How EV Three-Wheelers Are Transforming India's Last-Mile Transportation

Electric three-wheelers are ideal for providing last-mile connections because they provide quick and affordable transportation services.

India, with its rapid urbanisation and increasing population, faces significant challenges in providing efficient and sustainable last-mile transportation solutions. Electric vehicles (EVs) have emerged as a promising alternative, and among them, electric three-wheelers, which occupy more than 28 per cent of space in the EV pie of India, are transforming India's last-mile transportation sector. 

Rapid Urbanisation

India's economic growth is driven by rapid urbanisation, with cities expanding and absorbing neighbouring villages and towns into tier-II and tier-III cities. However, this emigration trend has gravely affected the living conditions of people in urban areas, and poor last-mile connectivity is a challenge for them. Electric three-wheelers are the best last-mile transportation option for the masses in most Indian cities. Electric three-wheelers have become more prevalent in India in recent years, offering low-cost, safety, security, and fun on three wheels. 

Last-Mile Connections

Electric three-wheelers are ideal for providing last-mile connections because they provide quick and affordable transportation services. In India, last-mile transportation is driven solely by economics, making the cost difference significant. The 3-wheeler revolution has become popular in many Indian cities, and with a countrywide push from Indian OEMs, India's 3-wheeler revolution has shown the potential to become a widespread zero-emission option.

EV three-wheelers are also improving last-mile delivery in the business and commercial landscape. The number of EV sales in the current fiscal is expected to grow further, with last-mile logistics service providers expected to contribute more. This shift is a major acceleration for India's electric mobility revolution, as electric vehicles offer a significantly lower cost of operation compared to petrol and diesel. Electric vehicles can cover the same distance as conventional ICE vehicles for last-mile delivery services, making them an excellent business proposition. 

Environmental & Commercial Benefits

Electric vehicles have lower maintenance costs as they have fewer moving parts and do not require frequent oil changes. Additionally, the cost of electricity is typically lower than that of gasoline, resulting in reduced refuelling expenses. With the Indian government's efforts to incentivise EV adoption through subsidies and tax benefits, the ownership cost of EV three-wheelers becomes even more attractive for drivers.

EV three-wheelers are playing a transformative role in India's last-mile transportation by offering a sustainable, cost-effective, and environmentally friendly mode of transportation. The widespread adoption of electric three-wheelers has not only reduced pollution and carbon emissions but also created employment opportunities and improved the livelihoods of many. 

EV three-wheelers offer significant environmental advantages over traditional gasoline-powered counterparts. They produce zero tailpipe emissions, leading to improved air quality and reduced pollution, particularly in densely populated urban areas. By transitioning from conventional vehicles to electric ones, India can significantly reduce its carbon footprint and combat climate change. 

Livelihood Support

EV three-wheelers have had a significant impact on the livelihoods of drivers, especially those in the unorganised sector. They offer an affordable means of transportation for short distances and can be used for goods delivery or passenger transport. As e-rickshaws require less initial investment compared to traditional auto-rickshaws, they have become an accessible option for individuals seeking self-employment or an additional source of income. The availability of electric charging infrastructure has further enhanced the viability of this mode of transportation.

Favourable Infrastructure & Policies

India has been making significant progress in expanding its charging infrastructure to support the growing demand for electric vehicles. Both private and public players are setting up charging stations at strategic locations, including commercial hubs, residential areas, and transportation hubs. The government has also launched initiatives like the FAME (Faster Adoption and Manufacturing of Electric Vehicles) scheme, which aims to establish a widespread charging infrastructure network across the country.

The Indian government has taken proactive measures to promote the adoption of electric vehicles, including EV three-wheelers, through various policies and incentives. The FAME scheme provides financial incentives to buyers, making EVs more affordable. Additionally, the government has set ambitious targets for electrification, aiming to have a significant portion of the country's vehicle fleet running on electricity by 2030. These initiatives encourage manufacturers, investors, and consumers to actively participate in the EV ecosystem, further accelerating the adoption of EV three-wheelers.

India's rapid urbanisation and population growth have led to the adoption of electric vehicles (EVs), particularly electric three-wheelers (EVs), as a sustainable and cost-effective last-mile transportation solution. These vehicles offer quick and affordable transportation services, making them ideal for last-mile connections in Indian cities. The 3-wheeler revolution has become popular in many Indian cities, with a countrywide push from Indian OEMs. EVs also offer lower maintenance costs and lower electricity costs, making them an excellent business proposition. The Indian government's efforts to incentivise EV adoption through subsidies and tax benefits make the ownership cost of EV three-wheelers even more attractive for drivers.

[The author is the Managing Director at Saera Electric Auto Ltd (formerly known as Saera Electric Auto Private Ltd)]

Disclaimer: The opinions, beliefs, and views expressed by the various authors and forum participants on this website are personal and do not reflect the opinions, beliefs, and views of ABP Network Pvt. Ltd.

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