CNBC TV18’s Alisha Sachdev speaks to Mr. Naveen Munjal, MD, Hero Electric on the recent subsidy announcements by the government to make EV adoption in India more affordable.

News | 30 June 2021

A recent string of policy announcements by the government to push for the adoption of electric vehicles (EVs) has been a certain sentiment boost for prospective buyers.
But are these subsidies driving real demand? Are people queueing up at showrooms to buy electric two-wheelers that have been made substantially more affordable now? To get answers to these questions and more, CNBC-TV18’s Alisha Sachdev spoke to Managing Director of Hero Electric Naveen Munjal.
According to him, the company is already seeing higher sales because “prices have dropped substantially”. The cap on the amount of subsidies that can be offered has gone up to allow more room for a reduction in prices, he said.
That is a shift from the previous version of the Faster Adoption and Manufacturing of Hybrid and Electric Vehicle (FAME)-II policy, which according to Munjal, did not create a good retail offtake.
In this episode of the Smooth Ride Podcast, Alisha Sachdev speaks to the country’s largest electric two-wheeler manufacturer about the biggest points of resistance for customers — beyond costs — that constrain mass adoption of EVs.
Tune in to the Smooth Ride podcast for more.