As the nation awaits Union Finance Minister Nirmala Sitharaman’s presentation of the Interim Budget 2024 on February 1, the automotive industry is poised for significant developments from the Finance Ministry. Anticipating impactful measures, industry experts are particularly focused on a comprehensive policy framework for Electric Vehicles (EVs) and tailored insurance norms.
Hari Kiran, Co-Founder and COO of eBikeGo, expressed eagerness for insights into the GST landscape, especially for entry-level two-wheelers. He highlighted the industry’s expectations for updates on the potential FAME 3 scheme, Production-Linked Incentive (PLI) sops, and revisions to GST for two-wheelers.
Kiran emphasized the need for a comprehensive policy framework addressing licensing, safety standards, and insurance norms tailored for electric vehicles. Additionally, he stressed the importance of localizing battery manufacturing with incentives for battery manufacturing units and a robust supply chain for EV components.
Brajendra Singh Tomar, CEO & Co-founder of Finayo, highlighted the electric vehicle industry’s anticipation for policies that would drive its growth and advance e-mobility objectives. Tomar emphasized the need for sustained backing, including demand-side incentives and tax benefits for electric vehicle purchasers. He also called for substantial funds for the development of charging facilities, especially in Tier II and Tier III cities.
Shashank Donthi, CEO of Hynetic Electronics, shared his outlook, focusing on shifting from carbon dependence to embracing energy-efficient policies, particularly in the energy sector.
He urged the government to channel investments into rural infrastructure and provide incentives for sustainable energy solutions. Donthi emphasized the success of ‘Make In India’ relying on robust infrastructure, streamlined processes for Small and Medium-sized Enterprises (SMEs), and digital means to foster local manufacturing.
Veer Singh, CEO of Lord’s Automotive Pvt. Ltd, highlighted the growth in Electric Vehicle sales and called for budgetary provisions to extend the FAME II scheme, supporting EV growth. Singh expressed optimism, noting the government’s favorable policies and regulatory norms for the automotive industry.
Abhinav Kalia, CEO and Co-Founder of ARC Electric, echoed the optimism surrounding Budget 2024, emphasizing the government’s instrumental role in driving industry development through subsidies, tax cuts, and collaborations. With expectations of the EV market growing by over 100% in 2024, Kalia looks forward to continued support in the upcoming budget.