Maruti Suzuki is planning to phase out IC-engined cars and will sell only hybrids, EVs, CNG models and even Compressed BioGas (CBG) based models by 2030
This is an ambitious plan by the Indo-Japanese manufacturer as most of their models currently use ICE and although it does sell a few of them in the form of CNG and strong hybrids, its fully electric model will be launched only later next year. There is a point to be considered though, Maruti Suzuki aims at moving over ICE, but it has not promised to move into only EVs.
It is looking at expanding its portfolio with other options like strong hybrids, flex fuels, CNG models, and compressed BioGas (CBG). We understand that flex fuels, CNG, and CBG also utilise ICE engines, but the goal here is to move away from pure ICE engines that utilise fossil fuels like petrol and to reduce carbon emissions further.
Maruti Suzuki has already started working towards this path by making noteworthy investments in these technologies. It has already committed Rs 10,300 crore for its EV infrastructure, of which Rs 7,300 crore will be used for building another lithium-ion cell and battery pack manufacturing unit, and Rs 3,000 crore for EV manufacturing. All these plants will be set up in Gujarat as per their agreements.
Rahul Bharti, Executive Corporate Affairs Officer, has told ETAuto that every car sold by Maruti Suzuki India by FY31 will be fitted with carbon reduction technology.
Bharti said that its first electric vehicle will debut late next year, and this model will be exported to other countries as well. He confirmed that the EV is a sophisticated vehicle that uses a 60kWh battery to provide a usable driving range of 550 km. He also highlighted that this is an EV built from scratch unlike some of the current EVs that are based on their ICE counterparts.
While we do agree that reducing carbon emissions is a good thing for our grandkids and the polar bears, owning an EV, however, is still a challenge as of now. The cost of EVs is almost double and this is majorly because of the higher cost of the battery tech itself which accounts for almost 70% of the vehicle cost. Once battery manufacturing increases and the prices start to fall, we can expect the numbers to climb up and this is what Maruti Suzuki is aiming to achieve. Whether they will be able to do it before 2030 is something that we will have to wait and see.