Home AUTO India Can Save $106.6 Billion With EV Switch By 2035: Report

India Can Save $106.6 Billion With EV Switch By 2035: Report

11
0

Last Updated:

Implementing this initiative in 44 major cities could reduce 11.5 tonnes of PM2.5 emissions daily by 2035.

The estimates were highlighted in a study on the transport sector conducted by The Energy and Resources Institute (TERI). (Representative Image)

Switching to electric from old fossil fuel-powered vehicles in major Indian cities could help save USD 106.6 billion (Rs 9.07 lakh crore) in oil imports and significantly cut pollution and carbon emissions by 2035, a study has shown. By applying this initiative in 44 major Indian cities (with a population over 10 lakh), the country can avoid 11.5 tonnes of harmful PM2.5 emissions every day by 2035. This would mean a significant reduction in greenhouse gas emissions by 61 million tonnes of carbon dioxide equivalent.

The estimates were highlighted in a study on the transport sector conducted by The Energy and Resources Institute (TERI). According to them, this move would help India save more than 51 billion litres of petrol and diesel. It also warns that the number of older, polluting vehicles may rise from 49 lakh in 2024 to 75 lakh by 2030.

According to TERI, during winter, the transport sector contributes significantly to air pollution in Indian cities, going up to 24 per cent of PM10 and 37 per cent of PM2.5 levels. The study has found older vehicles to be a major contributor to higher pollution levels, emitting more harmful pollutants.

Among these, older diesel buses are the biggest contributors, emitting the highest levels of pollutants. This is why implementing policy changes, such as age restrictions on buses, could significantly reduce emissions. The study estimates that such a move would cut PM2.5 levels by 50 per cent and nitrogen oxide emissions by 80 per cent by 2030.

In its study, TERI has also suggested a phased approach to remove about 1.14 crore vehicles between 2030 and 2035. It recommends these older vehicles be replaced with electric vehicles or a mix of electric and CNG vehicles and subsequently reduce greenhouse gas emissions by 61 million tonnes of carbon dioxide equivalent.

It is also estimated that more than 3.7 lakh new jobs could emerge in the renewable energy sector from this potential transition. The project would require building solid EV charging infrastructure, including the installation of 45,000 public charging stations and 130 vehicle scrapping facilities across these 44 cities.

According to the study, published in April 2025, converting half of the older vehicles to CNG would require about 2,655 new CNG stations, with job creation reducing to around 45,000.

Get the latest updates on car and bike launches in India — including reviews, prices, specs, and performance. Stay informed with breaking auto industry news, EV policies, and more, Also Download the News18 App to stay updated!
News auto India Can Save $106.6 Billion With EV Switch By 2035: Report

LEAVE A REPLY

Please enter your comment!
Please enter your name here