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

Jeep® India Named Most Trusted SUV Brand in TRA’s 2025 Brand Trust Report

24M Technologies Raises Alarm Over Rising EV Fire Risks and Costly Recalls

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

Urja Daily

Related Posts

RANGE BANNER-1

Jeep® India Named Most Trusted SUV Brand in TRA’s 2025 Brand Trust Report

by Palak
May 20, 2025
0

Pune – Jeep® India has once again been recognized as the Most Trusted Brand in the SUV Manufacturer category in the...

Naoki Ota, President

24M Technologies Raises Alarm Over Rising EV Fire Risks and Costly Recalls

by Palak
May 9, 2025
0

With 250 million electric vehicles (EVs) on the world’s roads by 2030, fires involving EVs will increase – unless battery cell...

BYD EV

BYD EV Innovate-a-thon Hits Milestone with Physical Prototype Review

by Palak
April 16, 2025
0

New Delhi:  The third round of the prestigious BYD EV INNOVATE-A-THON was successfully launched at the Thapar Institute of Engineering and...

ESSCI

ESSCI Boosts E-Mobility and Battery Tech Skills for Future Workforce

by Palak
April 10, 2025
0

India is undergoing a significant transformation in its transportation sector, with electric vehicles (EVs) at the forefront of this revolution....

Servotech Renewable Power System Ltd.

Servotech Renewable Power System Ltd. Secures Patent for Innovative Peak Shaving Technology

by Palak
March 28, 2025
0

New Delhi : Servotech Renewable Power System Ltd. a leading provider of EV chargers and solar solutions is pleased to inform...

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

BRICS

India Champions Enhanced Energy Cooperation at BRICS Summit in Brazil

May 22, 2025
REC Limited

REC Secures ₹56.35 Billion via Private Placement Bond Issuance

May 22, 2025
  • 643 Followers
  • 23.9k Followers

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

India Champions Enhanced Energy Cooperation at BRICS Summit in Brazil

REC Secures ₹56.35 Billion via Private Placement Bond Issuance

Vikram Solar Awarded EcoVadis Platinum Medal, Ranked Among Top 1% Globally in Sustainability Performance

ACME Solar Commissions Additional 112.5 MW at Sikar Project in Rajasthan

Vikram Solar Honored as Top Brand PV India 2025 by EUPD Research

Core Integra Launches Bengaluru Regional Office to Drive Expansion in South India

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