Did you know India sold nearly 580,000 EV three-wheelers, including electric rickshaws and cargos, in 2023—almost 65% more than in 2022? This feat earned India the title of ‘the world’s largest electric three-wheeler market’. Industry giants such as Bajaj Auto and Piaggio Vehicles (India) expect 80% of the 3Ws in the country to go electric by 2030.
In a quest to understand the reasons for India’s rapid electric revolution, we spoke to a few experts for their unique insights. Discover them in today’s blog to make an informed choice if you are planning to go electric soon!
Top 7 Reasons for the Rise of Electric Three-Wheelers in India
Arriving at the big question: Three-wheeler electric autos and cargos are the in-thing, and the trend is here to stay, possibly forever—but why? The thought leaders we spoke to shared seven reasons.
- Growing environmentally-conscious individuals
The world has been grappling with environmental challenges for a while now, and unfortunately, India is one of the biggest contributors to it. India is among the top five countries with maximum air pollution, noise pollution, and fossil fuel consumption. An expert assuringly said, “Even though things look grim, all is not lost. The good news is environmental awareness is in full swing in the country, with more and more Indians thinking twice about their choices.” That’s why battery-powered electric auto rickshaws and cargos are gaining more popularity than traditional CNG, petrol, or diesel ones. EV 3Ws emit zero pollutants and are quieter—a win-win situation for humans and the environment.
- Government policies and incentives
The Government of India is the torchbearer for the EV revolution in the country. With schemes such as Faster Adoption and Manufacturing of Electric Vehicles (FAME Phase-I and Phase-II) and PM E-Drive, India is shifting gears towards e-mobility. These schemes promote sustainable electric public transport, including three-wheeler electric autos and cargo, provide financial incentives to buyers, develop charging infrastructure, and support EV manufacturers.
- Electric vehicle technological advancements
Rapid technological advancements in the EV space are another factor luring three-wheeler drivers towards electric auto rickshaws and cargos. The new models are designed to be lightweight, robust, fast, spacious, and cover a longer range. Additionally, battery tech has improved, promising reduced charging times, enhanced battery power, and longer battery life. Also, more electric vehicle charging stations have popped up, making it all the more practical and seamless to use EV 3Ws.
- Lower operational and maintenance costs
We live in an era of global inflation. If making changes in your choices can help you significantly reduce your monthly expenditures, would you not do so? Electric rickshaws are more economical to drive and maintain than their conventional counterparts. Electricity is way cheaper than fossil fuels. Plus, EV 3Ws do not need as frequent servicing so that you can cut maintenance costs by nearly half.
- Convenient to drive
Take a second to imagine the urban landscape of India. What do you see? Traffic, people, hawkers, and the like, right? Driving 3Ws on congested roads can be dangerous and challenging, but not if you have an electric auto rickshaw or cargo. Features such as instant acceleration and regenerative breaking allow drivers to navigate stop-and-go traffic with less effort. With no stress of changing gears, operating it is easier. Plus, let’s not forget the easy access to electric vehicle charging on the go!
- Improved customer appeal
One of the speakers shared a valuable point, “Nowadays, even commuters prefer electric rickshaws over conventional ones to contribute their bit to the global environmental movement. Besides that, even commuting costs are relatively lower.” 3W drivers can use this as a motivation to make the shift, appeal to more customers and ultimately increase their profits.
- Easy availability of three-wheeler loans
An expert discussed a common concern that stops many three-wheeler drivers from switching to electric vehicles: high initial purchase cost. They opined, “Despite the higher upfront costs, EVs are worth buying—note three things. Firstly, the price of three-wheeler electric autos and cargo has significantly reduced in India. Secondly, non-banking financial institutions (NBFCs), such as Manba Finance, provide quick and easy EV three-wheeler loans. And lastly, the cost of owning an EV is lower in the long run due to cheaper operational and maintenance costs.”
Need to buy an electric rickshaw or cargo on loan? Look no further than Manba Finance!
In the next few years, electric three-wheelers will rule the roads. Manba Finance will happily provide tailored, collateral-free loan solutions to turn your electric 3W dream into reality if you are inspired to make the switch. We finance all major three-wheelers currently available in the Indian market. So, take your pick and apply online now. Do you have any queries? Contact us today!
