Should you buy an EV in India in 2022?
Now, that’s a question that can have plenty of answers. However, what the numbers show till now, things are looking quite sunny and positive for electric vehicles in the country.
According to a report^, the month of December 2021, saw a staggering 240% rise (Year on year against December 2020) in electric vehicles sales in India. What’s even better is the fact that the year 2022 for EVs is no less than a treat. A statement by the Society of Manufacturers of Electric Vehicles (SMEV) suggests that the sales for EVs will climb to 10 lakh units a year.
So, should you sit back and watch things unfold for a few more years? Or if you’re going to buy your next vehicle, does it have to be electric? Let us help you figure that out.
Here are the five reasons why your next vehicle should be an EV in India in 2022.
When you drive around in an electric vehicle around the city, you’re literally a superhero. How so? Well, you’re saving the environment as you drive around in your vehicle.
According to a study, a single electric vehicle on the roads can save an average of 1.5 million grams of CO2. To put that into perspective, the Delhi Airport emits 5.53 million tonnes of CO2.^^ So, when it comes to making a difference, an EV can certainly help you do that.
Moreover, if you are someone who resides in Delhi, that faces astonishingly dangerous levels of pollution in the months of November, an EV might just be the right choice for you.
By doing the same, not only are you doing your bit for the city but will also be carrying one less document with you, i.e. the pollution under control certificate. Who thought saving the environment can turn out to be this convenient?
Savings guaranteed on electric vehicles in 2022
Spending a little extra on electric vehicles can help you gain tax benefits worth lakhs.
That’s right. From the assessment year 2020-21 onwards. Section 80EEB grants a deduction of ₹1.5 lakhs for interest paid on loans to buy an EV. The condition is that the loan has to be sanctioned between 1st April 2019 and 31st March 2023.
Adding to the list of benefits is the fact that states like Tamil Nadu and Delhi have exempted EVs to fall under the ambit of road tax or registration taxes.
When it comes to GST, you pay a 5% GST on your car rather than falling under the 28% tax bracket for a combustion engine vehicle.
Lesser Costs Involved
It’s not just about the additional benefits, but the lower costs involved with an electric vehicle.
Due to how an electric vehicle is usually built, you generally have fewer parts to worry about maintaining and upkeep. As per an estimate you end up paying ₹25,000 for an EV’s upkeep in a 5-year duration. The same amount for an internal combustion engine vehicle stands around ₹7-10,000 a year.*
Apart from lower maintenance costs, running an EV is affordable as well. Since EVs run on electricity, the running costs for the same are lower than fuel-run vehicles as well. If you factor in the electricity tariff costs at around ₹8-10 per unit.*
So, say if you have a daily commute, you end up saving a lot of money against a fuel-run car.
Future Prospects & Growth For EVs in India
The future prospects of EVs in India seem to be at a very nascent stage. However, with the government’s intention to promote electric vehicles in the country there have been certain initiatives and efforts to improve the EV infrastructure such as charging stations, etc.
Government’s Faster Adoption and Manufacturing of (Hybrid and) electric vehicles, (FAME II) which is currently at its second phase. This initiative allows for better initiatives for consumers and manufacturers in the EV space.
Easier, Better & Efficient
The current electric vehicles in the country are comparatively easier to drive. With an automatic transmission, it becomes easier to drive around the city.
Moreover, due to the absence of an engine, you ride in a car that’s much quieter and silent. Hence, a more luxurious and silent ride awaits you when you buy an EV for yourself.
So, Should You Buy An EV in 2022?
While the EV revolution around the country is at a very nascent stage, there are chances that the levels of growth and development may lead to better products.
So, should you buy an EV in 2022? There are reasons that you definitely should.
Moreover, if you are someone who’s deep into sustainability and a greener environment, feel free to go for an EV right away, with decent options available out there.
^ Hindustan Times: Electric vehicle sales in India grow 240% in December 2021
* Economic Times: Should you buy an electric car? Comparison with other fuel cars, pros and cons