Indian Clean Transportation Summit Stresses Financial And Manufacturing Support For EVs

New Delhi, Aug 29 (KNN) At the Indian Clean Transportation Summit held on Wednesday, government officials, industry stakeholders, civil society members, and experts convened to address the pressing need for robust financial support and viable business models to accelerate the adoption and local manufacturing of electric vehicles (EVs), particularly in the heavy-duty segment.

The event, organised by the International Council on Clean Transportation (ICCT), focused on devising a roadmap for transitioning to cleaner transportation methods, reported HT.

This shift is particularly crucial given that heavy-duty vehicles, while comprising only 3 per cent of total on-road vehicles in India, are responsible for 44 per cent of the country's carbon emissions from transportation.

Experts warn that without intervention, this pollution contribution could quadruple by 2050.

Hanif Qureshi, Additional Secretary, Union Ministry of Heavy Industries, highlighted the reluctance of major banks to finance the electric truck sector as a significant obstacle.

"Only non-banking financial corporations are lending, and at higher interest rates," Qureshi noted.

He emphasised the need for local manufacturing to reduce costs and achieve scale, stating, "We are looking at building 3 to 4 lakh trucks each year."

Subhendu J Sinha, Advisor, NITI Aayog, outlined ongoing government initiatives to support EV adoption in the trucking sector.

These include GST rationalisations and the establishment of charging infrastructure, with 17,000 out of a planned 22,000 stations already operational.

Drew Kodjak, Executive Director, ICCT, proposed a four-point strategy for scaling up decarbonisation efforts.

This includes supply-side regulations, consumer incentives, expanding charging infrastructure, and promoting local manufacturing to create new jobs.

The two-day summit will continue to explore transition pathways for EVs and the implementation of low-emission zones in cities, as India seeks to address its unique transportation challenges, with 70 per cent of freight moving by road compared to significantly lower percentages in the United States and Europe.

(KNN Bureau)