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Incentivise buyers, don’t compel them, say auto dealers on Chandigarh’s electric vehicle push – EQ Mag Pro

Incentivise buyers, don’t compel them, say auto dealers on Chandigarh’s electric vehicle push – EQ Mag Pro

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The Federation of Chandigarh Automobile Dealers has written to the Chandigarh administration saying that an EV (electric vehicle) policy is a step in the right direction but the focus should be on incentivising buyers rather than making it mandatory for people.

A 45-page-long document with proposals and suggestions has been prepared by the federation on this. The federation members also met the Chandigarh administration officials to discuss the matter.

The federation talks about the proposed five-year plan, mentioned in the notification draft policy, prepared on February 10, in which by the third year, Chandigarh administration plans to make 100% of its new registrations of two-wheelers and passenger autos as electric vehicles.

Acting president of the federation, Ranjiv Dahuja said, “While it is laudable what the administration envisions, it must be considered that manufacturers have to make as many vehicles for the public to purchase them as they do currently. By making it a compulsion, without adequate supply, there are likely to be issues for the customers.”

Dahuja, who runs a Tata dealership in the city, said, “While Tata is making many EVs now, the price is higher than conventional vehicles, making it out of reach of the average middle-class family.”

“The administration must work on incentivising the vehicles and offering subsidies. Currently, the sale of EV is very low as compared to conventional ICE vehicles” Dahuja added.

Dahuja also said that rather than making it a five-year plan, the policy must be made on a yearly basis. “The technology is new and some glitches and unique problems may come up which may need to be addressed yearly,” he added.

As per general secretary of the federation, Nitin Mehan, the federation has also asked that scrapping of old internal combustion engine (ICE) vehicles should be incentivised rather than making it mandatory. The federation also pointed out that there should be a policy for safe disposal of lithium-ion batteries used in EV as well.

Registrations of EVs saw a whopping 3,700% rise between 2017 and 2021. From just 27 EVs registered with the Registering and Licensing Authority (RLA), Chandigarh, in 2017, the number went up to 1,021 in 2021. However, the overall footprint of these eco-friendly mobility options is still negligible in comparison to fossil fuel-based vehicles in the city. At 2,908, the total number of EVs registered between 2017 and 2021 are just a fraction of more than 12 lakh ICE vehicles registered in the same period in the city.

Source: PTI
Anand Gupta Editor - EQ Int'l Media Network