There is a lot of confusion in the Indian landscape regarding EV adoption - an equal share of pessimism and optimism depending on who you speak with. Here's an attempt to make some sense into what works, what is required to make it work ...

1. India EV Adoption -
Economics, Benefits,
Opportunities, Challenges
& Enablers
Joy Nandi
Lithium Urban Technologies
+91 9818011133 /
jnandi1@gmail.com

2. EV Economics

3. EV Market Growth
• Current levels of penetration is
<5% of new sales
• By 2030 expected to be >50% in
EU, US, China.
• ROW including India @ <10%
• Does India need a policy push?

4. EV Cost Components –
Global Scenario
• Currently battery costs still accounts for 42-45% of
the cost of EV
• Expected to match ICEV price in 2024-2025, with
battery cost coming down from current levels of
$220/kWh to $100/kWh
• However, battery cost need not be upfront (can it
be leased and compared with “fuel cost”?)
• “OEM / Leasing companies have potential to
innovate”

5. TCO – EV vs ICEV
• EV cost ~ 2x that of ICEV
• Operating Cost ~ Fuel Cost
1/5th that for ICEV
• Maintenance ~ 1/3rd that of
ICEV
“At 50km running/day, despite
the offset, TCO parity not
possible, even over 3 years”
₹47,500
₹48,000
₹48,500
₹49,000
₹49,500
₹50,000
₹50,500
₹0.00
₹10,000.00
₹20,000.00
₹30,000.00
₹40,000.00
₹50,000.00
₹60,000.00
M1Y1
M2Y1
M3Y1
M4Y1
M5Y1
M6Y1
M7Y1
M8Y1
M9Y1
M10Y1
M11Y1
M12Y1
M1Y2
M2Y2
M3Y2
M4Y2
M5Y2
M6Y2
M7Y2
M8Y2
M9Y2
M10Y2
M11Y2
M12Y2
M1Y3
M2Y3
M3Y3
M4Y3
M5Y3
M6Y3
M7Y3
M8Y3
M9Y3
M10Y3
M11Y3
M12Y3
EMI+Insurance AMC+Repairs Fuel Cost TCO - EV
₹38,600
₹38,800
₹39,000
₹39,200
₹39,400
₹39,600
₹39,800
₹40,000
₹40,200
₹0.00
₹5,000.00
₹10,000.00
₹15,000.00
₹20,000.00
₹25,000.00
₹30,000.00
₹35,000.00
₹40,000.00
₹45,000.00
M1Y1
M2Y1
M3Y1
M4Y1
M5Y1
M6Y1
M7Y1
M8Y1
M9Y1
M10Y1
M11Y1
M12Y1
M1Y2
M2Y2
M3Y2
M4Y2
M5Y2
M6Y2
M7Y2
M8Y2
M9Y2
M10Y2
M11Y2
M12Y2
M1Y3
M2Y3
M3Y3
M4Y3
M5Y3
M6Y3
M7Y3
M8Y3
M9Y3
M10Y3
M11Y3
M12Y3
EMI+Insurance AMC+Repairs Fuel Cost TCO - ICEV
₹50,345
₹49,115
₹48,722
₹40,120
₹39,188 ₹39,108
₹35,000.00
₹37,000.00
₹39,000.00
₹41,000.00
₹43,000.00
₹45,000.00
₹47,000.00
₹49,000.00
₹51,000.00
₹53,000.00
M1Y1
M3Y1
M5Y1
M7Y1
M9Y1
M11Y1
M1Y2
M3Y2
M5Y2
M7Y2
M9Y2
M11Y2
M1Y3
M3Y3
M5Y3
M7Y3
M9Y3
M11Y3
TCO - EV TCO - ICEV
Source: © Joy Nandi

6. 25 50 75 100 125 150 175 200 225 250 275 300 325 350
TCO - EV ₹48,975 ₹50,344 ₹51,713 ₹53,082 ₹54,450 ₹55,819 ₹57,188 ₹58,557 ₹59,925 ₹61,294 ₹62,663 ₹64,032 ₹65,400 ₹66,769
TCO.- ICEV ₹32,769 ₹37,119 ₹41,469 ₹45,819 ₹50,169 ₹54,519 ₹58,869 ₹63,219 ₹67,569 ₹71,919 ₹76,269 ₹80,619 ₹84,969 ₹89,319
₹0.00
₹10,000.00
₹20,000.00
₹30,000.00
₹40,000.00
₹50,000.00
₹60,000.00
₹70,000.00
₹80,000.00
₹90,000.00
₹1,00,000.00
EV – ICEV Breakeven Analysis
• For individual usage: Breakeven
between EV – ICEV at current costs
only possible if you have ~ 160
km/day use (individual usage)
• For fleet usage: Additional cost of
technology stack (for monitoring EV
stats, scheduling) + on-ground
operational team (for charging) +
charging equipment cost, so
breakeven is at ~ 200 km/day use
• A leading EV fleet operator is
currently operating ~ 250-
300km/day use per EV – and thereby
has managed to reduce current
transport costs of their clients ~ 15-
30% (for 24-hour usage)
Source: © Joy Nandi

7. EV Benefits

8. EV Benefits - Impact on
CO2 Emissions
• At 1 million KMs, the impact can
range from 113-220 MT of CO2e
• 1 EV doing 275km/day, operated
for 26 days/mo ~ 86,000 km/pa
=> 21 MT CO2e ~ 950 Trees
planted
• A Fleet of 400 vehicles ~ 34
million km/pa => 8200 MT pa
CO2e abated ~ 3,75,000 trees
planted
22
110
220
330
440
550
660
770
880
990
1,100
1,210
1,320
1,430
1,540
1,650
16
80
159
239
319
398
478
558
637
717
797
876
956
1,036
1,115
1,195
11
56
113
169
225
281
338
394
450
506
563
619
675
731
788
844
1,00,0005,00,00010,00,00015,00,00020,00,00025,00,00030,00,00035,00,00040,00,00045,00,00050,00,00055,00,00060,00,00065,00,00070,00,00075,00,000
MetricTonnes
Kilometers
EV - Diesel EV - Petrol EV - CNG
Vehicle Type
Diesel 2.64 kg/litre 12 km/litre 220 gms/km
Petrol 2.39 kg/litre 15 km/litre 159 gms/km
CNG 2.25 gms/kg 20 km/kg 113 gms/km
*Source: http://ecoscore.be/en/info/ecoscore/co2
CO2 Emissions* Average Mileage CO2e Abatement

9. EV Benefits
Connected Vehicles
• Better Tracking with
Tamper-proof Telematics
• Automated km billing
• Preventive Maintenance
(Always-On OBD port)
• Emergency Services
1
Comfortable
• Zero emission
• Better AC
• Automatic transmission
• Low Noise
2
Safety
• Designed for EV
• Monocoque frame
• Composite light-weight
body
• No engine upfront
• crash-bars
3

10. EV Adoption Challenges

11. Challenges of
operating an EV Fleet
• EV Financing
• Leasing Options; Cost of Finance; Residual Value of EV
(Battery)
• EV Operations and Maintenance
• Energy Consumption = 0.094 kWh/km lab test rating,
on-ground 0.15-0.19 kWh/km => ₹0.52 – ₹1.05/km
running cost
• Impact of Efficient Driving, Traffic, Ambient Temperature
• EV Component Maintenance (Telematics feed essential)
• EV Charging
• Slow vs Fast Charging (Battery Degradation, Time for
Charging, DC Fast-Charger Sizing (# of Charger/Vehicles),
FC Infra/Installation, Charger Utilization
• EV Scheduling (“Heart” of successful EV Operations
• Driving vs Charging Time (SC or FC)

12. EV Adoption Enablers

13. India EV Ecosystem – Government Policy
Push is critical!
• EV Incentives – EV Subsidy Monitoring, GST on purchase/leasing of EV/Battery,
Registration, Road Tolls/Taxes, Parking, Income Tax exemptions
• Charging Incentives – Real Estate Incentives, Electricity Tariff
• ICEV Disincentives – CBD Restrictions, Higher Taxation, Escalating Fuel Costs
• EV Based Ride-Sharing / Public Transport Incentives
• Volume/Timeframe based EV Import Moratorium – Product Variants and
Quality will improve ONLY with competition
• Ancillary Industry Incentive – Battery Recycling, Li-Ni-Mg-Co Stripping, Cell
Assembly, Fleet / User Technology Stack development, ”Connected Vehicle
Services”