Industry Captains Speak on interim Union Budget vision

Transformative Reforms for EV Industry and Renewable Energy Integration

Mr. Nikhil Bhatia, Co-Founder & Chief Strategy Officer – HOP Electric Mobility: 

"As anticipation builds for the upcoming finance budget, the electric vehicle (EV) industry is poised for transformative reforms. Advocating for a streamlined Production-Linked Incentive (PLI) scheme, stakeholders seek clarity in provisions to encourage investment and growth. The call extends to widening the scope of the FAME II scheme, fostering innovation in diverse EV segments.
A crucial focus lies on incentivizing in-bound technology transfer and manufacturing capabilities, positioning India as a global EV technology hub. Anticipating the central role of lithium-ion batteries, we urge GST reform for increased cost-competitiveness. Charging infrastructure development, especially through public-private partnerships, is deemed pivotal for accelerated EV adoption.
Moreover, the promotion of universal battery charging and swapping infrastructure aims to simplify the user experience and standardize EV charging. The forthcoming budget is anticipated to lay the foundation for a sustainable, technology-driven future in Indian mobility, aligning with global EV trends."

Mr. Sameer Aggarwal, CEO & Founder - Revfin Services :

"Embracing a sustainable future requires bold steps, and in the upcoming budget, I advocate for a visionary approach towards renewable energy adoption. Investing in renewable energy infrastructure is not just an environmental imperative; it's an economic opportunity that can power our nation forward.
In the drive towards a greener tomorrow, the government can catalyze change by incentivizing renewable energy projects and R&D initiatives. By allocating resources to enhance solar and wind power capacities, we not only reduce our carbon footprint but also fortify our energy security.
Crucially, as the electric vehicle revolution gains momentum, integrating renewable energy into the national grid becomes paramount. A strategic allocation in the budget for renewable energy will not only power homes but also fuel the burgeoning electric vehicle segment. By creating an ecosystem where clean energy sources power our transportation, we pave the way for a sustainable and resilient future.
We envision a budget that aligns economic growth with environmental responsibility, driving the nation towards a future where renewable energy propels both our homes and our vehicles. It's not just an investment in power; it's an investment in a cleaner, brighter tomorrow for generations to come."

Mr. Mayank Bindal, Founder & CEO, Snap E Cabs:

“One of the most anticipated schemes to be continued is the FAME II subsidy (Faster Adoption & Manufacturing Electric Vehicles). This subsidy was announced in 2019 having a validity for 3 years. It is expected that the govt will continue this for the next few years in response to decarbonising the environment and achieve the targets of net 0 goals.

Along with this, there is a proposal to reduce the GST on the Li-ion batteries from 18% to 5% overall, reducing the cost of acquiring EV's. Since batteries are a major cost component in EV's, the move to reduce the cost of batteries will make the product more lucrative for buyers.

Over the past 5 years the government has focused a lot on building strong infrastructure. It is expected to continue improving and make efficient investments in energy, especially green energy and sustainable energy. The focus is on transitioning from carbon dependent to energy efficient policies. The new transport policies being adopted by the state govt is a testament to this shift. Many state transport authorities have announced the conversion of Petrol/Diesel cabs be converted into EV's by the end of this decade.

We look forward to EV financing getting priority sector lending status as the government's ambitious target of 30% penetration to be achieved by 2023.”

Mr.Vaibhav Roongta, Chief Business Officer - Rays Power Infra Pvt. Ltd.

"Recognizing the forthcoming interim budget leading up to elections, will be for a short period, the role of strategic budgetary allocations will be crucial in paving the way for future provisions that can accelerate the growth of the renewable energy sector. In line with India's goal of achieving 500 GW of non-fossil energy by 2030 from the current capacity at 179.5 GW, there's an opportunity to incentivise the shift to sustainable energy." 

"Financial incentives such as tax credits, grants, and subsidies should be enhanced to make renewable energy solutions more economically viable for consumers and businesses alike. This can significantly reduce the initial investment barriers and accelerate the uptake of solar, wind, and other clean energy technologies."

"Addressing India's dependence on solar panel imports, which reached $1.13 billion in the first half of the current financial year, is a pressing concern. Therefore, the budget should incorporate measures to promote indigenous development, facilitate technology transfer, and incentivize localized manufacturing initiatives to conserve foreign exchange. More proactive measures and fiscal incentives should be provided and efficiently implemented for making India a  BESS manufacturing and R&D hub." 

"Furthermore, we stress the importance of establishing a long term and stable regulatory framework that streamlines approval processes for large-scale projects, open access projects, implement efficient net metering policies, and ensure seamless integration of renewable sources into the existing grid infrastructure. Collaboration between public and private entities is paramount to building a sustainable energy ecosystem that benefits both the economy and the environment"