NITI Aayog has proposed to sell only e-vehicles after 2030

The National Institution for Transforming India (NITI) Aayog, think tank of the government, has proposed that only Electric Vehicles (EVs) should be sold after 2030. This is proposed in order to expand the scope of the clean fuel technology beyond two and three-wheelers.only e-vehicles after 2030

Key Points:

  • The panel headed by NITI Aayog CEO Amitabh Kant had suggested earlier that only EV (three-wheelers and two-wheelers) with an engine capacity of up to 150 cc should be sold from 2025 onwards.
  • According to the joint study by NITI Aayog and Rocky Mountain Institute, USA, India can save 64% of anticipated road-based mobility-related energy demand and 37% of carbon emissions in 2030 by pursuing a shared, electric, and connected mobility future. It will reduce 156 Mtoe (Megatoe) Diesel and Petrol consumption for that year and will result in a net saving of roughly Rs. 3.9 Lakh Crore in 2030 at present oil prices.
  • Ministry of Road Transport And Highways (MoRTH) has been asked to work on a new framework to phase out the sale of diesel and petrol vehicles by 2030.
  • The think tank has suggested to start an e-Highway programme with an overhead electricity network to facilitate operation for long distance trucks and buses with selected National Highways. It is likely to begin with the upcoming Delhi-Mumbai Expressway.  It has also proposed local manufacturing of 50 GWh (Gigawatt hours) batteries by 2030.
  • In order to encourage this initiative,, Niti Aayog has proposed to extend financial incentives like cash subsidy on the basis of overall domestic value addition per kilowatt hour (KWh) which will be around Rs 8000 crore. If domestic manufacturing of batteries can be made possible, the maximum cash subsidy will go up to Rs 2000 crore for up to 20 GWh per firm which will be for just one KWh for total value capture.

About NITI Aayog:
Headquarters: New Delhi
Formation: January 1, 2015
Vice-Chairman: Rajiv Kumar