2
4 Committed 366 0 0 366
expenditure of
Phase-1
Total 1500 5000 3500 10000

https://www.fame-india.gov.in/WriteReadData/userfiles/file/FAME-II%20Notification.pdf

6.) Import duty and make in India

Around 15% to 30% was charged as import duty on electric vehicle component but now with the
changing time it is reduced to 10-15% according to notification issued by the central board in
indirect taxes
As we all know that electric cars are important to reduce pollution such as noise pollution, air
pollution, moreover our dependency on crude oil making it more verse. there is no doubt in saying
that electric cars are the future , as if now there are less electric cars available in India and those
which are available has many restrictions such as less battery range , electricity problem etc. .
According to Indian government by the year 2030, all vehicles in India will be electric

The government have announced that after 2030, petrol and diesel cars will be completely ban from
India and there will only be electric cars here .they have also told motor companies to develop BS-6
cars from 2020 because it’s good for the environment. the current reason for selling electric cars in
India is the lack of infrastructure moreover India doesn’t have electric power outlets to charge the
vehicle and also in India most of the people have single phase connection in their home so it takes to
much of time to charge the vehicle, other thing is that we don’t have many variations in the electric
cars

But it’s all changing with time before battery takes 8hrs to charge and its cost was also very high,
due to tremendous development in technology its cost is now reduced and it will be continuous to
be reduced in future

These are some current problems in the market

1. Battery cost

2. Infrastructure

3. Power generation from coal

But now government is taking various steps to deal with the problem and these steps really matter
for the future growth of electric vehicles

1). Battery cost

As well all know the major problem of increasing electric car price is its battery cost, India needs
minimum of 10 GWh of cells by 2020, which would be expanded to 50 GWh by 2025 therefore are
Indian government should encourage the manufacturing of these cells in India

Price breakdown of lithium-ion-battery packs

Major concern is the weight of the battery of the battery higher weight increases the overall weight
of the vehicle and results into higher energy-consumption per km of travels.

As the size of the battery decreases the weight will also decrease which will make these battery
cheaper

An Indian automobile manufacturer has already cut down the charging time of its EVs by 75%, in
three years the charging time will fell from 6-9 hours earlier to barely 75-90 min. however this is still
high for commercial end use applications. The automobile industry has already seen technology
evolve from C slow charging to DC fast charging

In case of passenger cars the average driving range is expected to go up from a current estimate of
300km to about 500 km within 10 years
 1.Full charging – 2 hours 1.Full charging – 10 min

2. life spam 3500 cycles 2. life spam 10,000 cycles (10 years)

3.efficiency

Out of 100 units it use 98units so the

profit is of 2%
4. no use of carbon so no overheating
4. less safe because when it is 100% safety
overheated its life got affected

Lithium-ion batteries used in EVs have different chemistries and with specific characteristics

1. NMC-Graphite cells:
These battery cells used Nickle-Manganese-Cobalt (NMC) Chemistry as cathode and graphite
as anode.
 Specific energy of 200 Wh/kg or more
 Cell cost between $150 to $120 per kWh
 Typically charged at 1C OR 1.5C
 When charged and discharged at 25 degree C , they would typically give 2500 life-
cycles

Disadvantage

These cells however has safety issues at high-temperature and generally not
recommended to be used at 45 degree C or at 30 –C rate , the life cycle may reduce to as
low as 500 cycles

2. NMC –LTO:
 These cells use Lithium-Titanium-Oxide (LTO) as anode instead of graphite.
 They can be charged and discharged at 10C
 Life cycle upward 10,000 and can withstand 30 degree temperature
 Specific energy hovers around 80Wh/kg to 100Wh/kg
 Current cost exceeds $450 per kWh

Usable

Can only be used in specialised vehicles where smaller batteries are used with
charging and discharging very frequently (like a bus with a small LTO battery being
charged at every city bus stop for about a minute
 3. LFP- Graphite:
 These have characteristics between NMC-Graphite and NMC-LTO.
 Slighter higher life cycle then NMC- graphite and can better withstand higher
temperature and are safe

In addition to these lithium ion chemistries, future development in battery chemistry may
come up with new generation of batteries which will include solid-state batteries which promise a
storage capacity of about 1000Wh/kg and 80% charge in about 10 minutes

These batteries are however still in laboratory scale and would take time to commercially available

2. Infrastructure

Now let’s talk about infrastructure and what government is doing to improve the infrastructure or in
short words what will be the future scenario

The limiting batteries on driving range can be addressed by developing an eco-system of fast-
charging or swapping of batteries, we can develop and infrastructure in which in every 1 km there is
a charging station, so now government is starting implementing it, charging infrastructure will be
rolled out on a city by city basis with select city and region leading and transition. Where 30% of all
sales take place in only 1 city where charging infrastructure is wide spread and convenient to use

Starting with Nagpur and many cities MSEDCL plan to set up 500 electric vehicle charging station
across Maharashtra to encourage use of green energy by automobiles

In first phase of the project 50 such station will be come up in Mumbai, Navi Mumbai, Panvel four
each) thane (six) , expressway (12) , the Maharashtra electricity distribution company said in a
release

Policy for charging / swapping infrastructure

Businesses that provide charging/swapping would refer to as Energy operators (EO). They would
deploy fast and slow chargers at suitable location for EV, similarly they would purchase battery, set
up charging and swapping service and provide the charges battery on lease for EVs

Moreover the government would consider providing long-term and short term tax incentive and
faster depreciation as incentive to Eos for deploying slow/fast chargers and carry out battery
swapping

3.) Automobile industry

To promote electric cars of the previous automobile players are trying to concert their cars into
electric as wee all the that the future is for electric cars

The player like Ola has made efforts to ride this change by introducing a no. of EVs in the city of
Nagpur whereas Uber has not done something yet now

Apart from this a new start up by the name of BLU-SMART is launching a green EV taxi service. The
company will use only EVs to run its cab service and will procure cheap EV’s from India’s local
automaker Mahindra. The company also plan to diversify its fleet by buying Tigo sedans from Tata
motors

Moreover there is a new start up coming up known as Lithium is another cab service using EVS , but
it is targeting corporates
Renewable resources

India is working towards producing 40% of its installed electricity by 2030 from non-fossil fuel . this
would lead to significant shift from coal- based power generation to renewable energy sources . to
achieve these challenging stats , it has to produce 100 gigawatt from solar , 60 gigawatt from wind,
10 gigawatt from biomass and 5 gigawatt from small hydropower by 2022

Present Prime Minister Narendra Modi is committed towards the development of renewable energy
infrastructure. the 175 GW target for 2022

1973 Percentage

other 1%
Hydro 2%
Nuclear 1%
biofuel and waste 10%
Natural Gas 16%
coal 24%
oil 46%

World energy consumption in 1973 by Fuel source (242 quads)

 2013 Percentage

other 1%
Hydro 3%
Nuclear 5%
Bio Fuel and Waste 10%
Natural gas 21%
Coal 29%
oil 31%

World energy consumption in 2013 by Fuel source (537 quads)

2040 Percentage

other 16%
Nuclear 6%
coal 22%
Natural Gas 26%
Liquids 30%

World energy consumption in 2040 by Fuel source (815 Quada)

Swot analysis of the electric vehicle industry in India

This swot analysis can be very helpful for the manufacturers as well as for general public to know the
strength, weakness, threat and opportunities that electric vehicles can provide

•very lowco2 output

•limited range
•reduce dependency on foreign
oil import •range of conventional
car is morew than
electric car . range of
•decrease utility price , electricity moden electric cars
typically charge at night about 150 km
whencot of electricity is low
•recharging time is alot
•government rebates
•low sales lead to low
•stronger revenue and profit revenue and profit
•low running cost for •high intial proce
maintenance
•limites car design in
•latest tecnology msarket
strenght weakness
•less noice pollution
•smooth and good comfort zone
•high intial cost but the heavy
expenditure on fuel is controlled
so in the end of the day it will be
cheaper threat opportunities

•creat more job

• lack of mutual collaboration eg. opportunities
different charging plugs and •availablity of labour and
system used by different cheaper price
different manufacturers •tecnology changing
•bad public transport and helps in reducing prices
unmaintained roads •provide training to
•import of ev makes it more dealers and launch more
ecpensive EV's in the market
•lack of charging infrastrucure •more incentives for
•less manufacturesrs more government for
expensive acceptabliity
Total Vehicles sale in India ( in Lakh) (TABLE1)

180

160

140

120
2000
100
2005
80 2010

60 2015

40

20

0
Passenger Vehicles (cars) Two Wheelers

From table 1 it is clear that the sale has been grown between 2000 and 2015 , indicating annual
growth rate of 10%

Projected total sales and active vehicle stock (lakh)

6000

5000

4000
Active stock Cars
Active stock Two-Wheelers
3000

Sales Cars
2000
Sales Two Wheelers

1000

0
2015 2020 2025 2030

Note: this no. only represent the active vehicle operating on the street. Number of registered
vehicles would be more than this
Projected BEV and ICE Sales (lakhs) by 2030

TWO-WHEELERS (LAKH) CARS (LAKH)

120
350
100
300
250 80
ICE
200 ICE 60
BEV
150 BEV
40 TOTAL
100 TOTAL
50 20

0 0
2015 2020 2025 2030 2015 2020 2025 2030

We assume that in 2030, all vehicles sales in India will be of BEV. The BEV sale no. in 2015 was very
small ( about 20,000 total) , we assume the electric cars will eventually grow in long run as we can
see that the growth rate is keep on changing at a higher rate in every 5 years between 2015-2030

Therefore, as the BEV sales grow, ICE vehicles sales drop and by 2030 BEVs account for 100%
vehicles sales in India

To achieve the 100% vehicle sales, the 2 wheeler BEV sales will need to increase from about 2,000 in
2015 to about 320 lakh by 2030 and in the case of cars BEV sales need to increase from 20,000 in
2015 to about 100 lakh in 2030

According to current data (56000-25000)/25000x100%

So there is an increase of 124% in 2017-18 as compare to 2016-17 and if we carry on this increasing
rate we assume that by 2030 we will able to compete are target that 30% of the cars will be electric.
Conclusion
From the above data, we can say that the future is truly of electric cars and if we move with the
same speed, the vision of government of 30% electric cars by 2030 will definitely can be achieved

The major issue is the battery cost and the poor infrastructure which is causing problem for
manufacturers who wants to set up their manufacturing plant in India , the government has made
many promises about the same that they will take step to overcome these problems ,if the
government fulfil these promises and the automobile industry keep on experimenting and come up
with cars which are less expensive and less polluting than definitely India will be electric and this also
results in creation of employment opportunities and also boost the value of rupee .