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The global push towards cleaner transportation might sound like a distant goal but the transition, for a good reason, has now picked up pace in India. With nearly 2 million electric vehicles sold in 2024, the country’s adoption of green mobility has paced up, well and truly. As the EV ecosystem grows, recently-launched path-breaking Indian models like the Mahindra BE 6 and XEV 9e show they can compete head-on with global cars. Especially the former, which has been praised heavily for its futuristic design and fighter-jet inspired cabin among other capabilities and features.
Mahindra BE 6 electric SUV.
While hybrids have played a role as a transitional technology, the future is undeniably electric. Government policies, automaker investments, and economic benefits all point to one clear conclusion: EVs are the long-term solution, and hybrids don’t need additional subsidies to stay relevant.
EV advantages: More than just reduced emissions!
EVs are often celebrated for their lower emissions, and for good reason. According to a report by NITI Aayog and the International Energy Agency (IEA), lifecycle emissions from EVs are already 40 percent lower than those of traditional ICE vehicles. And as India moves toward a 100 percent renewable energy grid, EV emissions will drop even further; by up to 80% compared to ICE vehicles.
Future-Proof: As India moves toward a 100% renewable energy grid, EV emissions will drop even further- by up to 80% compared to ICE vehicles.
Economic Benefits: Just 30% EV penetration could reduce India’s oil import bill by Rs 1.1 lakh crore, improving energy security and trade balance.
The government’s push for EVs
The Indian government has made its stance clear – the future is fully electric. The FAME II scheme, launched in 2019 and extended into 2024, offers subsidies of up to Rs 10,000 per kWh for EVs, making them more affordable.
Minimal support for hybrids- In contrast, hybrids, which were included in FAME I, receive little to no support under the updated policy. The reason? While hybrids provide some fuel efficiency benefits, they are still dependent on fossil fuels and do not align with India’s long-term climate goals.
PLI scheme for ACC Batteries- The PLI Scheme for Advanced Chemistry Cells ACCs further adds to this commitment. With an allocation of Rs 18,000 crore, this initiative supports battery manufacturing within India, reducing costs and strengthening the local EV ecosystem. This focus on battery technology is crucial, as it ensures that India remains competitive in the global EV race.
Expanding charging infrastructure and domestic manufacturing
At present, if there’s something that is holding back potential EV buyers, is their concerns about charging infrastructure. However, significant progress is being made and the entire ecosystem, including investors, automakers and the government itself, is pushing to make public EV chargers easily accessible.
Mahindra’s massive investment:
For instance, Mahindra & Mahindra has invested Rs 4,500 crore in the production of the BE 6e and XEV 9e as part of its Rs 16,000 crore EV outlay (2022-27). It also plans to invest ₹12,000 crore (~$1.43 billion) in Mahindra Electric Automobile by March 2027.
These investments will be utilised in the areas of R&D to production. This not only accelerates EV adoption but also creates jobs, develops expertise, and positions India as a global EV manufacturing hub. In fact, the company is setting up a production facility with an annual capacity of 90,000 units for its Born Electric duo. It shows the trust the company, alongside the entire sector, has in the EV segment.
Hybrids don’t need subsidies anymore: Here’s why
Limited emissions reduction – While hybrids once played a role in improving fuel efficiency, they are now an interim solution rather than a long-term one. The numbers speak for themselves. Surprisingly, hybrids only reduce emissions by around 12% in city driving compared to their ICE counterparts. On highways, in fact, diesel vehicles can still be more efficient than petrol hybrids. This limited impact on emissions makes it clear why government policies are now prioritizing EVs.
Tax disparity favours EVs – Some manufacturers have also raised concerns that excessive tax relief for hybrids could distort the automotive industry, slowing down EV adoption. For context, the UP government has announced a complete registration tax waiver for strong hybrids and PHEVs. As from the customer’s point of view, one has to pay 48% GST on hybrids, compared to just 5% on EVs. This also highlights that the government prioritizes EVs as a long-term solution.
Debunking common myths about EVs
Range Anxiety? Not Anymore! While the EV adoption has picked up pace in the country, many misconceptions still surround the technology. However, the reality is far more optimistic. Contrary to popular belief, modern EVs offer over 300 km of range per charge, and their batteries last years with warranties of 8-10 years.
Mahindra BE 6, XEV 9e – Range worries? Eliminated!
The BE 6 and XEV 9e, for instance, get 59 kWh and 79 kWh battery pack options, delivering a range of up to 680 km on a single charge. That’s literally sufficient for a Delhi-Jaipur round trip, eliminating any sort of range anxiety.
Fast Charging Fast chargers can provide significant charge in under 30 minutes, and with expanding infrastructure, range anxiety is becoming less of a concern. For example, the BE 6 and XEV 9e can fast charge from 20% to 80% in 20 minutes using a 175kW DC charger.
While EVs have upfront costs, government incentives and lower running costs make them more affordable. EVs are also fast, thanks to instant torque, and their lifetime carbon footprint remains lower than petrol or diesel cars. Myths about battery recycling, cold weather performance, and safety concerns are also misplaced, as EVs undergo rigorous testing and continuous technological improvements.
Mahindra’s assurance for battery life & warranty -To ensure consumer trust, Mahindra’s BE 6 and XEV 9e electric SUVs come with a battery warranty that lasts as long as the original owner keeps the car. If the car is sold, the battery is then covered for 10 years or 200,000 km, whichever comes first.
Hybrids aren’t always greener – On the other hand, hybrids, that are often seen as environmentally superior, do have benefits but aren’t always as green as advertised. While they offer better fuel economy in cities, their highway efficiency is closer to that of petrol cars, and their complex systems can lead to higher maintenance costs. Despite being marketed as spacious, many hybrids lose boot space due to battery placement.
EVs usually have a frunk along with a spacious boot.
Massive Market Expansion:
According to a report by BCG and Google, the Indian automotive industry is set to double by 2030, crossing a massive $600 billion. And this growth won’t just be in one segment, both traditional and emerging EV markets will see a rise.
Right now, one in three buyers is considering an EV as their next vehicle. But the reasons differ: two-wheeler buyers prioritize affordability, convenience, and accessibility, while four-wheeler buyers are drawn to advanced tech, sophistication, and exclusivity, the report says.
Women Driving EV Adoption Another big shift? The role of women in EV decision-making. Women are significantly more involved in choosing EVs – 52% compared to 38% for ICE vehicles. That’s a big jump!
On the policy side, the government is pushing hard for EV growth. In the recent budget, Finance Minister Nirmala Sitharaman announced duty exemptions on 35 capital goods for EV battery production and 28 for mobile phone battery manufacturing. This will boost domestic lithium-ion battery production and reduce import dependency, thereby likely to bring down the upfront costs of EVs.
Plus, initiatives like the National Manufacturing Mission and Clean Tech Mission will accelerate local EV battery and solar panel production, making India more competitive globally. Exempting customs duty on key minerals like cobalt and lithium will also help secure the raw materials needed for a self-sustaining supply chain.
India’s EV Revolution is Here
And if there was ever a sign that India is becoming an EV powerhouse, just look at the Bharat Mobility Global Expo 2025. The event was packed with EVs, with both domestic and global brands making big moves. Nearly 30 electric cars were showcased across different segments, and just like the ICE market, SUVs dominated the EV lineup. Clearly, the EV wave is only getting bigger, and India is right at the centre of it.