Battery swapping policy for EVs

On February 1, 2022, Finance minister Nirmala Sitharaman announced a “Battery swapping policy for EVs”, during Budget speech of 2022.

Battery Swapping Policy for EVs

  • The Battery Swapping Policy for EVs was announced in a bid to scale, promote and use electric vehicles in India.
  • This policy will be brought to set up battery stations at a mass level. For this purpose, interoperability standards will also be formulated.
  • With this policy, private players will be encouraged to develop innovative and sustainable models for battery as a service. It will help in increasing the efficiency in electric vehicle ecosystem.

Significance of the policy

This move will give impetus to growth of electric vehicle in coming years. This, Electric vehicle players have welcomed this decision. Introduction of battery swapping policy and recognizing energy & battery as a service will help in developing charging infrastructure and increasing the use of EVs in public transportation. It will create new path for companies to venture into battery swapping business. Furthermore, creation of special clean zones will accelerate the adoption of EVs as well as spread awareness amongst citizens. This policy will benefit the whole segment, i.e., E2W, e-cars, E3W, and buses.

What are Electric Vehicles (EVs)?

Vehicles which use one or more traction motors or electric motors for propulsion, are dubbed as “Electric Vehicles”. Such vehicles may be powered through self-contained battery, an electric generator or solar panels to convert fuel to electricity.

Government’s initiative

Government seeks to achieve target of electric vehicles to make up 30 % of new sales of cars and two-wheelers by 2030. India has launched National Electric Mobility Mission Plan (NEMMP) and faster Adoption & Manufacturing of (Hybrid &) Electric vehicles in India (FAME India), to build a sustainable EV ecosystem.


NEMMP was launched in 2013 with the objective of achieving national fuel security by promoting hybrid and electric vehicles in India.

About FAME India

FAME India Scheme was launched in 2015 with the aim of supporting hybrid or electric vehicles market development and manufacturing ecosystem in India. It focuses on 4 areas, namely Technology Development, Pilot Projects, Demand Creation, and Charging Infrastructure.




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