Its time for logistic sector of India to adopt electric vehicles

Its time for logistic sector of India to adopt electric vehicles

The logistics sector in India has begun to embrace electric vehicles and is adopting them at a faster rate than projected.

Incentives are provided in the draught policy to ensure a smooth transition to last-mile EV delivery services.

There is no denying that electric mobility is the way of the future in India. The electric vehicle revolution has swept the globe, with the worldwide market set to rise by 24.3% in less than a decade. One of the most promising options for decarbonizing the worldwide ecommerce and logistics business is to switch to electric transportation.

The EV sector in India is establishing itself as a global powerhouse for electric two-wheelers.

The ICE-dependent logistics industry has already been disrupted by the electric vehicle revolution. EV versions of popular LCVs are being introduced by several prominent OEMs and new-age companies.

How surprising has the electric vehicle revolution been? Imagine telling yourself five years ago that you’d be able to get groceries delivered to your house in ten minutes using electric vehicles, or that hundreds of elegant EVs would become popular in urban areas. It’s unthinkable, but it’s a reality in today’s world!

Electric Vehicles are adding a spark to the logistics and E-commerce industries

The huge increase and adoption of electric vehicles have made them not only the future of mobility but also the future of the 100 smart Indian towns currently under construction. This includes energizing India’s $160 billion logistics industry.

According to the NITI Aayog, India’s logistics sector can save 4% of the country’s GDP and 10 million tonnes of CO2 by 2030 if clean technologies, such as electric mobility, are used. Even though most of the potential has yet to be realized, India’s logistics sector has begun to embrace electric vehicles and is adopting them at a quicker rate than projected. To automate their supply chain, many multinational OEMs are betting big on tech-enabled EVs.

For example, Flipkart, Swiggy, and Myntra teamed up with Zypp Electric to make the switch to electric vehicles as rapidly as possible. Not only has Zypp helped save 9 million KGS of CO2 through 2 million deliveries, but it has also enabled its grocery partners to save up to 10% on delivery expenses.

Logistics to boost Electric Vehicles adoption 

As more logistics and ecommerce enterprises transition to clean energy and vice versa, we’re going to see a multi-fold increase in the EV sector. The last-mile delivery segment will drive an increase in EV sales. This is because there are numerous obstacles to driving B2C adoption, including range concerns and charging infrastructure issues. The logistics sector’s adoption of electric vehicles would give India’s EV revolution a much-needed boost.

It will not only assist logistics firms in automating their supply chains, but it will also assist the EV sector as a whole in developing an innovative EV ecosystem that addresses all of the issues.

The number of logistics and ecommerce enterprises promising to go electric has increased, which has been a major driver of EV growth in India.

Furthermore, the Indian government’s tough stance on EV adoption across industries has prompted more ecommerce sites to jump on the EV bandwagon. The Delhi government recently announced a groundbreaking policy requiring all ride aggregators and delivery service companies to utilize electric vehicles.

The present and future of shared mobility 

Incentives are provided in the draught policy to ensure a smooth transition to last-mile EV delivery services. The new legislation opens up a lot of opportunities for companies like Zypp Electric, which can help logistics companies make the conversion to electric vehicles. If we dig deeper into the EV industry today, we’ll find a slew of e-commerce, food delivery, grocery delivery, and logistics companies collaborating with EV rental companies. Their goal is straightforward: to use the existing and emerging electric vehicle (EV) and charging infrastructure to provide carbon-free last-mile delivery.

Aside from deliveries, these EV rental firms hope to alleviate several issues, including capital investment on EVs and charging infrastructure, driver training, fleet efficiency, and rider revenues.

The most significant factor is the high operational costs of delivery on an ICE truck, resulting in lower passenger earnings. Above all, shared mobility will enable businesses to reduce the high operating expenses of ICE delivery while also providing better incentives to their delivery partners.

After switching from an ICE bike to an EV, delivery partners in certain tech-enabled EV firms saw net savings climb by nearly 100%. Furthermore, EVs are appealing since small business owners, gig workers, and independent delivery partners can rent customized EVs for as little as INR 149 per day, which is far less than the cost of an ICE.

We will be able to capture much of the untapped potential and bring a whole new viewpoint of mobility into view as we shift substantially from fossil fuels to all-electric, making the future not only electric but also green.

The content of this article is taken from livemint

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