PR No – 3
16th October, 2024
New Delhi
EV Startups and MSMEs critical for achieving Panchamrit goals :
PHDCCI & OMI Foundation Report
As India accelerates its journey towards electric mobility, PHDCCI, in collaboration with OMI Foundation, has unveiled a comprehensive report titled “Powering Startups and MSMEs for an EV-Ready India.” The report was launched by Shri Sudhendu J. Sinha, Advisor for Infrastructure Connectivity & Electric Mobility, NITI Aayog, and Cmde Amit Rastogi (Retd), Chairman & Managing Director, National Research Development Corporation at the Viksit Bharat Conclave 2024: New Era of EV, Green-Tech & Digital Startups on September 24, 2024 at New Delhi.
The report (https://drive.google.com/file/d/10pMqrrOR1ed1yv-y3aIkjYM2qD49KNGD/view) offers a comprehensive analysis of India’s evolving EV ecosystem. It outlines key challenges for EV startups and Micro, Small, and Medium Enterprises (MSMEs)—including regulatory complexities, financing barriers, and scaling infrastructure—and presents strategic recommendations to address these obstacles.
With India’s Panchamrit goals focusing on addressing climate change and achieving sustainable environmental practices, Electric mobility – with its potential to decarbonise the mobility and energy sectors alike – is a low-hanging fruit. India’s vibrant startup ecosystem, now ranked third globally, has fostered over 700 EV startups as of now. As India aims for 30% EV penetration by 2030, startups and MSMEs are playing a pivotal role in driving this transition. The knowledge report therefore highlights the critical contributions of startups and MSMEs in reshaping the EV landscape and offers strategic policy recommendations to ensure their sustainable growth.
Key Highlights of the Report:
- Innovation-Driven Growth: The report underscores how Indian EV startups, through innovations in battery technology, software solutions, and EV infrastructure, are leading the charge towards a cleaner, more sustainable future.
- Government Support: While central policies such as the Production Linked Incentive (PLI) scheme and FAME-II have created a foundation for growth, the report calls for more tailored schemes that directly address the needs of startups and MSMEs, particularly in the EV sector.
- Financial and Technological Access: Recommendations in the report also include expanding credit access, diversifying financing channels, and fostering collaborations between startups, incubators, and financial institutions to bridge the funding gap.
- Skill Development and Inclusivity: With a focus on skill-building and inclusion, the report emphasises the need for customised training programs and promoting the participation of women, marginalised communities, and vulnerable groups in the EV industry.
The report is expected to serve as a valuable resource for stakeholders across the EV value chain, from government agencies to investors, helping to shape policy reforms and drive the sustainable growth of startups and MSMEs in India’s electric mobility landscape.
Quotes from Leaders:
Mr. Sudhendu J Sinha, IRTS, Adviser, NITI Aayog:
“For the first time in 75 years since independence, India is making significant strides towards becoming a Viksit Bharat. The EV and Green-Tech sectors offer immense potential in driving this transformation. Additionally, the Production Linked Incentive (PLI) schemes are proving to be a game changer for India’s EV startup ecosystem, fostering innovation and growth in this space.”
Mr Salil Gupta, Co-Chair, Power Committee, PHDCCI : “Green-Tech & EV Startups will play a critical role in Viksit Bharat by 2047. Viksit Bharat, or Developed India, is not just a goal; it’s a mission that encompasses our aspirations for a nation that is economically robust, environmentally conscious, and technologically advanced. In this vision, the role of EVs and green-tech cannot be overstated”.
Ms. Aishwarya Raman, Executive Director of OMI Foundation:
“Startups and MSMEs are at the heart of India’s electric mobility revolution. Through this report, we aim to provide a roadmap that will empower these businesses, ensuring India’s position as a global leader in sustainable transportation. To this end, a collaborative, inclusive ecosystem is vital to India’s EV transition. With the right policy support and investments, India is well-positioned to lead the global EV movement, providing localised solutions that cater to both domestic needs and international markets.”
Dr. Ranjeet Mehta, CEO & Secretary General, PHDCCI:
“Our collective efforts must focus on creating a supportive ecosystem for startups and MSMEs to thrive. The insights from this report will help policymakers, industry leaders, and innovators build a sustainable and inclusive future for electric mobility in India.”
Event Highlights:
The Viksit Bharat Conclave 2024, organised by PHDCCI with OMI Foundation as a knowledge partner, ADIF as the Co-Host and NTPC as a Supporter, brought together policymakers, industry leaders, and innovators to discuss the future of India’s EV sector. The Conclave featured sessions on key topics, including sustainable development, green technology, and the role of startups in India’s electric revolution.
About OMI Foundation:
OMI Foundation Trust (https://omifoundation.org/) is a policy research and social innovation think tank operating at the intersection of mobility innovation, governance, and public good. Mobility is a cornerstone of inclusive growth providing the necessary medium and opportunities for every citizen to unlock their true potential. OMI Foundation endeavours to play a small but impactful role in ushering meaningful change as cities move towards sustainable, resilient, and equitable mobility systems which meet the needs of not just today or tomorrow, but the day after. OMI Foundation conducts evidence-based policy research housed under three interdisciplinary centres of excellence – Centre for Future Mobility, Centre for Clean Mobility, and Centre for Inclusive Mobility.
About PHDCCI:
PHDCCI has been working as a catalyst for the promotion of Indian industry, trade and entrepreneurship for the past 119 years. It is a forward looking, proactive and dynamic PAN-India apex organization. As a partner in progress with industry and government, PHDCCI works at the grass roots level with strong national and international linkages for propelling progress, harmony and integrated development of the Indian economy.
PHDCCI, acting as the “Voice of Industry & Trade” reaching out to more than 1,50,000 large, medium and small industries, has forged ahead leveraging its legacy with the industry knowledge across multiple sectors to take Indian Economy to the next level.
At the global level, we have been working with the Embassies and High Commissions in India and overseas to bring in the International Best Practices and Business Opportunities.
For inquiries, please contact:
Name – Punit Chaudhry
Designation – Secretary, PHDCCI
Contact Number – 9911576699
E-Mail ID – punit@phdcci.in
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Warm Regards,
Media Division
PHD Chamber of Commerce and Industry