Electric Vehicles to Increase Power Sector’s Viability: Feedback Consulting
New Delhi: The government’s focus on transforming mobility through a shift to electric vehicle will increase the viability of India’s power sector which is witnessing a flat rise in demand, according to a research paper issued by Feedback Consulting, a leading research-based business consultancy in India.
The electric vehicle segment also has the capability to become an important contributor to ‘Make In India’ provided a possible challenge from China is addressed, the paper entitled “The Dilemma of Choosing Electric Vehicle Vs Hybrids Vs IC based Auto Development in India” states.
Terming ‘fuel security’ and ‘reduction in carbon emission’ as strategic imperatives for India, the paper says, “A new source of power demand in terms of electric vehicles will be highly appreciated by the power sector. It may lead to a more stable power demand and that too from a paying customer segment over the years and increase the viability of the sector.”
The research undertaken by Feedback Consulting pointed out that most power plants have operated at an average capacity of 55% in the last 3-4 years.
Power demand rose 4.08% in 2016-17 than a year ago whereas the 12th Five Year Plan had factored in a growth of 7% in demand, the paper says, adding, “This combined with an ambitious renewable energy targets and growth will lead to a serious case of oversupply and the viability of a crucial engine of the Indian economy, i.e. power sector, will be in serious question.”