New Delhi, June 10: India is on its high pace to combat environment threats and create a secure living atmosphere for every one of us. In a new move, India plans to sell only electric vehicles in the country by 2030. Potential methods for achieving this is outlined in the report called “Transformative Mobility Solutions for All“, based on studies conducted by NITI Aayog and the Rocky Mountain Institute.
One of the important steps in the plan is an actionable solution focused on two and three wheelers. Three wheelers contribute between 6 - 24% to the total pollution in the air, although they represent only about 5% of the vehicle population. Two and three wheeler makes up about 80% of local vehicle sales, and as such offer a huge market that is ripe for electrification.
The big idea here is using smart, swappable batteries. The proposition involves standardized batteries for 2 and 3 wheelers that can be swapped out with fully charged batteries after they are drained. An integrated payment and tracking system into the batteries could cut the sticker prices by as much as 70%. Payment models include leasing the batteries and paying per use. A subscription pricing model could also potentially be a viable option.
The government wanted to encourage the adoption of electric vehicles without offering any subsidies for the batteries. Ashok Jhunjhunwala, a professor on sabbatical from IIT-M came up with the solution of separating the batteries from the vehicles. By focusing on the efficiency of the vehicles, and allowing the batteries to be replaced, the cost per kilometer for electric vehicles comes down to about the same levels as fossil fuel based vehicles. “Suddenly the whole economics was working. And once the economics work, one can scale”, Jhunjhunwala said.
For a high level of transparency and accountability, a blockchain based cashless payment solution can be implemented. The vehicles, the batteries, and the charging stations can all be a part of this system. Another big idea to give a powerful incentive for the market segment is to exempt electric two and three wheelers from requiring vehicle permits, he added.