Stepping Up EV Production in India

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(Source: Page 6, Editorial, The Hindu (2 July 2025))

Also Read: The Indian Express Editorial Analysis: 02 July 2025
Also Read: The Hindu Editorial Analysis: 02 July 2025

Topic: GS Paper 3: Economy, Infrastructure, Environment
Context
  • As global climate targets grow stringent and oil dependency becomes risky, India is ramping up electric vehicle (EV) production to meet domestic demand and environmental obligations.

  • Background:

    • India targets 30% EV penetration by 2030.

    • The FAME (Faster Adoption and Manufacturing of Electric Vehicles) scheme has been extended and strengthened.

  • Challenges:

    • Inadequate charging infrastructure.

    • Dependency on Chinese battery supply chains.

    • High upfront costs for EVs.

  • Government Initiatives:

    • PLI scheme for ACC battery storage.

    • State-level subsidies (e.g., Delhi, Maharashtra).

    • Encouraging local manufacturing and R&D.

  • Strategic Importance:

    • Reducing oil imports, improving energy security.

    • Contributing to climate commitments under the Paris Agreement.

    • Boosting manufacturing and creating green jobs.

Conclusion/Way Forward:

  • Build a robust charging network.

  • Create a circular economy for battery recycling.

  • Enhance collaboration between Centre and States.

  • Invest in skilling and reskilling of workforce for EV transition.

Practice Question: (GS-3 | 15 Marks | 250 Words)
Discuss the economic and environmental significance of electric vehicle adoption in India. Examine the key challenges and policy measures undertaken to promote EVs.

 

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