Prominent figures in the Indian electric vehicle industry are hopeful for GST parity for EV batteries used in swapping, lower GST rates on batteries and charging, and an extension of the FAME II subsidy program in the upcoming Interim Budget.
EV sale in India is projected to touch about 27.2 million units by 2032 and with a CAGR of 35 per cent from 2023-2032 under business-as-usual conditions, according to the report.
FAME II SUBSidy Cut E2w Sales Grow: The good part is, e2W manufacturers are adapting to the new subsidy regime by optimising their product portfolio by launching more affordable variants with lower battery sizes, CRISIL head.
The surge in sales happened despite a 25 percent cut in subsidies in May, which resulted in a massive decline in volumes in June. However, the August numbers are lower than the figures prior to the cut in subsidies