Union Minister Nitin Gadkari on Thursday emphasized the significant growth potential of India’s electric vehicle (EV) market, forecasting it to reach Rs 20 trillion by 2030. This transformation is expected to create around 50 million jobs across the EV ecosystem, from manufacturing to infrastructure development, further boosting the country’s economy and sustainability efforts.
Speaking at the 8th Catalyst Conference on Sustainability of E-Vehicle Industry (Evexpo 2024), Gadkari also projected that the electric vehicle finance market could grow to an estimated Rs 4 trillion by 2030, reflecting the increasing interest in EV adoption and financing.
India’s EV Market Potential: A Booming Industry by 2030
According to Gadkari, the Indian EV market has immense growth prospects. The estimated value of the market could touch Rs 20 trillion by 2030, with the potential to create up to 50 million jobs. This includes roles in manufacturing, research and development, sales, charging infrastructure, and other related sectors.
“We are looking at a Rs 20 trillion potential market by 2030 in the electric vehicle sector, which will generate five crore jobs across the entire EV ecosystem,” Gadkari said, underscoring the importance of sustainable mobility in the country’s economic future.
Tackling Air Pollution and Fossil Fuel Dependence
One of the major drivers behind the push for electric vehicles in India is the urgent need to address air pollution and reduce the country’s reliance on fossil fuel imports. Gadkari pointed out that the transport sector is responsible for nearly 40% of the air pollution in India.
He also highlighted the staggering amount India spends on importing fossil fuels, amounting to Rs 22 trillion annually, a critical economic challenge. Transitioning to electric vehicles could significantly reduce this dependency and contribute to the nation’s goal of achieving energy independence.
India’s Renewable Energy Focus
Gadkari also shared that the government is giving top priority to green energy development, noting that 44% of India’s power now comes from solar energy. He stressed the importance of hydropower, solar power, and biomass-based green power in India’s energy strategy.
“India is focusing on developing renewable sources of energy, and solar power is playing an increasingly important role in this transformation,” he said.
Electric Buses: A Key Focus for India’s EV Growth
The minister noted the shortage of electric buses in India. Currently, the country needs one lakh electric buses, but the manufacturing capacity stands at just 50,000. Gadkari urged manufacturers to expand their production facilities to meet this demand, highlighting it as a timely opportunity for growth in the EV sector.
Commitment to Quality and Innovation in EV Manufacturing
Gadkari emphasized the importance of maintaining high standards in the EV industry. He urged manufacturers to avoid compromising on quality as they scale up production to meet the growing demand for electric vehicles, particularly in the bus segment.
India’s Automobile Industry Growth
Reflecting on India’s overall automobile industry, Gadkari highlighted that when he took charge as Transport Minister in 2014, the industry was valued at Rs 7 trillion. Today, the Indian automobile sector has grown to Rs 22 trillion, making it the third-largest automobile market in the world, surpassing Japan.
The United States and China lead the global automotive industry with respective markets valued at Rs 78 trillion and Rs 47 trillion. Gadkari’s remarks underscore India’s rising stature in the global automobile landscape.
Conclusion
With the push towards electric mobility, India’s electric vehicle sector is poised for monumental growth in the coming years, contributing to environmental sustainability, energy security, and economic expansion. As the government continues to focus on renewable energy and manufacturing capacity, the electric vehicle ecosystem is expected to thrive, creating millions of jobs and accelerating India’s transition towards a greener future.