Abstract:

The central government and several state governments in India have implemented consumer financial incentives that reduce the total cost of ownership gap between electric and conventional gasoline and diesel cars used as ride-hailing vehicles. Still, though, the uptake of electric vehicles has been slow across India, and none of the leading ride-hailing platforms have taken up initiatives toward decarbonizing their four-wheeler fleets the way they have in Europe and the United States. Therefore, introducing non-fiscal policy measures that supplement the financial incentives could help to drive electrification in ride-hailing businesses in India. This briefing reviews how select additional policies could help further bridge the gap between battery electric vehicles (BEVs) and gasoline and diesel cars. The focus is on non-monetary policies and policies adopted in the United States, China, and Europe, which are also key ride-hailing markets.