Tesla in India but no Green Car Revolution, Yet

Automobile industry in the world’s largest democratic country, India, is preparing for the change, a change towards greener roads. Electric vehicles, especially cars are making heads turn in some parts of the world.

Tech visionary Mr.Elon Musk announced Tesla’s entry into the Indian market next year. But that will not guarantee green car revolution in the country. It is an important chapter in the country’s automobile segment.

 This leads us to the question, “Is India ready for the change? Does the country’s current infrastructure support the change?” here you will get the answers for these sorts of questions.

A recent survey revealed a fact that “there are less than 500 charging stations in India but the present need is around 2,600 charging stations”

That is a huge different in number, the government and the governing bodies are making changes in the infrastructure to accommodate the change.  The Future is electric and there is no second thoughts about it, conventional fuel powered cars are soon to be replaced electric cars.

Does the country have what it takes to take on the change to Electric Cars, just yet?

Can Tesla Make A Mark In India?

Many multinational companies have already tested the Indian Waters. One thing is sure from that, you have to dance to the Indian Tunes or go back. That’s it. There is no third other option, but can Tesla find a third option?

So, Tesla will need to go through some serious Indian-ization to prove its worth on the rough and tough Indian roads, the world’s largest electric car manufacture need to ensure that the car is rugged enough to survive in the Indian market. The tech visionary Mr.Musk is capable of making some drastic changes that can improve the cars market in any country, but does Tesla have what it takes o make the changes according to the Indian market.

The best example that can be given for this is Fiat Uno, a global success and it’s car was trending in every country. But in India, it failed terribly because of it’s low floor which were not suitable for the Indian bumpy roads, so they have to pack their bags.

And the recent example is Harley-Davidson the world’s ultimate Motorcycle producer, a symbol of masculinity. It had a tough run in India and at last it needs to pack its bag and Head back home.

Apart from making changes to the cars, Tesla needs to have a clear understanding of the Indian market, a market which is majority occupied by the middle class. A country which runs on the power of middle-class people, generally, middle class people see cars as more of a necessary item than status symbol or luxurious symbol.

Tesla needs to make sure that it’s cars are prices the right amount, so that it can reach the nuke on corner of a middle-class segment. If it fails, and that’s a big if considering Mr.Musk  endeavors.

Once Tesla penetrates the middle-class economy, then it will be a huge hit and there will be no looking back from it, but on the other hand if it fails to acknowledge or get into the middle class household, then it will be a disaster for Tesla in India. Even though Elan musk is a Visionary he needs to plan and think ahead before entering the Indian market.

Now that being said Tesla cars, I mean basically electric cars are moving towards delivering a Greener environment. For example, the national capital New Delhi is topping the pollution chart every year and it’s not a good sign for a rapidly developing country. Therefore it is a great opportunity for India to adapt to the change.

Sooner or later conventional fuel cards will hit hard end after serving number of years. But it will be a long road ahead. If things are not planned properly from every single electric car manufacturer who is planning to make a mark in India.

Need of Infrastructure

It is not a surprise for electric car manufacturers to enter the Indian market. Most of the EV manufactures are targeting the Indian market and are make movies according to it.

A recent survey reported that the Indian electric vehicle Market is valued around 50,000 crores by the year 2025. Now that is a lot of untapped potential.  

Companies are marching towards the Indian car market. But are totally ignoring the infrastructure availability? They are looking towards the potentially huge market, but on the other hand blindsided by the lack or developing infrastructure required for a successful venture.

The government Of India is planning on rapid progress and development to suit the EV requirements.  Regulations and orders are passed to meet electric car manufacturers requirement. But some of the goals are ambitiously delusional.

The pace in which the system function and operates is slow when compared to the goals and Ambitions set by the government. If India wants to meet the requirements for a successful electric car company, then the pace of operation must be improved. There is no doubt about that infrastructure must be developed without any delays or slow legs which will only make the MNC’s impatient and it will make the companies to head out of the market in spite of the larger potential.

At present the largest Democratic country in the world holds only 500 or less electric vehicle charging stations. But according to the current need there should be more of to more than 2600 charging station. There is a huge gap in the charging station numbers and it should be made-up soon. But the pace at which the operation is progressing is causing the EV manufacturers to have second thought. The government is thinking of changing India EV landscape, the problem is thinking is the only thing happening. There’s a plan and it proposed around 69,000 charging stations in petrol pumps in India. And again, these are only plans and tall promises.

The reality of the present situation is entirely different and contradicting to these plans.

Demand and Supply

Whatever maybe the there should be a demand and it should be met by supply but in the case of electric vehicles India is trying to create a demand.

In the year 2019 the government announced tax exemption of up to 1.5 lakhs on purchase of an electric vehicle. Is it enough to make the Indian people think on demand electric cars?  

Tesla’s cars are priced in a different range in the countries it’s selling now. Can it resize its pricing structure to suit the Indian market? Will the Indian government allow subsidies for Tesla, especially for Tesla considering its price range and features?

The general lack of demand for electric vehicles is India is caused due to the poorly performing EV’s, some of the poorly performing, if I may. The high on a ship cost extremely low resale value inadequate infrastructure along with that battery performance of the vehicle have cost the demand of electric vehicles to reach a low point.

According to the statistics in the year 2019 between April and November only 2300 electric vehicles have been sold in India. Tesla’s are quite expensive. The government has approximately allotted 11,000 crore for a period of three years to boost local manufacturing of electric vehicles and charging station. But at the same time the government has also increased custom duty on completely built unit. Therefore the route Tesla is likely to take for its Indian entry is unpredictable.

For Tesla, Indian market is a fertile land and it surely can make a good harvest, but if we don’t expand eventually. Increase the demand then Tesla will have No future or A small part in the future of the Indian electric car market .We don’t want a Tesla to become a rich only car sitting in their garages with making no core electrical evolution in India. We want it to run on every road spear heading the green car revolution in India. Indian market is awaiting the arrival of electric car revolutionary Tesla.

To Wrap It

We think India needs to make some drastic changes to suit electric vehicles, especially for cars like Tesla. Tesla is nothing short of a sophisticated spaceship in wheels. The year’s development in making Tesla the brand it is today shouldn’t be wasted. A lot of efforts have been put into making Tesla what it is today, so the administrative and marketing side of Tesla needs to analyze every single equation and variables in the equation for making a Tesla a grand success in the Indian market. Yes, the government is making changes but will it be enough? Well, it’s for the future to answer and let’s wait to hear the answer.

Balaji

Passionate and simplistic writer, curious reader, interested in learning new things every day for the betterment. Writer with an eye for detail and simple perspective explanation. When not occupied with putting meaningful words together he is interested in understanding everyday things around him.Experienced in writing articles on Blockchain, adservers, cryptocurrencies, automobiles, fiction novels and eCommerce products. Technology geek with a keen eye for details and curiosity in understanding the message between the lines. Published technical articles on international forums with a simplistic view. Music addict and movie buff.