Vehicles eligible under the Faster Adoption and Manufacturing of Electric Vehicles II (FAME II) scheme can cumulatively save 5.4 million tonnes of oil equivalent over their lifetime, worth ₹17,200 crore, a study said on Friday.
According to market estimates, in financial year 2018 electric two-wheeler sales almost doubled to 54,800 compared to the previous financial year. Electric two-wheelers have been leading the EV market that account for 98 per cent of the country’s EV sales.
The National Institution for Transforming India (NITI-Aayog) and Rocky Mountain Institute (RMI), have released a report and technical analysis titled ‘India’s Electric Mobility Transformation: Progress to Date and Future Opportunities’ that quantifies the direct oil and carbon savings that the vehicles incentivised under FAME II will deliver.
The report also quantifies the catalytic effect that FAME II and other measures could have on the overall EV market.
“If FAME II and other measures are successful, India could realise EV sales penetration of 30 per cent of private cars, 70 per cent of commercial cars, 40 per cent of buses and 80 per cent of two and three-wheelers by 2030,” the report said.
If realised, the lifetime cumulative oil and carbon savings of all electric vehicles deployed through 2030 could be many-fold larger than the direct savings from FAME II. For example, achieving these levels of market share by 2030 could generate cumulative savings of 846 million tonnes of CO2 over the total deployed vehicles’ lifetime, it said.