EV adoption in India is rising, but infrastructure gaps remain. This analysis explores growth trends, environmental benefits, policy support and key challenges
Saaransh Mishra
It is no secret that air pollution remains an extraordinarily concerning issue that plagues India. This is grimly symbolized by 17 of the world’s top 30 cities with the worst air pollution being in India. Moreover, respiratory and cardiovascular diseases stemming from air pollution have led to devastating consequences, with death tolls touching roughly 2 million deaths a year in the country. This dreadful public health scenario necessitates urgent measures that place the ramifications of air pollution and climate change at the centre of the national agenda.
Amongst other factors that contribute to the current reality, vehicular pollution plays a humongous role, accounting for 20–30% of PM2.5 at the breathing level of air quality, with the transport sector being responsible for 8% of total greenhouse gas (GHG) emissions in India. Therefore, a very crucial aspect of this uphill battle is to accelerate the adoption of electric vehicles (EVs) in India. Although the latest data implies that India’s EV market is expanding rapidly, the velocity must be dramatically increased to meet environmental, economic, and public health goals.
Fueled by ambitious government targets, rising consumer awareness, and growing investments from domestic and international players, as of 2025, EVs account for approximately 6% of India’s automobile sector (up from 0.7% in 2020), a number the government aims to raise to 30% by 2030. In the fiscal year 2024–25, the number of registered EVs increased by 17% from the previous year, reaching over 1.96 million. Electric two-wheelers clocked 1.14 million units, up 21.1% year-on-year, while passenger EV sales also rose, with 106,000 electric cars and SUVs registered in 2025, a 16% increase from the previous year.
With roughly 2 million deaths annually attributed to air pollution, the environmental case for EVs is quite compelling. The Council on Energy, Environment and Water (CEEW) estimates that a 30% increase in EV sales, combined with a higher share of public transport, would lead to an approximate reduction of 36% in carbon monoxide (CO) emissions, 28% in nitrogen oxide (NOx) emissions, 29% in particulate matter (PM) emissions, and 20% in greenhouse gas (GHG) emissions compared to the existing milieu. CEEW also highlights that between 2020 and 2024, EV adoption has already prevented about 10 million tonnes of carbon emissions in India, underlining the palpable benefits of this change.
Barring the environmental upsides, buttressing EV adoption would entail noteworthy economic benefits as well. With India importing more than 80% of its oil, worth more than $100 billion annually, more widespread adoption of EVs could slash oil imports by up to 40% by 2030, preserving billions of dollars in valuable foreign exchange. The EV ecosystem is projected to reach a market size of $27.8 billion by 2030, generating 1.2 lakh new jobs in infrastructure and manufacturing. Strong confidence in the sector is also reflected in substantial government and private investments amounting to $15.3 billion and $6.4 billion respectively, which are expected to grow further.
Despite significant growth, the path ahead remains thorny. The primary hurdle to EV adoption remains the dearth of charging infrastructure. Owing to initiatives by central and state governments, public charging stations have increased from 5,151 in 2022 to 26,367 by 2025. However, this is significantly short of the number required to proliferate adoption to a desirable degree. With only 26,367 public EV charging stations available, India has around one charger for every 235 EVs on the road. This is largely responsible for range anxiety, which has been a major deterrent to EV adoption. Additionally, high upfront costs, limited access to financing, and battery replacement costs have also played a consequential role in limiting adoption.
Driven by initiatives such as the PM E-Drive (Promoting Electric Mobility and Driving Reforms in Vehicle Ecosystem) Scheme, the Production Linked Incentive (PLI) Scheme, and the Faster Adoption and Manufacturing of Electric Vehicles (FAME-II) Scheme, India has made considerable strides in promoting EV adoption by incentivizing domestic manufacturing, subsidizing EV purchases, and strengthening supply chains. However, investment in this space must be increased drastically to expand charging infrastructure and standardize charging ports. There must also be greater emphasis on local battery manufacturing and the integration of renewable energy into the grid, as a large share of India’s electricity is still derived from coal.
India’s EV adoption is undoubtedly on a positive upward trajectory. Yet, the public health crises exacerbated by air pollution and the substantial economic upsides of mass adoption warrant cautious optimism. There remains a need for effective implementation of existing policies, continued innovation, and sustained investment in EV infrastructure so that India can reform its transportation sector, improve air quality, and realize economic and social gains. EV adoption is not just a choice but a dire necessity for India’s sustainable future.
(The author is a freelance author, consultant, and entrepreneur having an interest in areas such as environmental policy, public health, international security, and trade. Views Expressed are Personal.)
