Electrify, from the top

NEW DELHI: Keen to drive the State on the green route, the government recently held a meeting with private and omnibus operators during which they were urged to move to electric vehicles. The move is timely, given the renewed interest in cutting down carbon emissions. The TN Electric Vehicle Policy, 2019, has estimated that there would be about 9.8 crore vehicles in the State by 2030, and envisages 30% of them being electric. But there still are a few aspects to factor in before asking the private sector to switch.

Unlike the past years when electric vehicles were a niche area that only the uber-rich could afford, there is a great interest among the common public for EVs. Most EVs are costlier than the existing internal combustion engine (ICE) models, but the impression among the masses is that the additional cost is justified, as the fuel price is rising frequently.

But customer interest can only go a certain distance when there are cheaper options available. What is required is policy and infrastructure support. The bus operators submitted a representation, which put forth some key demands: fast-charging facilities on all highways; long-term service support from battery manufacturers; waiver on bus permit fees and road tax for EVs, which ends on Dec 30, by five more years; and capital incentives to a maximum of 25%.

Given how the existing battery technology can ensure only so much range per charge, charging infrastructure is among the most crucial support that individuals and the private sector require to switch to electric. Ensuring adequate number of charging docks will entail massive investment, which should come from the public sector and private behemoths. The oil marketing companies like Indian Oil Corporation have already been putting facilities in place. What is required is to have such docks at all petrol pumps.

Within urban centres where land is a premium, private firms and individual businesses may find the cost prohibitive. That is where the largest landowner, the government, could play a role. Wherever possible, the State and local governments can earmark space to set up charging stations. Among the other demands, offering a waiver on permit fees and road tax is within the purview of the government. It would mean a loss of potential revenue, but the larger advantage that would accrue from the move would offset that.

Another key aspect that the government should do is to walk the talk. If it is keen to nudge the private sector into adopting electric vehicles, the government should first take it up on itself to make that switch. A case in point is the tender floated to procure 1,771 buses, including 402 buses for MTC. From the latter, 25% (100 buses) could be electric vehicles. Such a policy decision would make sure that the charging infrastructure is available at all MTC depots, and, more importantly, a monthly performance assessment would make clear the advantages and challenges in making that switch.

The potential benefit is huge. For instance, the GCC and the firms that have taken garbage collection contracts have been using electric three-wheelers, which would cut emissions by at least 3,000 MT annually. Switching to a less polluting energy source is the need of the hour. But before coaxing and prodding the private sector which has a lot more to lose, it is important that the government takes the lead in showing it the way.