Electric Vehicles Will Be Cheaper Than Combustion Vehicles In Three Years, Says Amitabh Kant
An electric vehicle stands plugged in to a charging station. (Photographer: Qilai Shen/Bloomberg)  

Electric Vehicles Will Be Cheaper Than Combustion Vehicles In Three Years, Says Amitabh Kant

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Electric vehicles will become cheaper than combustion vehicles in three years as the price of battery packs of EVs is expected to fall by almost 51 percent per unit, NITI Aayog Chief Executive Officer Amitabh Kant said on Thursday.

Kant was speaking at the Mobility Talk Corporate Conclave at the World Sustainable Development Summit 2020, TERI's annual flagship event being held in New Delhi.

"Electric vehicles will become much cheaper than combustion vehicles in three years. The price of battery packs of EVs is expected to fall to $76 per kilowatt hour (or unit) in three years, down from the present-day $156 per unit," he said.

Reaffirming the national vision towards moving to clean mobility, Kant said, given its size and scale of growth potential, Indian industry must be the biggest driver of change to make the country the centre for manufacturing EVs.

Also read: Budget 2020: Not Fiscal Stimulus, Alternate Measures Needed To Boost Economy, Says NITI Aayog’s Rajiv Kumar

"There are two challenges to address: to ensure new form of urbanisation which is based on public transportation, and to ensure India doesn't lose out among global manufactures of tomorrow," Kant said.

Representatives from the auto industry in the session welcomed the direction given by the NITI Aayog CEO, and sought clarity on pathways and policy that the government is looking to take on EVs.

Also read: Amazon India To Include 10,000 Electric Vehicles In Delivery Fleet By 2025

They urged the government to quickly develop a road map, whether to focus on hybrid or fully electric mobility, and policies that can promote indigenous research and development.

Casting his vote in favour of strengthening public transport, Kant said it is essential that innovative and sustainable development is backed by embedding the cities with public transportation and not by private vehicles.

He also stressed on the use of CNG-based transport for travel within cities, liquefied natural gas for intercity, and in the long-run, a focus on hydrogen as fuel, especially for public transport.

TERI DG Ajay Mathur said there is a need to decarbonise key sectors such as road economy and in the process push a transition to 100 percent green electricity-based mobility.

"In order to move towards a shared, connected and zero-emission world, and to realise the full benefits of EVs, it is important that the battery is charged with clean power and not fossil power," he said.

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