EVs, petrol & diesel vehicles to cost same in two years: Nitin Gadkari

Union Minister for Road Transport and Highways Nitin Gadkari on Monday said incentives and subsidies may no longer be necessary for electric vehicles (EVs) in two years’ time because these vehicles will attain cost parity with traditional petrol and diesel vehicles by then.

“I am not against further subsidies for EVs. If the Finance Minister and Industries Minister want to provide more support, I have no issue with that. However, in two years, incentives may no longer be necessary as EVs will reach cost parity with traditional fuel vehicles,” Gadkari said, while addressing the 64th annual session of the Automotive Component Manufacturers Association (ACMA) of India.

Gadkari recalled how leaders in the automobile market had dismissed the EV revolution merely a decade ago.

“Ten years ago, when I was advocating for electric vehicles, the big players in the automotive sector didn’t take me seriously. Today, they admit they may have missed the bus,” he remarked, adding that automobile companies were now keen to move towards green fuel solutions.

Among other subjects Gadkari focussed on was how India was still dependent on imports for a sufficient supply of lithium ion batteries. He predicted a drastic drop in imports of such batteries, currently worth nearly Rs 1.68 lakh crore, over the next two to three years, considering the fact that there is enough domestic production happening now, besides the emergence of alternatives.

The minister for road transport and highways made a special mention of the need for road safety, and said that badly designed and engineered roads and streets were often a reason for accidents in the country.

“Road safety is a serious concern for us. It is not just about vehicle safety but also about how we design and engineer our roads,” Gadkari pointed out, adding the participation of automobile companies, as part of Corporate Social Responsibility (CSR), was essential to raise safety measures.