Challenges in Electric Motorcycle Adoption in India
Electric motorcycles, also known as ebikes, face several hurdles in India, as outlined in a NITI Aayog analysis. These obstacles include complex research and development (R&D), technology constraints, and strategic choices by legacy brands.
Key Issues Faced
- R&D Complexity: The intricate R&D required for ebikes increases costs significantly.
- Absence of Global Models: Unlike electric scooters, ebikes lack global price-sensitive reference models, necessitating a fresh start for R&D.
- Technology Constraints: Current ebikes do not meet consumer expectations for power, speed, and range at competitive prices.
- Legacy Brands' Strategy: Major brands prefer to be "fast followers" rather than "first movers," allowing startups to take initial risks.
Market Penetration and Consumer Expectations
Despite motorcycles forming nearly two-thirds of India's two-wheeler market, electric motorcycle penetration remains at a negligible 0.1%, compared to scooters which have achieved about 15% EV penetration.
Technical and Economic Constraints
The need for larger batteries to match internal combustion engine (ICE) vehicles increases ebike prices, which is problematic in a price-sensitive market where 65% of motorcycle sales are in the sub-110 cc segment.
Comparison with Electric Scooters
- Adoption Factors: Electric scooters are better suited for city commuting and commercial use, with lower running and maintenance costs, making them popular among urban populations.
- Design Simplicity: Scooters’ gearless design easily adapts to electric drivetrains, unlike traditionally geared motorcycles.
- Market Strategy: Initial reliance on imported scooter kits from China sped up development and market entry.
Current Situation
Only a few companies like Revolt Motors, Ultraviolette Automotive, Oben Electric, and Matter Motors are currently selling electric motorcycles in India. The limited adoption reflects structural and technological differences rather than a lack of demand for electric mobility.