Electric vehicle registrations in India witnessed a 16 per cent growth in H1 in 2024 year-on-year.
According to Vahan data, which tracks vehicle registrations in the country, 8,42,396 electric vehicles were registered between January and June 2024, whereas 7,23,492 electric vehicles were registered during the same period in 2023.
Further, retail sales of passenger electric vehicles in June reported a year-on-year decline of 1.3 per cent while the month-on-month share declined from 2.5 per cent in May to 2.4 per cent in June.
“As we look forward to the coming months, the steady progress of the monsoon and the government’s favourable policies towards green technologies are expected to further boost the electric vehicle market. FADA remains committed to supporting this transition towards sustainable mobility and will continue to promote eco-friendly practices across the auto retail industry,” said Manish Raj Singhania, president of the Federation of Automobile Dealers Association (FADA).
e2w segment
The electric two-wheeler segment saw 11 per cent growth during H1 in 2024. 4,83,252 two-wheelers were registered between January and June 2024, while 4,35,198 were registered during the same period in 2023.
“The government’s focus on promoting electric vehicles through various initiatives (including PLI) will continue to drive electric vehicle adoption over the medium term. ICRA expects penetration of e-2Ws to inch to 6-8 per cent in the overall industry by FY25, compared to approximately 5 per cent at present,” said Shamsher Dewan, Senior Vice President and Group Head, Corporate Ratings, ICRA.
While a year-on-year uptick was reported in H1, after the withdrawal of the FAME 2 subsidy in March that resulted in the increase in electric two-wheeler prices, a decline in registrations was witnessed; in February, 82,563 two-wheelers were registered; in March, 1,37,088 were registered; in April, 64,454; in May, 63,954; and in June, 53,108 electric two-wheelers were registered.
“Enabling policies both, at a national and state level have made the environment conducive to e-mobility in India, helping drive towards its goal of achieving 30 per cent electrification of the country’s vehicle fleet by 2030. Growth in EVs is expected to continue for the rest of the decade, with 2Ws and 3Ws sales expected to dominate other segments. EV adoption is expected to see an inflection point once all vehicle segments show significant ownership savings over ICE vehicles,” mentions a KPMG report on electric vehicles.