auto news desk, Amidst the fast growing market of electric vehicles, there is also a large number of people wringing their hands regarding the price. Even after subsidy, the prices of electric vehicles sit higher than diesel-petrol models. For this reason, many people buy conventional fuel vehicles instead of electric vehicles. Such people can get relief in the coming days.
earning so much in three years
According to data from automobile consultancy firm Jato Dynamics, the price gap between electric vehicles and diesel-petrol vehicles is fast narrowing. According to statistics, in the year 2020, the average price of an electric passenger vehicle was 137 percent more than the same petrol variant. This meant that electric vehicles were becoming more expensive than double. Now this difference has reduced to just 73 per cent.
Increased prices of these vehicles
Several factors are responsible for the narrowing of the price gap between vehicles with conventional engines and electric vehicles with diesel-petrol engines during the past three years. Firstly, the emission standards are constantly being tightened. Due to this, all the vehicle companies have increased the prices of their models. Companies will have to upgrade the hardware and software of their vehicles to comply with the new norms. This is increasing their cost, which is ultimately increasing the prices of the vehicles.
government support is working
On the other hand, the government is trying to promote domestic manufacturing of electric vehicles, batteries and other spare parts. For this, many incentive schemes are being run by the government. Increasing domestic manufacturing is reducing the overall cost, including battery packs, ultimately driving down the prices of electric vehicles.
EV adoption will accelerate
Overall, while there is a rising trend in the prices of diesel-petrol engine vehicles i.e. ICE vehicles, there is a declining trend in the prices of electric vehicles. This process may continue in the coming times as well. This will reduce the difference in the prices of both types of vehicles and it may also happen that only electric vehicles are cheaper. In such a situation, more and more customers can get a chance to buy an electric vehicle.