NITI Aayog Releases $200 Billion Report to Accelerate India’s EV Transition

NITI Aayog today unveiled a landmark report titled “Unlocking a $200 Billion Opportunity: Electric Vehicles in India,” offering a detailed and timely assessment of the challenges and opportunities facing India’s electric mobility sector. The report lays out a strategic blueprint aimed at propelling India’s transition to electric vehicles (EVs), providing actionable insights and policy recommendations to unlock the full potential of the EV market.

The launch event was officiated by Shri Rajiv Gauba, Member of NITI Aayog, alongside Shri B. V. R. Subrahmanyam, CEO of NITI Aayog, Shri O. P. Agarwal, Distinguished Fellow, and Shri Sudhendu Sinha, Programme Director – E-Mobility, with other key stakeholders in attendance. This release comes at a critical juncture as India seeks to rapidly accelerate its EV adoption to meet ambitious national targets and global climate commitments.

India’s Growing Electric Mobility Landscape and Global Context

India aims to achieve a 30% share of electric vehicles in total vehicle sales by 2030, an ambitious target that underscores the country’s commitment to cleaner, greener transportation. EV sales in India have grown from a modest 50,000 units in 2016 to over 2.08 million units in 2024, reflecting a significant uptake though still trailing behind global growth, where sales surged from 918,000 units to 18.78 million units over the same period.

While India’s EV penetration was just about one-fifth of global penetration in 2020, it has improved substantially to over two-fifths by 2024. This momentum, though positive, highlights the need for accelerated action to close the gap and fully capitalize on the $200 billion market opportunity forecasted for India’s EV ecosystem.

Key Barriers and Strategic Unlocks Identified

Developed through extensive consultations involving seven dedicated stakeholder workshops at NITI Aayog, the report identifies critical barriers hindering EV adoption and lays out strategic “unlocks” that can drive faster transition. These include challenges related to charging infrastructure, supply chain constraints, battery technology, financing mechanisms, and consumer awareness.

Some of the immediate next steps recommended include:

• Scaling up charging infrastructure with a focus on fast chargers and public-private partnerships to ensure convenient access nationwide.

• Boosting local manufacturing capabilities under India’s production-linked incentive (PLI) schemes to build a robust EV supply chain.

• Improving financing and subsidy frameworks to reduce upfront costs and enhance affordability for consumers.

• Encouraging R&D and innovation in battery technology and recycling to promote sustainability and cost-effectiveness.

• Strengthening regulatory frameworks to streamline EV policies and harmonize standards across states and sectors.

• Driving awareness campaigns and training programs to build consumer confidence and develop skilled workforce for the EV sector.

Blueprint for a Unified National EV Strategy

The report serves as a comprehensive blueprint to align stakeholders across government, industry, and civil society towards a unified national electric mobility push. By integrating data-driven insights and cross-sector collaboration, it seeks to facilitate cohesive policy formulation and effective implementation.

Shri Rajiv Gauba highlighted the transformative potential of the report: “India stands at the cusp of a transformative shift in clean mobility. As the nation advances its Electric Mobility ambition, this report provides valuable insights and policy-aligned recommendations to overcome existing barriers and unlock scale.”

Similarly, Shri B. V. R. Subrahmanyam emphasized NITI Aayog’s continuing leadership role: “NITI Aayog has already been at the forefront of enabling the ongoing EV revolution. This report offers a timely and comprehensive review of current challenges, alongside actionable recommendations to fast-track the EV transition in India.”

Unlocking a $200 Billion Market Opportunity

The electric vehicles market in India is projected to reach $200 billion over the coming decade, encompassing vehicle manufacturing, battery production, charging infrastructure, and after-sales services. Unlocking this market not only aligns with environmental goals but also presents substantial economic growth potential and job creation in emerging green sectors.

The report stresses the importance of inclusive growth by ensuring equitable access to EV benefits across urban and rural areas and promoting the electrification of commercial vehicles to maximize environmental and economic returns.

Access to the Report and Future Outlook

The full report “Unlocking a $200 Billion Opportunity: Electric Vehicles in India” is publicly accessible at NITI Aayog’s website: https://niti.gov.in/sites/default/files/2025-08/Electric-Vehicles-WEB-LOW-Report.pdf

As India accelerates its EV ambitions, this report will serve as a vital reference for policymakers, industry leaders, investors, and researchers. Its recommendations provide a clear pathway to overcoming current hurdles, fostering innovation, and driving a sustainable electric mobility ecosystem that can deliver on India’s climate commitments while boosting economic prosperity.

The launch of this comprehensive report signals India’s readiness to scale up its electric mobility revolution with strategic clarity and coordinated action. By unlocking the $200 billion opportunity, India can position itself as a global leader in EV adoption, manufacturing, and innovation, ultimately ensuring a cleaner, healthier, and more sustainable future for all its citizens.