Charge Up, Ride On: Navigating the Lithium-Ion Two-Wheeler E-Battery Landscape in India

Lithium-ion batteries have come as the answer to nature’s pleas to halt the widespread pollution, that is slowly but surely destroying Planet Earth. With environmentalists vociferously crying out on behalf of Mother Earth, and governments framing policies, and offering incentives, for more sustainable and less polluting modes of transport, lithium-ion battery-powered vehicles, are slated to take their rightful place worldwide.

This blog explores the lithium-ion two-wheeler e-battery landscape in India, holistically reviewing it from the perspective of all stakeholders. It’s important to base any study on factual data, so we’ll also take a look at the statistics revolving round this important subject.

Navigating India’s Lithium-ion E-Battery Landscape for Two-Wheelers

The transition to lithium-ion battery powered vehicles has begun, and as the benefits to various stakeholders become clearer, there are an increasing number of manufacturers and vehicle owners who are sitting up and taking note of this trending technology. This blog trains its attention on the electric two-wheeler (E2W) segment in the Indian scenario.

Our journey takes a look at market analysis, technological trends, charging infrastructure, manufacturers’ plans, user perspectives, government policies, and future trajectory.

1. Market Analysis

We begin with an analysis of the contemporary Indian Market for E2Ws. The Government of India’s Vahan portal, reveals that India’s e-two-wheeler sales increased by nearly 24% Year-on-Year (YoY) to 81,963 units in February 2024, and crossed 800,000 units in the 11-month period. While February 2023, recorded 66,053 units, May 2023 saw 1,04,055 units registered. Registration fell to 45,000 units in June 2023, with reduction of FAME-II subsidy. A broader annual perspective reveals that Year-to-Date (YTD) FY24 average monthly registrations stood at 73,190 units, whereas for FY23 this rate was 60,500 units. This translates into a 21% YoY increase, which indicates a good rate of electric mobility for two-wheelers, over a 12 months period. The Economic Times report states that: The electric two-wheeler penetration rate for February 2024 reached 5.7%, a slight increase from January's 5.6%, highlighting the sustained momentum of E2Ws in the Indian market.

2. Technological Trends in EV Batteries

The need for cleaner air led to the introduction of electric vehicles (EVs) which were initially powered by rechargeable lead acid batteries. Another technology that saw the light of day was GEL batteries, but these did not gain much acceptance as costs were high. Hence lead acid batteries continued to hold sway, until the more efficient lithium-ion batteries were introduced to the world. The reason for this is that lithium-ion batteries have high energy density, are lightweight, compact in design, and have fast charging capabilities. Decreasing costs of lithium-ion batteries, is another reason for its increasing popularity. According to P & S Intelligence, the prices of Li-ion batteries have fallen sharply over the last 10 years, at a rate of around ~30% annually. All this has led to lithium-ion batteries, becoming the norm rather than the exception for powering electric vehicles including two-wheelers.

3. Charging Infrastructure

Charging Infrastructure for lithium-ion batteries is currently in its nascent stage and needs to be stepped up to cope with and encourage rapid adoption of EVs. The Central and State Governments are working in conjunction with private entities, to set up a network of charging stations across the country, especially in urban areas, on highways, and in large residential complexes. Some E2W manufacturers even offer home charging solutions for their customers. Furthermore, OEMs (Original Equipment Manufacturers) and energy companies are partnering to accelerate the deployment of charging infrastructure, by pooling their individual expertise and resources, to set up robust charging networks. Battery Swapping Stations is another novel idea that is taking shape, whereby the discharged battery can be exchanged for a fully charged one, to eliminate the need for charging stations.

4. Manufacturers’ Plans

Let’s sample the latest news. Quoting The New Indian Express of 2nd April 2024: “2024 is likely to be the year of E2Ws – one in which two-wheelers move in from the fringes and assume their role bang in the centre of the world's largest two-wheeler market. Besides their rising market share – 13% as of mid-2023 – a cursory look at the industry's launch pipeline reveals which way the wind is blowing: Of the 20 two-wheeler models launched or scheduled for launch this year, only 5 are petrol models. The remaining 15 – or 75% – are electric. What is even more interesting is that the 15 electric models – for the first time – contain a sizeable number of e-motorcycles.” – A clear indication of what’s on the E2W manufacturing radar.

5. User Preferences

Users are the major gamechangers who determine the success or failure of EV adoption. An analysis of user behaviour shows a positive inclination towards transitioning to E2Ws due to the long-term cost savings, long lifespan, and maintenance free operations, which off-set the initial high cost. Better range and performance of EVs; and advanced features such as regenerative braking, smart connectivity, and integrated navigation systems, are strong pull factors, especially for tech-savvy users who value innovation and convenience. Other positive influencers are environmental concerns, government subsidies and incentives, and the existence of home charging facilities, in addition to the thrust towards increasing public charging stations. However, there are barriers that prevent mass transition, which include, resistance to change, higher initial costs, nascent charging infrastructure, developing battery technology, and erroneous perceptions. Nevertheless, with benefits of transitioning getting more recognition, the hope of faster transitioning is indeed looking up.

6. Government Policy and Initiatives

Government policies have been geared to encourage transition to EVs. Schemes like Faster Adoption and Manufacturing of Electric Vehicles (FAME) India 2015, and National Electric Mobility Mission Plan (NEMMP) 2020, have incentivized both production and adoption of electric vehicles, through subsidies, tax rebates, incentives for EVs buyers and manufacturers; and also extending grants for setting up charging infrastructure. All this has encouraged the growth and adoption of E2Ws, and consequently encouraged the growth of the lithium-ion battery manufacture and usage.

7. Future Trajectory

An informed gaze beyond the immediate horizon points towards an increasing trend towards E2Ws. For one thing, analysis reveals that gasoline-powered two-wheelers are operationally most expensive to operate in the long run, even when gasoline prices have dropped in the past. On the other hand, the cost of lithium-ion batteries is steadily reducing, making it an attractive option. The Indian Government’s goal to have electricity powering 30% of all modes of transportation by 2030, is another indicator of where the future lies. With environmentalists actively spreading awareness of the earth’s cries, more users are realizing that they need to transition to EVs for the sake of their future generations. The future landscape for e-two-wheelers is therefore bright.

With this 360° review of the lithium-ion two-wheeler battery landscape in India, it’s curtains down on this blog. But for you the rider, the road is wide open, whether for your daily commutes, or for your long adventurous journeys. So, choose wisely… cast your vote in favour of Mother Earth, ‘Charge Up and Ride On’ with E2Ws. Navigate the busy urban roads, or the quiet peaceful countryside on your E2W, and be proud that your EV’s zero-tailpipe emission is halting abuse of our dear planet, and making the air more breathable for all.

Allow us to share with you some valuable insights on how your rides can benefit you. Battrixx lithium-ion batteries for E2Ws are a great buy from every perspective. Designed and manufactured to the highest automotive standards; they are high on energy density; charge quickly, are light weight; have a long lifespan; and are equipped with enhanced safety through Battery Management Systems (BMS). The advanced technology used, protects against short circuits, cell overvoltage and under voltage, charge/discharge overcurrent, and over/under temperature. Our batteries meet the highest global standards for designing, constructing, and testing battery packs, which is confirmed by the ARAI Certification under AIS 156 Amendment III Phase 2 awarded to us.

Browse through our website www.battrixx.com to explore our range of value for money, green, clean, energy systems that power all Electric Vehicles: Bicycles, Two-Wheelers, Three-Wheelers, Cars, Passenger Vehicles, Light Commercial Vehicles, Tractors, and even niche vehicles like Golf Carts, Forklifts, and Marine Transportation. There’s even more, with our batteries powering Portable Devices, UPS, and Telecommunication Systems.

Battrixx – accompanying you with uncompromised safety, excellent performance, and customer-centric serviceability, enabling you to ‘Charge Up and Ride On’, stress free, even as you enjoy a virtual pat from Mother Earth.