Reaching full charge: the need for a policy reset for India’s electric two-wheeler industry

The electric two-wheeler segment represents a unique opportunity for India to become a global leader in the green technology space. The growth of this segment in the country is being driven by strong policy support, combined with homegrown engineering and innovation. However, the industry has yet to fully harness the global electric vehicle (EV) opportunity, and policy uncertainties are impeding innovation and investment.
This brief makes a case for a policy reset for the India’s electric two-wheeler industry and proposes a roadmap of action. Three broad ideas are highlighted: rapid and fair resolution to existing disputes associated with the FAME scheme; development of a deliberative growth strategy for the segment; and the need to centre innovation as a pillar of indigenisation efforts.