Sale Of Electric Vehicles Without Batteries Allowed

With the aim to make the electric vehicles more affordable, the government has allowed the sale of electric vehicles without a pre-fitted battery, a step towards reducing the upfront cost of the cleaner vehicles.

The Road Transport and Highways Ministry has issued a notification allowing the sale of electric two- and three-wheelers without a pre-fitted battery. The battery could be provided separately by the OEM (original equipment manufacturer) or energy service.

Batteries account for almost half the cost of an EV, making them vastly more expensive than a combustion engine vehicle of similar performance. If the cost of batteries is delinked from that of the vehicle, electric two- and three-wheelers could cost less than fossil-fuel-powered vehicles, the Road Transport & Highways Ministry said.

The Ministry has announced that it has allowed the sale and registration of electric vehicles without pre-fitted batteries which will reduce the cost of these vehicles.

The pre-fitted batteries account for almost 30-40 percent of the total cost of the electric vehicles. They can be provided separately by the companies, according to the ministry.

The ministry has clarified in its letter to the Transport Secretaries of all the States and UTs that electric vehicles without batteries can be sold and registered based on the type approval certificate issued by the Test Agency.

The Ministry stated that there is no need to specify the make and type or any other details of the battery for the purpose of registration.

However, the prototype of the electrical vehicle and the battery (regular or swappable) is required to be type-approved by the test agencies specified under Rule 126 of the Central Motor Vehicles Rules, 1989.

In its advisory to the principal secretaries and transport secretaries of states, the Ministry said that the government is striving to create an ecosystem to accelerate the uptake of electric mobility in the country.

The ministry stated that recommendations were brought to its notice to delink the cost of the battery from the vehicle cost for the promotion of electric vehicles.

The move will reduce the upfront cost of electric two and three-wheelers than that of an internal combustion engine (ICE) variants.

According to the Ministry, the time has come to work jointly to achieve broader national agenda to reduce vehicular pollution and oil import bill. This will not only protect the environment and reduce the oil import bill but also provide opportunities to sunrise industries.