Electric vehicles

E-mobility initiatives around the world

| Author / Editor: Ahlam Rais / Ahlam Rais

Countries around the world have undertaken different measures to encourage the development and usage of zero-emission vehicles in order to reduce air pollution.
Countries around the world have undertaken different measures to encourage the development and usage of zero-emission vehicles in order to reduce air pollution. (Source: Deposit Photos)

Norway, China, Germany and India are just some of the countries that have undertaken significant measures to upscale the manufacturing and usage of electric vehicles in their respective countries. This transformation is much needed to reduce the carbon footprint of the automotive industry.

The German Government and the National Development Plan for Electric Mobility (NEP) have defined e-mobility as all street vehicles that are powered by an electric motor and can be recharged externally. This includes electric vehicles (EVs) and hybrid vehicles. Countries around the world have undertaken different measures to encourage the development and usage of these vehicles in order to reduce air pollution. MM International offers an insight into four different markets around the world.

Norway

Norway leads the world in the e-mobility space as it is the only country in which battery electric and plug-in hybrid vehicles together hold a 50 % market share. This is owing to the numerous initiatives rolled out by the government including tax deductions, purchase aids and other various benefits such as free parking and charging, free ferries, access to bus lanes, etc. Now, the Norwegian Government has plans to sell only zero-emission vehicles i.e. electric or hydrogen vehicles by 2025.

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China

China’s goal is for New Energy Vehicles (NEVs) to make up 20 % of all vehicle sales by 2025. NEVs which majorly comprise of electric vehicles are offered purchasing subsidies from the government. However, with the significant development of the market, state subsidies are expected to be phased out by 2020. This move aims to increase competition among NEV manufacturers and is in line with the Made in China 2025 initiative which intends to create a small number of strong brands and national leaders to strengthen the overall market.

Germany

The German Government has set an ambitious goal of one million electric cars on German roads by 2020 as part of its NEP scheme. However, reports suggest that the European country is nowhere near its official target. The NEP initially offered more than 500 million Euros as incentives for the development of vehicles, energy storage devices and infrastructure. However, later on, the amount was revised by a further 1 billion Euros. The government has also put in place a system of incentives for large-scale companies, with flagship measures including the 50 % tax credit for the purchase of a battery-powered vehicle and a tax exemption for ten years. The NEP also focusses on factors such as charging stations to achieve its overall plan for electric mobility.

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India

In 2013, the Indian Government launched the National Electric Mobility Mission Plan (NEMMP) 2020 with an aim to achieve national fuel security by promoting hybrid and electric vehicles in the country. Under this plan, the government also introduced the Faster Adoption and Manufacturing of (Hybrid &) Electric Vehicles (FAME) scheme to fast track this move. The scheme is aimed at incentivising all vehicle segments i.e. 2 wheeler, 3 wheeler auto, passenger 4 wheeler vehicle, light commercial vehicles and buses. The government has also approved pilot projects, charging infrastructure projects and technological development projects aggregating to nearly 24 million dollars. More recently, the government launched the Fame II scheme which aims at boosting electric mobility and increasing the number of electric vehicles in commercial fleets.

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