The Ministry of Heavy Industries (MHI), in collaboration with the International Council on Clean Transportation (ICCT), hosted a knowledge exchange session on Thursday to strategize the allocation of Rs 500 crore under the PM E-DRIVE Scheme. This initiative, now extending to the truck sector, aims to accelerate India’s shift to electric trucks (e-trucks), advancing the nation’s energy security and climate objectives.
The event, titled India E-Truck Exchange, was held in New Delhi, bringing together stakeholders including Original Equipment Manufacturers (OEMs), logistics providers, and industry leaders. Discussions centered on effectively utilizing funds for e-truck incentives and addressing the urgent need to reduce transportation emissions.
While medium- and heavy-duty trucks account for just 3% of the vehicle fleet, they contribute to 44% of CO₂ emissions, underscoring the critical need for electric alternatives. This initiative aligns with the Supreme Court’s directive to implement a diesel truck replacement policy by January 2024, emphasizing the urgency of transitioning to cleaner transportation solutions.
Kamran Rizvi, Secretary at MHI, emphasised the significance of electric trucks in India’s transport transition, stating, “For electric trucks, the journey has just begun. Let’s make full use of the Rs 500 crore allocated under the PM E-DRIVE for electric trucks.”
Hanif Qureshi, Additional Secretary at MHI, noted the dual impact of electric trucks in reducing fuel costs and improving air quality. He highlighted that the heavy transport sector is responsible for 18% of pollution in India, making electric trucks crucial for creating a cleaner transport network. The goal of the consultation is to develop guidelines to accelerate the adoption of electric trucks.
Amit Bhatt, India Managing Director of ICCT, pointed out the alignment of this effort with global and national environmental goals. According to ICCT research, to achieve net-zero emissions by 2070, India will need to electrify its entire road transport sector, including trucks, between 2045 and 2050.
Sudhendu J. Sinha, Adviser, NITI Aayog (Infra-Connectivity & E-Mobility), stressed the potential of electric trucks in India, stating, “We want to deploy the maximum number of vehicles through this corpus so that the transformation takes place smoothly. Rs 500 crore allocated for electric trucks in the PM E-DRIVE scheme is aimed at kickstarting the revolution.”
The PM Electric Drive Revolution in Innovative Vehicle Enhancement (PM E-DRIVE) scheme has allocated Rs 500 crore for both electric ambulances and trucks, with the goal of reducing reliance on fossil fuels. In addition, the scheme has allocated Rs 2,000 crore for charging infrastructure and Rs 4,391 crore for electric public transport, including over 14,000 electric buses. These measures are aimed at addressing urban pollution and reducing greenhouse gas emissions.
India’s medium- and heavy-duty truck sector, with approximately 4.5 million trucks on the road, accounted for 41% of total oil usage in road transport in 2021. Research by ICCT shows that electric trucks can produce 17%-29% fewer greenhouse gas emissions than diesel trucks when powered by the grid, and up to 83% fewer when using renewable energy. Additionally, electric trucks are 65% more fuel-efficient, resulting in significant cost savings.
In terms of market growth, sales of medium- and heavy-duty trucks in India rose by 26%, reaching 3.6 lakh units in FY23, with heavy-duty trucks representing 80% of this market. The adoption of electric trucks could potentially reduce greenhouse gas emissions by up to 83%, particularly in urban areas like New Delhi, where diesel trucks contribute significantly to air pollution and health concerns.
The adoption of zero-emission trucks, including battery electric trucks (BETs), is essential for India to meet its Paris Agreement targets and the nation’s goal of achieving net-zero emissions by 2070. Research by ICCT indicates that achieving 100% zero-emission truck sales by 2050, ideally by 2045, is necessary to stay on track with global climate commitments.
The PM E-DRIVE Scheme and the India E-Truck Exchange session reflect India’s commitment to advancing sustainable mobility solutions, laying the groundwork for a cleaner and more efficient truck sector that aligns with both national and global climate objectives.
, logistics providers, shippers, and industry leaders. Discussions focused on strategies for leveraging the allocated funds to accelerate e-truck adoption.){kind=link}