Pune: Mercedes Benz India MD & CEO Santosh Iyer said that electric vehicles ( EV ) are the cleaner option when it comes to energy transition in the automotive sector and while hybrids are less polluting than pure combustion engines, they are behind the curve compared to EVs. Considering the experience seen globally, where most countries have already transitioned from hybrids to EVs, it is prudent to avoid taking a step back, he told TOI when asked about the Uttar Pradesh’s recent move to waive road tax on hybrids. “We have the portfolio.
That is not the problem, but it will be prudent to focus on one technology and the zero-emission mobility rather than the in-between step (hybrids),” he said. If the policy wants to target carbon neutrality and zero emissions , EV is the only choice, he added. While EV has costlier technology, the central and state govts are subsidising them to make them more attractive and bring them at par with combustion engines.
State incentives vary in different parts of the country as some states rolled back zero tax on EVs. But from the centre’s perspective, India is able to provide sops for EVs as combustion engines are heavily taxed, whereas other countries are struggling to do a differential on EVs. The cost structure for EV is lucrative, and if this continues, buyers may switch to luxury EVs.
Mercedes Benz, which gets 5% of its volumes from EVs, has set a goal of going fully electric by 2030. The company expects to continue on double-digit .