Summary
The electric three wheelers market in India was valued INR 708,520.3 Lakh in 2019 and is projected to reach INR 1,910,845.7 Lakh by 2027; it is expected to grow at a CAGR of 29.61% from 2020 to 2027. The electric three wheelers market in Sri Lanka was valued INR 2,604.2 Lakh in 2019 and is projected to reach INR 8,624.7 Lakh by 2027; it is expected to grow at a CAGR of 33.4% from 2020 to 2027.
An unchecked increase in private traffic over the years has led to increased traffic congestion within the Colombo Municipal Council (CMA), which covers the Colombo and Thimbirigasyaya Divisional Secretariat Divisions. This has had several adverse effects on the economic and environmental health of the city due to increased vehicle operating costs, more significant travel time costs, and high pollution in regions where congestion is prevalent.
Plug-in hybrid electric three-wheelers are also more fuel-efficient than their ICE counterparts because of their battery-powered electric drive systems, which produce reduced fuel consumption, as well as cut, or even zero, mobile emissions.Electric three-wheeler fuel efficiency can be further improved through a regenerative braking system that captures energy that would otherwise be lost and stores it as electricity in the on-board battery.
So overall, the introduction of electric three-wheelers in Sri Lanka is expected to reduce greenhouse gas emissions during traffic congestion in the country.
Three-wheelers are mostly unregulated, and this has led to the entry of large numbers of individual operators to the Sri Lankan market.In order to meet local concerns, operators of a given locality have formed into loose associations or, in some instances, into organized associations that have a constitution, representation of district membership, and office-bearers.
Usually, three-wheeler fares are negotiated for each trip.Although there have been some discussions regarding the implementation of meters, previous attempts have failed.
In a study published by the government and the Institute of Moratuwa, a huge variation in fare was noticed.After the study, it was witnessed that fares increase with travel distance.
The fare of Rs 42.71 for the first km is approximately seven times that of the bus fare for the same distance and around two times the financial cost of running a passenger car for a distance of 1 km.
Such an implementation of a metered fare system would help in regularizing the market.With a regularized fare system, commuters would be less hesitant to use three-wheelers for their daily transport.
Thus, in the future, a regularized fare system for electric-three-wheeler will aid in the market’s growth.
In terms of type, the e-rickshaw segment led the India and Sri Lanka electric three wheelers market in 2019 the largest share, and it is expected to continue to be the largest shareholder during the forecast period.E-rickshaws (slow-speed) have turned out to be aid in supporting the country’s micro mobility issues with its low cost of ownership, low price and high return on investment.
As per a TERI (2019), the three-wheelers are among the front runners for electric mobility transition.Among the various vehicle segments, the electric three-wheeler segment has recorded the maximum adoption since 2015-19.
The maximum localization of electric vehicle (EV) manufacturing, which is critical for EV uptake is also available in the three-wheeler segment.Manufacturers such as Mahindra & Mahindra and Lohia Auto have been flooded with sale inquiries for lithium-ion electric passenger three-wheelers.
India is the largest market for three-wheelers (ICRA, 2018), has shown huge demand even for electric three-wheelers (both electric rickshaws and three-wheelers). As per data shared by the Society of Manufacturers of Electric Vehicles (SMEV), the apex lobby body for EVs, sales of electric three-wheeler segment grew 21% during 2018-19 to 630,000 as against 520,000 sold in 2017-18.
The India and Sri Lanka electric three wheelers market size has been derived using both primary and secondary sources.To begin the research process, exhaustive secondary research has been conducted using internal and external sources to obtain qualitative and quantitative information related to the market.
The process also serves the purpose of obtaining overview and forecast for the India and Sri Lanka electric three wheelers market with respects to all the segments.Also, multiple primary interviews have been conducted with industry participants and commentators to validate the data, as well as to gain more analytical insights into the topic.
The participants who typically take part in such a process include industry expert such as VPs, business development managers, market intelligence managers, and national sales managers along with external consultants such as valuation experts, research analysts, and key opinion leaders specializing in the India and Sri Lanka electric three wheelers market.A few of the players operating in the India and Sri Lanka electric three wheelers market are Adapt Motors Pvt.
Ltd, Saarthie-RICKSHAWS, SL Mobility, KSL Cleantech Limited, Omega Seiki Pvt. Ltd, Altigreen, OK Play EV, Lohia Auto Industries, Kinetic Green Energy & Power Solutions Ltd, ATUL Auto Limited, Piaggio& C. SpA, Bajaj Auto Ltd, J.S. Auto (P) LTD., and Speego Vehicles Co Pvt Limited, among others.
