According to Reuters, the Indian state of Maharashtra will offer additional incentives to companies such as Amazon.com Inc and Uber to completely electrify their delivery trucks ahead of a 2025 target for better air quality.
Maharashtra, one of the wealthiest states of India and home to the country's financial capital of Mumbai, is a key market for e-commerce, ride-hailing, and food delivery services. It established a goal for such enterprises to electrify 25 per cent of their fleet by 2025 last year.
In an interview with Reuters, state minister Aaditya Thackeray said that the government now intends to accelerate the aim by granting corporations additional incentives for mass purchases of electric vehicles (EVs).
"We are trying to be on the earlier side of 2025 and see if companies can get certain more incentives and move sooner. This not only benefits us in terms of cleaner air but also benefits them in terms of economies and their revenue models," he said.
Amazon, Uber, Walmart's Flipkart, Softbank Group-backed transportation business Ola, and food-delivery companies Zomato and Swiggy are among the firms the state is likely to approach in the coming month.
The effort comes only weeks after India's capital, New Delhi, announced harsh draught guidelines requiring corporations to have a specific percentage of their new fleet be electric in order to obtain a licence.
The Maharashtra government has yet to make its offer to the firms, and Amazon, Flipkart, Uber, Ola, Zomato, and Swiggy did not react to Reuters' questions regarding the prospect of hastening the electrification process.
Amazon, Flipkart, Zomato, and Swiggy have all set EV ambitions for 2025 and 2030, while Uber is collaborating with electric vehicle businesses to electrify its fleet.
However, some industry executives could be concerned about the suggestion to move the deadline ahead, fearing that a big shift to electric vehicles will be costly due to a shortage of affordable, long-range vehicles and inadequate charging infrastructure.
"When one state makes such a move it becomes a template for others to follow without fully understanding the business implications," said an executive with a fleet company who declined to be identified.
Thackeray, who is in charge of Maharashtra's broader climate-change program, says he is conscious of the hurdles and is working to make the state a major EV maker.
Domestic carmakers like Tata Motors, which will invest in creating additional EVs, as well as global giants like Mercedes-Benz, which will construct its luxury electric vehicle there, already call the state home.
Maharashtra provides some of the most generous tax breaks to electric vehicle makers and customers of any Indian state. In Mumbai, it is also constructing a network of charging stations along roads and in government-owned parking lots.
Thackeray wants to switch public transportation to clean fuels and has ordered government organizations to switch to electric vehicles. He's also met with investors to discuss how to increase investment in clean transportation and energy.
"This whole shift towards a green economy ... it is a huge economic revolution. There is a lot of gain in terms of revenues for the country, profit for corporates, and jobs for private individuals," he said.
(Source:www.livemint.com)
Maharashtra, one of the wealthiest states of India and home to the country's financial capital of Mumbai, is a key market for e-commerce, ride-hailing, and food delivery services. It established a goal for such enterprises to electrify 25 per cent of their fleet by 2025 last year.
In an interview with Reuters, state minister Aaditya Thackeray said that the government now intends to accelerate the aim by granting corporations additional incentives for mass purchases of electric vehicles (EVs).
"We are trying to be on the earlier side of 2025 and see if companies can get certain more incentives and move sooner. This not only benefits us in terms of cleaner air but also benefits them in terms of economies and their revenue models," he said.
Amazon, Uber, Walmart's Flipkart, Softbank Group-backed transportation business Ola, and food-delivery companies Zomato and Swiggy are among the firms the state is likely to approach in the coming month.
The effort comes only weeks after India's capital, New Delhi, announced harsh draught guidelines requiring corporations to have a specific percentage of their new fleet be electric in order to obtain a licence.
The Maharashtra government has yet to make its offer to the firms, and Amazon, Flipkart, Uber, Ola, Zomato, and Swiggy did not react to Reuters' questions regarding the prospect of hastening the electrification process.
Amazon, Flipkart, Zomato, and Swiggy have all set EV ambitions for 2025 and 2030, while Uber is collaborating with electric vehicle businesses to electrify its fleet.
However, some industry executives could be concerned about the suggestion to move the deadline ahead, fearing that a big shift to electric vehicles will be costly due to a shortage of affordable, long-range vehicles and inadequate charging infrastructure.
"When one state makes such a move it becomes a template for others to follow without fully understanding the business implications," said an executive with a fleet company who declined to be identified.
Thackeray, who is in charge of Maharashtra's broader climate-change program, says he is conscious of the hurdles and is working to make the state a major EV maker.
Domestic carmakers like Tata Motors, which will invest in creating additional EVs, as well as global giants like Mercedes-Benz, which will construct its luxury electric vehicle there, already call the state home.
Maharashtra provides some of the most generous tax breaks to electric vehicle makers and customers of any Indian state. In Mumbai, it is also constructing a network of charging stations along roads and in government-owned parking lots.
Thackeray wants to switch public transportation to clean fuels and has ordered government organizations to switch to electric vehicles. He's also met with investors to discuss how to increase investment in clean transportation and energy.
"This whole shift towards a green economy ... it is a huge economic revolution. There is a lot of gain in terms of revenues for the country, profit for corporates, and jobs for private individuals," he said.
(Source:www.livemint.com)
