India is taking steps to promote more electrical cars in their country. A government think tank named Niti Aayog headed by India’s prime minister has prepared a new policy aiming to electrify all vehicles in the country by 2032. It proposes lower taxes and interest rates on loans for fully electric cars.
The government intends to kickstart the shift by setting up and incentivizing manufacturers of batteries and other components as well as charging stations. This way they will be able to tap into the market of electrical car components as well.
This is understandable as China is also taking such steps towards the green car market. Interest in electrical or ‘green’ cars has spiked in recent years not just for economic but rather for environmental reasons. Almost every country is aiming towards a cleaner environment. Electrical cars contribute to that cause by reducing the air pollution to a certain amount.
It will also cut India’s huge oil import bill and help the government spend more on much-needed infrastructure for economic growth. Such defined incentives towards green cars will set off a wave of innovation from automakers as well as startups providing support systems, from batteries and components to marketing.
The policy aims to bring price a price equality between electric cars and conventional or hybrid vehicles by 2025. Let’s hope this gets its due success.