India’s electric mobility transition will be driven primarily by two-wheelers, where affordability, daily usability and scale are critical, according to Kunal Arya, Managing Director of ZELO Immobility Limited.

Speaking ahead of Union Budget 2026-27, Arya said that ground-level adoption trends point to electric two-wheelers as the backbone of India’s EV growth story. “India’s electric mobility transition will be driven on two wheels, where affordability, daily usability and scale matters the most,” he said.

Shift Away From Short-Term Subsidies

Arya said EV manufacturers are increasingly looking beyond short-term subsidies and towards long-term structural enablers to support sustainable growth.

“At ZELO, we are seeing strong and consistent adoption across markets, which gives us a clear ground-level understanding of what truly drives mass EV adoption in India,” he said, adding that policy stability is becoming more important than one-time incentives.

Push for Deep Localisation

One of the key expectations from Budget 2026-27 is support for deeper localisation in EV manufacturing. Arya pointed out that India still imports a significant share of battery components used in electric vehicles.

“A component-specific PLI for battery cells, controllers, and power electronics would meaningfully strengthen Make in India and reduce supply chain risk,” he said.

Affordability Through Financing and GST Rationalisation

Affordability remains a major factor in expanding EV adoption, particularly in the mass-market two-wheeler segment. Arya said rationalising GST for electric two-wheelers and improving access to low-cost financing could have a far greater impact than subsidies.

“Priority-style financing and better access to affordable credit can accelerate adoption far more sustainably than one-time incentives,” he said.

Charging Infrastructure Targets

Arya also highlighted the need for a clear national roadmap for charging infrastructure. He suggested setting a target of 50,000 public charging points by 2027.

“A clear national target, including mandatory chargers at highways and fuel stations, would decisively address range anxiety,” he said.

Need for Policy Stability and Long-Term Capital

For manufacturers investing in localisation and capacity expansion, Arya emphasised the importance of predictable policies and longer-term financing.

“Manufacturers investing in localisation need policy stability and longer tenure of financing, not short subsidy cycles,” he said.

He added that if Budget 2026 prioritises affordability, localisation and scale over headline-driven incentives, electric two-wheelers could play a central role in India’s broader mobility transformation.