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- Goyal Endorses Hybrids as Crucial for India’s EV Transition, Welcomes Global Automakers
In an era when electric vehicles (EVs) are gaining popularity, India's Union Minister for Commerce and Industries, Piyush Goyal, has openly supported hybrid powertrains as feasible and necessary transition vehicles. Goyal reflected on his shifting views, saying, "I was against hybrids, but I changed my mind." He stated that additional research into plug-in hybrids (PHEVs) demonstrated their potential in resolving common customer concerns such as range anxiety and fuel reliance, providing a medium ground in India's march towards electrification.
Goyal highlighted the functionality of PHEVs, stating that these vehicles combine an electric motor with an external power source, reducing overall fuel usage while addressing concerns about inadequate charging infrastructure—a fundamental impediment to India's mass EV adoption.
The market data appears to back up this claim. According to JATO Dynamics India, hybrid vehicle sales, including plug-in and strong hybrid models, increased by 27% from January to July 2024, to 51,897 units from 40,811 units the previous year. This increase demonstrates a growing consumer interest in hybrid solutions as a bridge to completely electric vehicles.
However, Goyal's position differs with that of G20 Sherpa Amitabh Kant, who earlier classified hybrid vehicles as only an "intermediate stage" on the path to full electrification. Despite this contrast in strategy, Goyal's backing for hybrid technology appears to be aimed at providing consumers with more diverse options as infrastructure for pure EVs develops.
Goyal also highlighted his commitment to forging global relationships with electric vehicle makers, giving an open welcome to foreign firms such as Tesla to establish manufacturing plants in India. "We will be very glad to welcome all firms from across the world to come and invest in India, to manufacture electric vehicles here," he said, emphasising the government's goal of establishing India as a major player in sustainable mobility.
The minister urged automakers to accelerate their electrification plans, aligning them with India's broader climate goals for net-zero transitions by 2030-2035. He cited government initiatives such as the EV Policy and the PM e-Bus Seva Yojana as further evidence of the country's commitment to a low-carbon economy. "On a total cost of ownership, it just does not make sense to buy anything but an electric vehicle," he said.
Goyal also expressed confidence in India's future collaboration with the United States under the newly elected administration, saying, "I am sure we will work very well with the (Donald) Trump administration," highlighting the potential for strengthened diplomatic and economic relations that support sustainable development.
Goyal's support for hybrids in the face of the country's lofty EV ambitions displays a balanced approach that recognises India's specific automotive demands while promoting progress towards a more sustainable future.