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Subsidising the status quo: How BEE fails EV transition

The article argues that India’s BEE CAFE draft weakens the EV transition, contrasting it with Delhi's EV policy and national goals. It highlights loopholes such as incentives for FFVs and PHEVs, and cites global EV adoption comparisons to contend that India risks lagging in the transition.

Why It Matters

A weak emissions framework could slow India's energy security and its position in global leadership of the EV era.

Timeline

13 Events

Call for BEE to tighten CAFE to avoid regressing

May 6, 2026

The article calls on BEE to stop writing regulations for the status quo and to tighten the CAFE framework to drive real change.

Global EV adoption comparisons cited

May 6, 2026

The article cites international comparisons: Nepal at 75%, Singapore and Vietnam above 40%, Thailand 23%, Indonesia 20%, Korea above 15%, Brazil around 10%, and India at 2.5% in 2025.

Credits for start-stop systems, mild hybrids and LED lighting included

May 6, 2026

The regulation includes credits for start-stop systems, mild hybrids, and LED lighting—features the article says are already widely deployed.

PHEV super credits multiplier set at 2.5x

May 6, 2026

Plug-in hybrids receive a 2.5x super credits multiplier, a policy choice the article criticizes.

FFV incentives include 22.3% carbon neutrality factor and extra super credits

May 6, 2026

The draft offers a 22.3% carbon neutrality factor and additional super credits for FFVs, despite limited real-world emissions reductions.

Suzuki pledges 15% EV share by 2030

May 6, 2026

Suzuki, India's largest automaker, voluntarily committed to a 15% EV share by 2030.

NITI Aayog highlights $200 billion opportunity for 30% EV penetration

May 6, 2026

NITI Aayog highlighted a $200 billion opportunity linked to achieving 30% EV penetration.

PM Modi calls for eightfold increase in EV sales by 2030 under Viksit Bharat vision

May 6, 2026

Prime Minister Narendra Modi announced an eightfold increase in EV sales by 2030 under the Viksit Bharat vision.

Delhi releases new EV policy aiming to phase out ICE two- and three-wheelers starting next year

May 6, 2026

Delhi's newly-released EV policy calls for phasing out internal combustion engine two- and three-wheelers starting next year.

BEE 2026 CAFE draft reduces target to 8-9% by 2032

May 6, 2026

The 2026 draft reduces the target to 8-9% by 2032, weakening the ambition.

India’s EV sales share at 2.5% in 2025

2025

In 2025, India clocked a mere 2.5% EV sales.

BEE 2025 CAFE draft targets 11-12% EV sales

2025

The 2025 draft diluted the EV sales target to 11-12%.

BEE 2024 CAFE draft targets 14-15% EV sales

2024

The 2024 draft of the Corporate Average Fuel Efficiency standards targeted 14-15% EV sales.