Urja Daily
No Result
View All Result
  • News
  • Renewable
    • Solar
    • Rooftop
    • Floating Solar
    • Module
    • Wind
    • Hydrogen
    • Biomass
    • Tenders
    • Sustainibility
  • Storage
  • E-Mobility
  • EV Battery
  • Smart City
  • Power
    • Smart Grid
    • Microgrid
    • Off-Grid
  • Editor’s Pick
    • Articles
    • In Talks
    • E-MAG
    • Market Research
  • On-demand Webinars
  • More
    • Events
    • Contact Us
    • Subscribe
  • News
  • Renewable
    • Solar
    • Rooftop
    • Floating Solar
    • Module
    • Wind
    • Hydrogen
    • Biomass
    • Tenders
    • Sustainibility
  • Storage
  • E-Mobility
  • EV Battery
  • Smart City
  • Power
    • Smart Grid
    • Microgrid
    • Off-Grid
  • Editor’s Pick
    • Articles
    • In Talks
    • E-MAG
    • Market Research
  • On-demand Webinars
  • More
    • Events
    • Contact Us
    • Subscribe
No Result
View All Result
Urja Daily
No Result
View All Result
Home E-Mobility

Mobilising Electric Vehicle Financing in India

Urja Daily by Urja Daily
March 10, 2021
in E-Mobility
Reading Time: 2 mins read
0
Electric vehicle changing
Share on FacebookShare on TwitterShare on Linkedin

NITI Aayog and Rocky Mountain Institute (RMI) India released a new report ‘Mobilising Electric Vehicle Financing in India’, which highlights the role of finance in the India’s transition to electric vehicles (EVs) and analyses that the transition will require a cumulative capital investment of USD 266 billion (Rs 19.7 lakh crore) in EVs, charging infrastructure, and batteries over the next decade.

The report also identifies a market size of USD 50 billion (Rs 3.7 lakh crore) for the financing of EVs in 2030—about 80% of the current size of India’s retail vehicle finance industry, worth USD 60 billion (Rs 4.5 lakh crore) today.
 

“The need of the hour is to mobilise capital and finance towards EV assets and infrastructure,” said Amitabh Kant, CEO, NITI Aayog. “As we work towards accelerating the domestic adoption of EVs and push for globally competitive manufacturing of EVs and components like advance cell chemistry batteries, we need banks and other financiers to lower the cost and increase the flow of capital for electric vehicles.”

India’s EV ecosystem has thus far focused on overcoming adoption hurdles associated with technology cost, infrastructure availability, and consumer behaviour. Financing is the next critical barrier that needs to be addressed to accelerate India’s electric mobility transition.

End-users currently face several challenges, such as high interest rates, high insurance rates, and low loan-to-value ratios.

To address these challenges, NITI Aayog and RMI have identified a toolkit of 10 solutions that financial institutions such as banks and non-banking financial companies (NBFCs), as well as the industry and government can adopt in catalysing the required capital.

“Re-engineering vehicle finance and mobilising public and private capital will be critical to accelerating the deployment of the 50 million EVs that could be plying on India’s roads by 2030,” said Clay Stranger, Senior Principal, Rocky Mountain Institute. “These solutions represent high-leverage areas for interventions in finance, and we believe that many are relevant beyond India.”

The 10 solutions recommended in the report include financial instruments such as priority-sector lending and interest-rate subvention. Others are related to creating better partnerships between OEMs and financial institutions by providing product guarantees and warranties. Furthermore, a developed and formal secondary market can improve the resale value of EVs and improve their bankability. “The identified barriers within EV finance need to be tackled in structured manner with innovative financing models,” said Randheer Singh, Senior Specialist at NITI Aayog.

Recommendations beyond finance include digital lending, business model innovation, fleet and aggregator electrification targets, and the creation of an open data repository for EVs.

The report further determines that investment in India’s transition to electric mobility has the potential to create significant economic, social, and environmental benefits for the country. As the economics of EVs continue to improve, new business models and financing instruments gain acceptance, and government programmes drive early adoption and promote domestic manufacturing, India’s EV market is poised for growth in the coming decade.

The report can be accessed here: http://niti.gov.in/sites/default/files/2021-01/RMI-EVreport-VF_28_1_21.pdf

RELATED POSTS

Key Hurdles Slowing Electric Cargo Bike Adoption

Pedal Power Surge: Bicycle Industry Poised for Rapid Expansion

Tags: batteriescharging infrastructureelectric vehicleEVsMobilising Electric VehicleNITI AayogRMIRocky Mountain Institute
ShareTweetShare
Urja Daily

Urja Daily

Related Posts

Electric Cargo Bike

Key Hurdles Slowing Electric Cargo Bike Adoption

by Palak
July 24, 2025
0

As urban centers grapple with congestion, carbon emissions, and the pressure for sustainable last-mile delivery solutions, electric cargo bikes have...

Pedal Power

Pedal Power Surge: Bicycle Industry Poised for Rapid Expansion

by Palak
July 22, 2025
0

The bicycle industry is undergoing a dramatic transformation, emerging as one of the fastest-growing mobility sectors in the world. Fueled...

Shriram Mobility Bulletin

Truck Rentals Climb in June on Kharif Preparations and Manufacturing Momentum: Shriram Mobility Bulletin

by Palak
July 5, 2025
0

Truck rentals remained firm during June, on the back of demand from manufacturing sector Vehicle sales across categories were weak,...

Mr. Saleem Ahmed, Officiating Head, ESSCI

E-Mobility Careers: India’s Next Big Growth Opportunity

by Palak
July 1, 2025
0

Have you noticed something quietly transforming the streets of Delhi-NCR? Look closer — hundreds of delivery riders are zipping through...

LEAP24

LEAP24 Speeds Up London EV Charging Expansion with Four New Ultra-Rapid Sites in One Week

by Palak
June 30, 2025
0

Barking, Chingford, Pinner and Watford go live Now 11 locations inside the M25 Cheapest average standard ultra-rapid charging in London...

Next Post
JMK Research India

India Module Shipment 2020: LONGi Bags Top Slot

jinko

JinkoSolar Announced JinkoSolar’s R&D Center Module Laboratory

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

RECOMMENDED

Wastewater treatment plants

Turn Up the Heat Next Winter with Better Biogas Production!

July 24, 2025
PwC India

PwC India Opens Sixth NCR Office with New Gurugram Facility

July 24, 2025

MOST VIEWED

  • Hydrom

    Hydrom and Thyssenkrupp Nucera Partner for Green Hydrogen Projects in Oman

    0 shares
    Share 0 Tweet 0
  • SFC India Selected Dassault Systèmes for Indigenization and Digital Transformation of Wastewater Treatment Plants

    0 shares
    Share 0 Tweet 0
  • Juniper Green Energy Secures 1 GW Solar Module Deal with First Solar

    0 shares
    Share 0 Tweet 0
  • PGCIL Wins ISTS Project for Renewable Energy Integration in Karnataka

    0 shares
    Share 0 Tweet 0

Turn Up the Heat Next Winter with Better Biogas Production!

PwC India Opens Sixth NCR Office with New Gurugram Facility

Is the World Ready for Driverless Cars? Consumer Sentiment and Self-Driving Cars Market Potential

STMicroelectronics Reports 2025 Second Quarter Financial Results

Key Hurdles Slowing Electric Cargo Bike Adoption

Sharika Enterprises to Automate BMM Ispat Power with SCADA

Latest Magazine

© 2016 – 2025 TechZone Print Media | All Rights Reserved

  • About Us
  • Contact Us
No Result
View All Result
  • News
  • Renewable
    • Solar
    • Rooftop
    • Floating Solar
    • Module
    • Wind
    • Hydrogen
    • Biomass
    • Tenders
    • Sustainibility
  • Storage
  • E-Mobility
  • EV Battery
  • Smart City
  • Power
    • Smart Grid
    • Microgrid
    • Off-Grid
  • Editor’s Pick
    • Articles
    • In Talks
    • E-MAG
    • Market Research
  • On-demand Webinars
  • More
    • Events
    • Contact Us
    • Subscribe

© 2016 - 2025 TechZone Print Media | All Rights Reserved