Hero Electric expects rise in EV demand post lockdown

Hero Electric believes that as more of us adopt social distancing norms, the private vehicle sector is poised to witness a significant growth. A result of this will be a substantial increase in the adoption of electric vehicles as the idea of clean-energy alternatives are becoming more mainstream.

The company says that post COVID-19, the global EV (along with EV infrastructure) market is projected to reach 4.18 million units by 2021 from an estimated 3.42 million units in 2020, at a CAGR of 22.1 percent and India is expected to be a significant contributor to this growth.

According to the Society of Manufacturers of Electric Vehicles (SMEV), in FY2020, India witnessed sales of around 1,52,000 electric two-wheelers – up by 20.6 percent from FY2019 – and this number is expected to go up next year.

Hero Electric is also hopeful that consumers take note of the dramatic improvement in air quality since the lockdown came into play. For instance, over a three-week period, Delhi saw its air pollution levels drop by a staggering 60 percent. The EV manufacturer believes this is an opportunity towards the adoption of smarter and sustainable mobility solutions and that the ongoing pandemic is likely to change the way we commute.

The manufacturer also said that while the majority of Indians would prefer private vehicles to reduce the odds of catching the contagious virus, they would also look for safer and economical commuting options. Such as low- and city-speed electric scooters that have a low purchase price and running costs. Switching from ICE-vehicles to EVs would also reduce any travel pit stops at the fuel stations, because green vehicles are supported by portable batteries that further increase the concept of contactless transportation, thereby enhancing consumer confidence in these troubled times.

Sohinder Gill, CEO, Hero Electric said, “Given the upcoming ‘new normal’ era, consumers focus on sustainable mobility options, prefer sensibly priced electric two-wheelers, and are reluctant in going back to the overcrowded public transport system.”

The company says that considering the present scenario, it is almost certain that the Indian automotive sector will not be going back to the old normal market anytime soon. The new normal will bring in many challenges but multiple opportunities with it as well and Hero Electric says it is aptly prepared for it.

To make the adoption of EVs effortless, Hero Electric says it has recently announced an online sales scheme on its entire range. Taking the online-first approach, Hero Electric says it has been able to act very quickly and take advantage of the time on hands by introducing a lucrative online scheme – Rs 5,000 cash discount (all models) and Rs 3,000 cash discount on Glyde and e-Velocity, along with referral discount of Rs 1,000 for potential Hero Electric customers, and the response has been rather encouraging. The manufacturer says, limited to all online bookings made starting from April 17 till May 15, 2020, customers can take delivery of vehicles any time after the lockdown opens.