India’s electric two-wheeler market is steadily growing. From 4.05% in 2022, the adoption rate of these vehicles rose by a third this year to touch 5.63% in May, government data showed.
Goa, Kerala, Karnataka, and Maharashtra lead the change
India’s electric two-wheeler market is steadily growing. From 4.05% in 2022, the adoption rate of these vehicles rose by a third this year to touch 5.63% in May, government data showed.
Goa, Kerala, Karnataka, and Maharashtra, along with six other states, have a higher electric two-wheeler adoption rate than the national average of 5.63%, data from Vahan, a central government portal for vehicle registration, showed.
And central government subsidies aside, some states’ policies, too, are creating a favourable dynamic for the industry. These include tax benefits, efficient scrappage policies, low power tariffs, and expanding charging infrastructure.
Up to 392,681 of the 6.98 million two-wheelers sold in India this year till May 31 were electric. This might be a small number overall, but the growth it represents is remarkable.
In fiscal 2022-23, electric two-wheeler sales in India rose two-and-half folds to 846,976 units, the Society of Manufacturers of Electric Vehicles data showed. It stood at 327,900 units in 2021-22, according to the EV makers’ group.
A December 2022 report by Bain & Company stated that 2- and 3-wheeler segments will be the “vanguards for EV adoption, achieving 40-45% penetration by 2030.”
It cited several reasons for this: competitive ownership costs, adequacy of home charging, and EVs’ early adoption by delivery and logistics fleets.
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