India Aims For Self-Reliance In Electric Vehicle Ecosystem With Rs 14,000 Crore Programme

The Narendra Modi-led National Democratic Alliance (NDA) government is prioritising self-reliance in the electric vehicle (EV) sector by reducing dependence on China-led supply chains.

Abhay Karandikar, secretary of the department of science and technology and chief executive of the Anusandhan National Research Foundation (ANRF), shared that a major initiative has been launched to develop indigenous technology for EVs.

The programme focuses on three key areas: battery technologies, power electronics, and charging infrastructure.

The ANRF, established through the ANRF Act 2023, is mandated to drive innovation, research and development (R&D), and entrepreneurship in various fields.

The foundation's board, led by Prime Minister Narendra Modi, provides strategic direction for the country’s innovation landscape. Karandikar highlighted that the goal is to build a homegrown ecosystem to manufacture EV components, reducing reliance on imports from countries like China.

The government has set ambitious targets for EV adoption, aiming for 30 per cent of private cars, 70 per cent of commercial vehicles, 40 per cent of buses, and 80 per cent of two-wheelers and three-wheelers to be electric by 2030. This would result in 80 million EVs on Indian roads by the same year.

The Indian EV battery market is projected to reach $27.70 billion by 2028, with a corresponding demand for 1.32 million charging stations by 2030.

To support this, the government has allocated Rs 14,000 crore for the next five years to fund R&D, with an annual budget of Rs 2,000-2,800 crore.

Karandikar added that the foundation plans to develop battery technology components within the next three years, while long-term goals focus on innovations in charging infrastructure and power electronics.

The government is encouraging industry-academia partnerships for R&D funding, with the industry contributing at least 10 per cent of the costs to ensure active involvement. Karandikar believes that this transformative programme will significantly boost India’s EV capabilities.