It is common knowledge that electric two-wheelers are the greener way to go when it comes to leading a more environmentally sound lifestyle. There are, however, a few drawbacks that are preventing the large-scale adoption of this eco-friendly solution in India. Firstly, much of the population is still in the dark about electric vehicles and their many benefits. Secondly, electric two-wheelers come for a significantly heftier price tag in comparison to their traditional fuel-dependant counterparts.
If you are considering purchasing a new two-wheeler or switch your older one with a newer model, it is advisable that you take a moment to weigh out the advantages and disadvantages of owning an electric bike or scooter and decide accordingly. In this article, we attempt to guide your decision through an in-depth discussion on the state of the electric two-wheeler industry in India and the pros and cons of owning an electric two-wheeler.
Electric Two-Wheelers and Environmental Conscience
There is a reason why electric vehicles are regarded as the future of mobility—they were designed with a strict climate-centric approach and have no significant detrimental impact on the environment. Accounting for approximately 74% of the total on-road vehicles in India, two-wheelers are responsible for a large part of daily toxic emissions in the country. Not only do these emissions contribute greatly to climate change, they also pose a massive threat to public health.
If more people in India were to make the switch to electric bikes or scooters for their daily commute, vehicular emissions could be controlled and curbed to a great extent. Concerns regarding the health impact of particle and CO2 emissions could also be diminished.
Ownership and maintenance costs
Electric two-wheelers come for a significantly higher price than conventional fuel-powered two-wheelers. This is one of the biggest deterrents when it comes to more widespread adoption of this type of electric vehicle. However, it is worth considering that, as the cost of fuel continues to rise steadily, electric bikes and scooters appear to be the more cost-efficient option.
As is, a Morgan Stanley report shows that electric vehicles, in general, have a running cost that is roughly 5% lower than the standard ICE (Internal Combustion Engine) vehicles. As a result, despite the vehicle itself coming for a high price, its annual running costs simply come down to the cost of the electricity unit which is much lesser than a fuel-run vehicle. Owing to fewer moving parts in comparison to a traditional two-wheeler, an electric scooter or bike is also remarkably less demanding with regard to maintenance and service costs. All in all, the cost of ownership of electric two-wheelers is much more lucrative and great value for money.
Additionally, to encourage Indian consumers to opt for electric two-wheelers, the government, in the 2019-20 Union Budget, declared increased deduction of income tax for electric vehicle owners.
Specs and features
Electric scooters and bikes have a lot to offer in terms of specs and features. Most of these two-wheelers come loaded with modern tech features that make riding much more convenient and enjoyable. Digital instrument clusters and Bluetooth connectivity are some such features that make navigation and other functions a breeze. Some electric two-wheelers also show the nearest charging points, a feature that can come in really handy while on the road.
Electric scooters also come in two varieties, regular and low-speed. For the low-speed varieties, the top speed is capped at a maximum of 25 kmph. Riders do not require standard vehicle registration or a driving license to use these scooters, which come with a green notice instead of a number plate.
Early adoption
As it is with most emerging technologies, early adopters may face a few hurdles when purchasing electric bikes and scooters in India. According to 2019 data, of the 6 million scooters sold in India, only 126,000 were of the electric variety. However, early adoption is also beneficial for the market as a whole as the first adopters can act like beta-testers and help iron out current and potential problems for a bright future of the industry. Currently, early adoption rates are just starting to grow as more and more businesses throw their hats into the ring of electric two-wheelers, signaling a coming boom in the near future.
Early adopters also stand the best chance to get an accurate feel for the new market segment and get to enjoy governmental benefits meant specifically to encourage adoption. Of special significance here is the FAME-2 scheme, applicable from 2019 to 2022, which is designed to bring significant subsidisation of electric vehicles including electric two-wheelers with advanced power sources like lithium-ion batteries. The FAME-2 scheme also includes provisions for installing a large number of charging stations so that every tier-1 city has a charger in each 3 sq. km. area and all major national highways have one charger every 25 kms.
Range limitations
The limited range of electric scooters is another reason why riders may be sceptical about purchasing one. The electric bikes and scooters currently available in India offer a maximum range of 60-80 kms on one charge. While the booming EV industry does promise longer ranges, the ones available at the moment may not suffice for some.
Having limited room and thus not being able to accommodate a larger, high-capacity battery, electric two-wheelers are best suited for short commutes.
Charging infrastructure
Contributing to the “range anxiety” many people associate with electric vehicles, the charging infrastructure for electric two-wheelers in India is still fairly rudimentary. While chargers are present in small numbers in tier-1 cities and metros, it can be difficult to find public charging points in most parts of the country. This means that electric two-wheelers while remaining excellent options for small city commutes, remain less than practical for long journeys.
However, the charging infrastructure is set to get a major boost in the coming years; a development that can go a long way in curing “range anxiety” and opening up new opportunities for EV owners. Of special note is the recently announced initiative by Ola Electric, a major player in the segment, of installing 1,000,000 chargers in more than 400 locations across the country in the next five years with an investment of $2 billion.
Verdict
From the points discussed in this article, it is evident that the electric two-wheeler industry in India is teeming with potential. Though there are a few limitations, such as their shorter range and lack of sufficient supporting infrastructure, these hindrances can be very easily overcome as they rise in popularity. With their climate-positive nature and all that these vehicles bring to the table, it is safe to say that they are a worthwhile investment.
