The Electric Vehicles (EVs) segment in India is likely to see investments to the tune of USD 12.6 billion (Rs 94,000 crore) across the automotive value chain, over the next five years, according to a report by consultancy firm Colliers.
The report titled ‘Electric Mobility in Full Gear’, says Tamil Nadu is the frontrunner accounting for around 34 per cent share in total planned investments for EV, followed by Andhra Pradesh and Haryana with a share of 12 per cent and 9 per cent respectively. Collier estimats the country will require about 26,800 public charging spots by 2025, requiring space of about 13.5 mn sq ft. Landlords can outsource dedicated charging stations to charging service providers at busy locations. They can also enter into a revenue share model with charging service providers, the report adds.
Currently, 15 Indian States have either approved or notified EV policies, with six more states in the draft stage. States like Delhi, Gujarat, Maharashtra, and Meghalaya are focusing on demand incentives, whereas southern states and Uttar Pradesh are focusing on manufacturer-based incentives. States like Maharashtra, Delhi and Gujarat having strong demand side incentives should have provisions to set up industrial parks/clusters for EV or manufacturing of ancillary components with plug-and-play.
Ramesh Nair, CEO, India & MD, market development, Asia, Colliers, said: “Government’s target of 30 percent electric vehicle sales by 2030 is an ambitious, but an achievable goal. In India, the transport sector is currently the third largest emitter of CO2. So, EVs can be a game changer. Real estate players can tap into the opportunity for manufacturing, warehousing, charging stations and dealerships of EVs. The government has a conservative scenario of manufacturing 110 GWh of EV batteries by 2030. This can spawn manufacturing requirements of about 1,300 acres of land pan-India.”