Budget 2021 | 'Scrappage policy will help in adoption of electric vehicles'

By Sohinder Gill

We thank the honourable Finance Minister Nirmala Sitharaman for announcing the scrappage policy, which would help in encouraging the adoption of greener vehicles.

Though we are awaiting more details on the policy, we hope that it would be designed in such a way that would automatically push the adoption of electric vehicles.

For clean air, setting aside an amount of Rs 2,217 crores for 42 urban centres with a million-plus population is a good move. The fund could be utilised to spread awareness about the benefits of using e-vehicles to the environment and its contribution to make the air clean.

The government’s plan for strengthening the public transport sector under PPP models with an outlay of Rs 18,000 crores for operating 20,000 buses is encouraging for the EV industry.

The scheme could strengthen the EV industry if more e-buses could be supported through the scheme. We urge the government to mandate procurement of e-buses under the scheme which would help us fight the issue of air pollution.

(The author is Director General, Society of Manufacturers of Electric Vehicles)