The thriving market of E-Rickshaws in Delhi – Excerpts of Interview with CEO, Goenka Electric Motor Vehicles Pvt Ltd
Beginning from human-powered cycle rickshaws to auto-rickshaws, era is now drifting towards most recent modification “E-rickshaws”. These battery operated three wheelers are undoubtedly an integral part of transport eco-system in entire Delhi. As per a report of Centre of Civil Society (CCS), the number of E-rickshaws has risen from 4000 in 2010 to more than 1 Lakh, but a large percentage of such vehicles are still unregistered. There are only 29,123 registered E-rickshaws from April 2013 to March 2017 as per Delhi government records.
Reason behind growth
A research by CCS shows in the table below about the basic overview of Initial cost and Daily Earnings of Rickshaw drives.
*Now claimed to be 1000-1200 as per recent survey
Considerably low investment than an Auto-Rickshaw and quite pleasing daily earnings than Cycle rickshaws are the major reasons for the rise of these vehicles. Along with this the subsidies from Govt and loopholes in the system to drive without registration are stimulating factors that accelerate the shift towards E-Rickshaws.
Negligible Running Cost: Charging an E-Rickshaw using easily available conventional single phase socket at home makes a convenient and low operating cost model for rickshaw owners.
Happy commuters: The E-Rickshaw has always been one of the best options for passengers for a quick, safe and cost effective last mile transport.
**The details are based on market survey carried out by IPS team, Interaction with E-rickshaw Manufacturers and Vehicle owners.
Excerpts from a recent interview with Mr.Zafar Equbal, CEO, Goenka Electric Motor Vehicles Pvt Ltd
Mr Equbal as an expert in the industry and leading manufacturer of E-Rickshaws is very confident about vast growth of not only E-Rickshaw but the entire E-Vehicle Market. “Because the Future is Electric”, reads the caption of his firm. With about 4 basic models and numerous customised variants, their target is to reach in depths of the public transport market throughout India. More about GEM…
During discussion he draws attention to some serious concerns about E-Rickshaw industry that are expected to be addressed:
- Developing charging infrastructure : The development of competent charging stations along with modern fast charging options need to be developed hand to hand with growth of Electric Vehicles
- CMVR Rules: In order for expansion of Electric Vehicle market uniformly throughout country, manufacturers are expecting quick and supportive policy and regulation framework at PAN India basis.
- Subsidies : There are several issues regarding subsidies including following:
Unnecessary delays in releasing subsidy fund
Improper implementation at ground level
Different subsidy rules in different states
- Finance : For a small business like driving an E-Rickshaw , hence purchasing new vehicle, people are facing issues in getting adequate finance due to uncertainties. A support drive by manufacturers with different models is in action but that is not sufficient for all potential buyers.