Electric vehicle adoption in India is on an upward trajectory since the past few years. The consumers however, are still not very confident about opting for an EV. A new study says that it might take two more years for the market to develop this confidence in the battery powered vehicles.
A new study by lubricants major Castrol hints that most consumers in India would consider buying an electric vehicle by 2022. Although, it also suggests that it won＊t be until 2025 that the majority of new cars in the market are electric.
A big deterrent for EVs at present is their high price point in the country. The study points out that the consumers in India are seeking a lower price point for EVs than in other countries. While the average price point for EVs around the globe stands at USD 36,000 (~ Rs 27 lakh), Indian consumers want it to be around Rs 23 lakh (USD 31,000).
Other ＆tipping points＊ for an increased adoption would include a range of 400 plus kilometers and a charge time of around 35 minutes for the same. The parameters were recorded from the response of over 1,000 consumers, fleet managers and industry specialists across India. The records were a part of a survey of nearly 10,000 people across eight important EV markets of the world.
In comparison to other markets surveyed, Indians are more keen to opt for an electric vehicle. While the global average suggested that the buyers would opt for EVs by 2024, an average Indian consumer would consider the same by 2022.
For now though, around two thirds (67 percent) of consumers in India said they are adopting a "wait and see" approach. A similar strategy is being followed by fleet managers, as over 40 percent of them said they are waiting for competitors to make the switch before they do.
Surprisingly, a misconception about higher maintenance cost of EVs was cited as the reason by 83 percent of Indian consumers to not buy a fully electric car.
Another deterrent was highlighted to be the charging time for EV batteries. Consumers in India said that they require an average charging time of 35 minutes to consider purchasing an EV.
"Nearly three quarters (72 per cent) of those questioned believe EVs will only dominate on the roads once they can charge in a similar amount of time as it takes to refuel an internal combustion engine (ICE) vehicle," the report added.
The report also mentioned 'range anxiety' to be real, stating 64 percent of Indian drivers agreed it to be a significant barrier to mainstream EV adoption. "On an average, they expect a range of 401 km (from a single charge), approximately equivalent to the distance between Ahmedabad and Indore," it said.
Commenting on the findings, Castrol India MD Sandeep Sangwan said, "Although consumers in India are seeking a lower price point than consumers in other countries, they are also willing to accept a slightly longer charge time and a slightly shorter range.§
(With inputs from PTI)