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Subject

India's plans to electrify its vehicle fleet.

Significance

On October 4, the Indian state-run agency Energy Efficiency Services said it would add Mahindra and Mahindra to Tata Motors as the winning bidder of a tender to supply it with 10,000 electric vehicles (EVs). The government is making the purchases to kick-start a plan envisioning that only EVs would be sold in India by 2030. This would exceed OECD countries by at least a decade, although India faces significant challenges in creating the infrastructure to support such an ambitious target.

Impacts

If coal is used to electrify the vehicle fleet, India’s EV plans may conflict with its Paris climate accord obligations.

There may be an increase in local regulations for curbing air pollution and limiting the sale of petrol and diesel cars.

India may step up plans to electrify the railways.

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