Context:
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The automobile sector in India and the future of electric mobility in India
India’s performance in Automobile Sector:
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India went through a radical transformation from a minor manufacturer of automobiles to the fastest growing auto-hub within a short span
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Progressive policy has led to India emerging as the fifth largest automobile manufacturing country in the world
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How: by adopting a consistent, well thought out Automotive Mission Plan 2006-2016 (AMP)
Contribution to Employment Generation:
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The auto industry provides direct and indirect employment to 32 million people with an annual turnover of nearly Rs 6,00,000 crore
How India’s policy in this sector is different from that of China?
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India’s has achieved success without the adoption of coercive policies for localisation of production as is done in China
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India’s success is attributed to positive engagement maintained with global giants, for establishing competitive manufacturing base in India
World is now going for non-fossil fuel vehicles
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The world is still largely dependent on fossil fuels for transportation
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But there is now an increased momentum towards alternate energy sources
India’s take on non-fossil fuel vehicles
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Besides the environment, India also has strategic and economic interest in shifting away from fossil fuels
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Challenge: The challenge ahead is not only on how to encourage electric automobiles but also to take the industry forward without losing India’s current competitive advantage
Different types of Electric vehicles
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Pure electric vehicles (BEVs) that use energy stored in batteries obtained from the grid
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Hybrid electric vehicles (HEVs), plug-in hybrid electric vehicles (PHEVs) and fuel cell vehicles (FCVs)
Global experience in Electric mobility sector
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Global experience indicates that most countries have adopted a technology-neutral approach
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And supported the full range of electric vehicle technologies till such time that they attained market acceptability
The way forward
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The government should push more aggressively for the BEV option for of two-wheelers and three-wheelers
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And support the full range of electric technologies for other vehicle segments with a clear roadmap for the evolution towards FCVs
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Hopefully, to reduce fossil fuel consumption, lower pollution and encourage electric mobility, a more holistic approach will be adopted by the government
Related Questions:
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“An incremental, technology-neutral approach to the adoption of electric vehicles is the way forward for Automobile Sector in India” Comment.