Noida resident Ashish Mehrotra is mulling buying an electric car. It has obvious advantages—a smoother drive, lower running costs, tax benefits, and is environment-friendly. “But, I’m skeptical, especially about charging the vehicle. I can do it at home from an AC socket, but it’s a slow process; takes almost 24 hours. The company installs wall box chargers for free, which is a faster process. But it would still take up to six hours for the battery to reach 80 percent charge,” says the 37-year-old entrepreneur, who runs a home medicare startup. As per the Indian government’s vision, EV charging stations must be installed every three km in cities, and every 25 km on highways on both sides.
“A mid-level Nexon EV will cost me around Rs 16 lakh—more than what a high-end traditional petrol or diesel car (internal combustion engine, or ICE as they are called) of the same brand will cost. Even when I pay so much, long drives will be dicey, because the car—though officially claiming a mileage of 400-plus km on a single cycle of charge—will probably run a maximum of 250 km. That rules out inter-state travel,” says Mehrotra, who wants to be part of the woke club riding the trend of green living. If only, he was in Detroit. The US city is trying out a novel way of charging EVs by placing a network of inductive-charging coils under the street surface—your car charges as it is being driven.
Historically, humans have been obsessed with fads. Once, doctors prescribed mercury to patients who died agonizing deaths. Victorian London laid lead pipes for drinking water, inadvertently poisoning thousands, including children. In the 1920s, cigarette companies featured doctors in their ads. The fear of pollution-led diseases and deaths, and eco-activists are the 21st century’s champions of the movement against fossil fuels. As the electric vehicle gains popularity, and makes Elon Musk richer and governments fall in love with it, the EV has become India’s latest automotive craze.
India Electric Vehicle Report 2023 notes that EVs could make up more than 40 percent of India’s automotive market and generate over $100 billion of revenue by 2030. They accounted for about 5 percent of total vehicle sales between October 2022 and September 2023; the market is projected to reach more than 40 percent penetration by 2030, in both two-wheeler and three-wheeler categories. In the West, where it all began, however, the story is different. The EV bubble has burst. Between 2019 and 2021, the combined market capitalization of Nikola, Fisker, Rivian Automotive, Lucid, NIO, XPeng, Polestar Automotive, Canoo, and Lordstown Motors was about $470 billion. Now, it is just about $59 billion—an 87 percent fall. The top profitable EV makers—Tesla, BYD, and Li Auto—saw their peak market capitalizations dive from $1.4 trillion in the same period to about $900 billion. Musk’s coffers will expand after the Indian government’s lower taxation rate on EVs comes into effect; a good break for his company’s pricey models. US investors and fund managers think Tesla will export only about 2.2 million units in 2024; A 5 percent fall from 2023 a nose dive, considering its 50 percent average annual growth from 2020 to 2023. Tesla hasn’t launched a new model since 2020.
What is wrong with Electric vehicles?
● The Indian consumer is more cost-conscious than eco-conscious. The EV batteries don’t last longer than eight years and are pricier than an ICE vehicle. For example, the cost of replacing a Tata Nexon EV’s battery ranges between Rs 5 lakh and Rs 5.5 lakh.
● EVs don’t always get it right. The first batch is the worst with yet-to-be-expected glitches popping up along the way. To meet high customer expectations, companies have to constantly upgrade the vehicle, which is expensive. The cost will be passed on to the owner.
● Range anxiety is a widespread concern because of the huge difference between the promised and real mileages, especially with cars loaded with luggage. An official from Mercedes-Benz Research and Development India says, “Range anxiety has been considered one of the biggest hindrances to EV adoption.”
● EVs are environmentally unfriendly in the sense that electricity is generated by burning fossil fuels; which sort of defeats the purpose. The more their number, the more the pressure on the power grids.
● Moreover, most charging stations are operated with a diesel generator.
● Though the instant torque in EVs is quicker—it reaches 1-100 kmph faster than an ICE—maintaining top speed is harder.
● Since EVs are still at a nascent stage in India, there are fewer trained and dedicated personnel for the maintenance of the vehicle. Servicing and spare parts costs are higher for EVs. Mechanical and breakdown infrastructure for EVs is largely nonexistent.
● India’s varying temperatures across regions affect battery performance.
Powering Through
India is in love with EVs. The industry is projected to become a $266-billion market by 2030. It currently boasts around three million registered EVs. Between January and July 2023, sales shot up by 131 percent. In contrast, ICE vehicles recorded a mere 5 percent growth. Approximately 7,500 electric cars are sold each month. “EVs last longer due to fewer moving parts and because their batteries can be charged for over 2,000-3,000 cycles, translating to an impressive driving distance of 3-9 lakh km on the road. The longer life of an EV is also a positive for the environment. The government’s clear roadmap and initiatives towards greening the power grid will lead to further reduction of CO2 emissions while using an EV,” says a Tata Motors spokesperson. But the downside of the electric battery is being played down.
A recently published study led by an Australian scientist labels lithium as an “emerging environmental contaminant”. They have found increasing levels of lithium pollution in plants and organisms; the side effects are unknown till now. There is no effective process to reverse the cobalt contamination of soil, which is dangerous to humans. “Batteries lose power over the years. So, say in a couple of years, an EV, which can do 300 km on one charge, may go down to 150 km per charge cycle. This capacity will go on diminishing until the battery is replaced, which may push the owner back by `5 lakh or more. The way forward is to install public charging stations equipped with recharged batteries that can be exchanged with drained ones,” argues Kshitij Tandon, a Delhi-based automobile engineer. If experts are to be believed, studies and R&D will soon push out lithium-ion batteries. The evolving hydrogen technology may emerge as a better and greener option.
The Green Paradox
The EV isn’t the magic bullet to turn driving green. The biggest cause of concern is the heart of the EV—the lithium-ion (Li-ion) battery. Its problems are two-pronged: high carbon footprint during manufacturing, and disposal at the end of life. Since its introduction in 1991 by Sony Corporation, Li-ion batteries power everything from smartphones to cars. India currently imports all its lithium from Australia and Argentina. Though the mineral is the third-most common element on earth after hydrogen and helium, it is not easily mined. The extraction process takes anywhere from 10 to 24 months.
To pull out every tonne of lithium requires 5,00,000 liters each of fresh water, which is pumped into the mines to bubble up a mush, which is left in the open to evaporate. Unfortunately, most of these mines are located in drought-prone areas such as Argentina, Bolivia, and Chile. The lithium mined after the evaporation leaves behind toxic fumes and waste, which will take centuries to clear on their own. It also seeps into the earth contaminating ground water and ecosystems.
The process of mining, refining, and transportation adds to a rise in greenhouse gases. Its limited availability adds to the overall price of the EV. Musk recently tweeted about this problem: “Price of lithium has gone to insane levels! Tesla might have to get into the mining and refining directly at scale unless costs improve.” Meanwhile, a Maruti spokesperson has a different take. He explains that when a battery reaches its end of useful life, it is still usable for a second-life application, and its performance is suitable for smaller mobility solutions (two-wheeler and three-wheeler vehicles, golf carts, forklifts, etc.). It will also be useful for stationery storage applications (microgrid applications, commercial UPS, and cell-tower backup power sources, among others).
When damaged, 98 percent of EV batteries end up in landfills. When the battery health reaches a stage where it can’t be used efficiently, or it gets damaged in an accident, it is handed over to authorized recyclers, who will extract different materials to produce fresh cells. But is there a way to find out if these ‘authorized recyclers’ will dispose of the dead battery ethically? “An EV is almost twice as environment-unfriendly as an ICE-car,” says Pune-based environmentalist Soumit Sen. Cobalt is an integral material in Li-on batteries to increase driving range and performance. Its extraction method, however, raises ethical questions. Seventy percent of the world’s cobalt reserves are in the Democratic Republic of Congo, one of the globe’s poorest countries, where children, as young as four, are involved in mining, akin to slavery. Being extracted through smelting, it emits sulfur oxide.
The EV is a carbon polluter, too. One hundred and fifty kgs of CO2 are released into the atmosphere to produce every unit of energy, which supports just one hour of battery life. Manufacturing an entire petrol or diesel car releases only about 7-10 tonnes of CO2, while a total of 16-19 tonnes of CO2 are emitted in the manufacture of each EV. Then, there is the question of coal, which fuels power grids across the world. It is from these power grids that EVs draw their charge. “Coal is a critical factor, especially for a country like India, where electricity is generated through fossil fuels,” says Sen.
A coal-fired power station emits 800-850 grams of CO2 per kWh. In this scenario, climate benefits won’t be great. “One of the key concerns is the high share of conventional fuel-based electricity or high-grid emission factor powering EVs. A slight improvement in the efficiency of the thermal power plants has the potential to wipe out the negative burden,” says Sharif Qamar, Associate Director, Transport & Urban Governance Division, TERI. Then, there is the case of tire pollution. Since EVs are heavier than ICEs—thanks to the weight of the batteries—it leads to a faster rate of deterioration for the tires. This additionally poses a danger to human health. A degrading tire in a landfill leads to its nanoparticles entering human bodies and giving rise to severe health hazards such as respiratory problems, and neurological and kidney damage.
Range Roving
Currently, there are over 7,000 publically available chargers in India. In Delhi, due to lower commercial costs, charging an EV at a public station is cheaper than charging it at home. But, that’s not an option in other states where charging stations are far and few in between. Besides, with people living in gated communities, the car is parked in a slot as per the society's rules: installing a charging station may not be permitted. A Maruti Suzuki India spokesperson says, “We need more charging stations.
While the government is subsidizing EV-buying with tax relief, what is the point of investing in the car, if proper charging is not made accessible? In the next couple of years, we are planning to launch many EV variants. Our R&D is working on amping up the battery life.” EV charging is an ever-evolving realm. A method that works today may be redundant tomorrow. Consumers are wary of installing charging stations at home and offices because one costs anything between Rs 1.5 lakh and Rs 20 lakh.
Safety concerns with battery technology are also a hurdle: in October in Bengaluru, an EV went up in flames; nobody knows the reason. Firefighters in Wareham, UK used 11,000 gallons of water to extinguish an electric car fire after the EV spontaneously burst into flames in a driveway. Over the last year General Motors (GM), Hyundai Motor and Ford Motor lost a combined $2.2 billion recalling about 1,32,500 electric vehicles. GM recalled its Chevrolet Bolt EV after fires as a result of two “rare manufacturing defects” in the lithium-ion battery cells: it will cost $800 million to fix them.
As of now hybrids—vehicles that use both ICE and an electric motor—are the way to go. Japan and China are already leading the race. Data from the Ministry of Road Transport and Highways’ Vahan dashboard records that hybrid car sales have outpaced EVs in the last quarter of this financial year. Since January, 64,097 electric cars have been sold in India compared to 2,66,465 hybrids. The middle road may be the best route taken on the road to change.
Emission Remission
Air pollution is responsible for claiming 1.66 million lives annually in India, says Statista, which specializes in data gathering. Traditional ICE vehicles emit harmful gases, including CO2, NOx (nitrogen oxide), SOx (sulfur oxide), etc. The Delhi government recently notified the Delhi Motor Vehicle Aggregator and Delivery Service Provider Scheme 2023 to power a switch across vehicles—passenger, transport, and e-commerce—to EV mode by 2030. As per research by the European Energy Agency, an EV emits between 17-30 percent fewer carbon emissions compared to ICE vehicles, with EV motors being relatively quieter and less reliant on fossil fuels.
General Motors plans to stop selling new ICE cars by 2035. Likewise, Volvo promises to introduce an all-electric lineup by 2030. A spokesperson for Volvo Car India says, “We are committed to being an all-electric car company by 2030. We have already introduced two fully electric cars, XC40 Recharge and C40 Recharge in India. C40 has leather-free interiors, pushing our vision for sustainability.” According to the data of the SMEV (Society of Manufacturers of Electric Vehicles), EV sales in India have crossed the one-million mark this year. As per the International Council of Clean Transportation, only battery-run vehicles have the potential to achieve near-zero greenhouse gasses (GHG) emissions.
Even today, EVs have by far the lowest lifetime GHG emissions compared to all other technologies. As technologies improve, GHG emissions in electric vehicles will decline further. “The Indian transport sector contributes about 14 percent of the total carbon emissions and stands third after energy and industries. One of the key strategies to decarbonize or reduce emissions from the transport sector is to deploy electric vehicles,” says Sharif Qamar, Associate Director, Transport & Urban Governance Division, TERI. “At the local level, EV technology fits well from the point of view of tackling air pollution, and at the national level, it would contribute to reducing the country’s dependence on fuel, leading to lower crude oil import bills,” he adds.