Tamil Nadu Witnessed A Massive Increase In The Use Of Electric Vehicles

In the last eight months, the use and demand of the electric vehicles in Tamil Nadu has increased a lot.

According to official data, 14,366 electric vehicles (EVs) are in service in Tamil nadu, with 95 percent of them being two-wheelers. At the start of the year, there were about 6,300 electric vehicles on the road which has increased in numbers with the span of time and had showed the increasing demand of electrical vehicles in the state.

Abhinav Soman, programme associate at Council for Energy, Environment and Water (CEEW), a policy research institute said that in November 2020, Tamil Nadu abolished the registration fee for electric vehicles. The Centre changed parameters for the Faster Adoption and Manufacturing of Hybrid and Electric Vehicles in India scheme previously this year, raising subsidies from 15% to 40%. The subsidy for two-wheelers was increased in particular, lowering the upfront cost of e-bikes around the country.

As per transportation experts, repeated increases in petrol prices and the shortage of public transportation occured due to the lockdowns and in the situations of the pandemic had drove many people to choose e-bikes. They had also stated that central governments have extended tax breaks and incentives for EV purchases, lowering EV prices.

S Rajvel, state chairperson of the Federation of Automobile Dealers Association (FADA) stated that considering the government's efforts, lenders are unwilling to lend money to electric vehicles because of their short battery life and unknown resale value and 70% of an e-cost vehicle's is made up of the battery and motor.

He stated that the manufacturers provide a pro-rata warranty for a duration of five years. The battery is replaced if it breaks during the first year of procurement. He further explained that the cost of the battery is subsidised to the tune of 25% to 75% in following years. While the buyers are concerned that they will have to spend more in the future and prefer to spend Rs100 each day on fuel. Many people just cannot afford to pay Rs15,000 or more on batteries in one go.

According to Ravneet S Phokela, chief business officer of Ather Energy Pvt Ltd, which is expanding operations to Madurai and Salem, an e-battery bike's lasts 50,000 kilometres and doesn't need to be replaced for seven years.

Despite all the facts that after factoring in the cost of battery replacement, Electric Vehicles are indeed a better option than regular vehicles.