Green Mobility Xpo Delhi, India, February 2015

Accelerated economic growth across the world is driving the need for increased transportation of people and goods, in turn leading to an increase in vehicle sales. While this growth is spurring the economy, it is also associated with the challenges of minimizing environmental impact.

With more and more people interested in greater mobility, innovative and sustainable solutions are the order of the day. Climate change has brought about stricter requirements for the environmental compatibility of transit today. Traffic of any type must be controlled intelligently and networked, so that the existing infrastructure is used more efficiently and with less impact on climate. Green mobility is the only solution to minimize the environmental impact caused by the transportation sector without impacting the growth momentum.

The last decade has seen a major shift in role of business community in solving some of the world's most complex problems, but urban transport challenges have traditionally been left to the public sector. In India, increasing pressure on urban infrastructure due to rapid population growth and increasing private motorization is driving the need for new solutions in urban mobility. With virtually every country in the world becoming increasingly urbanized, we need solutions that make intermediate, public, and non-motorized modes of transport accessible, affordable, safe, and desirable for all urban residents.


  • The Indian automotive industry's turnover touched US$ 40.6 billion in 2012-13 and is expected to reach US$ 115 billion by 2020-21.
  • The well developed industry acts as a catalyst and gives impetus to the economic growth of the country.
  • With expertise in frugal engineering / concept and software capabilities, India is soon well-poised to become a destination for developing cost-effective green mobility solutions including hybrid and electric vehicles.
  • Great market for developing any kind of mobility solutions, particularly for hybrid / electric vehicles keeping in mind the mass market segment in a cost-effective manner.
  • Electric transport is seen as a lever to reduce crude demand. EV uptake can help reduce overall oil deficit and/or re-direct crude to stimulate energy-intensive export sectors like mining, manufacturing, and agriculture.
  • Municipal governments explored electric-CNG hybrid fleet vehicles to decongest the city traffic.
  • Further increase in fuel prices will strengthen the case for clean mass-transport options and stimulate demand for hybrid /EVs.


  • The Government of India allows 100 per cent FDI in the automotive industry through automatic route.
  • Period of concession extended for specified parts of electric and hybrid vehicles till March 31, 2015.
  • An exemption from BCD (basic custom duty) will be provided to lithium ion automotive battery for manufacture of lithium ion battery packs for supply to manufacturers of hybrid and electric vehicles.
  • India has an ambitious plan of putting five to seven million electric vehicles (EVs) on the road by 2020, under a government-promoted National Electric Mobility Mission (NEMM) announced in 2010.
  • Besides, the fiscal sops like differential excise on the car, the policy is likely to incentivize research and development for the hybrid vehicle.
  • The government in 2012 had announced the approval of Rs 23,000 crore plans for the electric and hybrid vehicle production over the next eight years.
  • The government is expected to give subsidy of around Rs 12,000 crore till 2020.
Green Mobility Xpo Delhi, India, February 2015