New Delhi, October 15: At least 85 million electric vehicles (EVs) are expected to be on the roads globally by the end of 2025, with India clocking 500,000 EVs in the same time-frame, driven by various government incentives, according to a report on Tuesday.

Despite several hurdles affecting the EV market over the past few months, Gartner projects the number of EVs in use globally to total 64 million units in 2024 and increase 33 per cent in 2025. "Many companies overestimated how quickly the switch to EVs would occur. This caused those companies to delay launching new EV models,” said Jonathan Davenport from Gartner. Hyundai Motor to Invest Around INR 32,000 Crore in India Till 2032, Eyes IPO Launch on October 22.

Globally, battery electric vehicles (BEVs) in use are forecast to total almost 62 million units by the end of next year, an increase of 35 per cent from 2024. Plug-in hybrid electric vehicles (PHEVs) are expected to grow at a slightly slower rate and reach an installed base of 23 million units in 2025, up 28 per cent from 2024.

“In India, 500,000 EVs are expected to be on the road by the end of 2025. BEVs in use are expected to total 370,000 units, while 129,500 PHEVs are forecast to be on the road by the end of 2025,” the report mentioned. The number of EVs on the road in India will achieve a high growth, increasing 51 per cent in 2025.

“Economic incentives like the Faster Adoption and Manufacturing of Electric Vehicles (FAME) scheme are making EVs more affordable than petrol or diesel cars,” said Davenport. “Indian customers are increasingly willing to make procurement decisions that will result in improving air quality levels.” By 2030, Automakers Will enable the recycling of 95 per cent of batteries from EVs to mitigate the risk from raw material shortage. Government Advances Towards Its Target for 20% Ethanol Blending by 2025, Committing to Sustainable Energy: Union Minister Hardeep Singh Puri.

With EV sales expected to rise year-over-year, a shortage of raw materials will not be easy to resolve. “A robust recycling effort to take advantage of materials in spent batteries and scrap from the manufacturing production process, which, together with EU efforts to mandate battery recycling, could reduce the need for more mineral excavation,” said Davenport.

(The above story first appeared on LatestLY on Oct 15, 2024 01:41 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).