Can India’s EV market help it reach net-zero by 2070?

Elle Farrell-Kingsley explores if the FAME scheme, fuel tax and EV-only cities can help India’s carbon-neutral goals





In 2021 at the 26th Conference of the Parties (COP26), India committed to achieving net-zero emissions by 2070. This will require clear pathways to decarbonising greenhouse gas (GHG) intensive sectors such as transport and energy.

To decarbonise transport, the transition to clean mobility is pivotal. Several supporting initiatives have been implemented, such as the Faster Adoption and Manufacturing of (Hybrid &) Electric Vehicles in India (FAME) and the Production Linked Incentive (PLI) scheme for the National Programme on Advanced Chemistry Cell (ACC) Battery Storage (NPACC) to boost battery manufacturing capacity. These schemes aim to support a 30% electric vehicle (EV) increase by 2030.

NITI Aayog, which serves as the apex public policy think tank of the Government of India, believes the impact could be significant. It released a research study proposing that if that 30% increase is achieved by 2030, the impact could generate an estimated saving of up to 474 million tonnes of oil equivalent (Mtoe) and 846 million tonnes of net CO2 emissions. The ACC policy will only support batteries using advanced chemistry cells, with performance equivalent to or superior to EV batteries supported under the FAME scheme.

FAME

Central to developing lower emissions, the Indian Government launched the FAME scheme to promote electric and hybrid vehicle technology manufacturing. It has four focus areas: technology development, demand creation, pilot projects, and charging infrastructure.

Mahindra's EV vehicles and specialised parking spaces

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