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IntroductionMaruti Suzuki has taken a strategic detour from pressing ahead with a full electric vehicle (EV) launch. Instead, with the recently unveiled Victoris SUV, the automaker is doubling down on hybrid and CNG variants, leaving its EV debut still pending. This shift reflects a pragmatic response to India’s unique market challenges—from infrastructure to pricing.Table of Contents India’s EV Roadblock: Challenges Ahead Maruti’s Triple‑Fuel Approach: ICE, Hybrid & CNG Hybrid Localisation: Reducing Cost, Boosting Appeal Demand Landscape: Why Hybrids & CNG Are Leading for Now What Lies Ahead: EV Prospects for Maruti Suggested Chart/Table Conclusion FAQs 1. India’s EV Roadblock: Challenges AheadDespite government incentives, electric vehicles in India face key hurdles: High upfront pricing, especially with limited localized cell manufacturing and constraints in rare earth supply A weak charging infrastructure, which undermines consumer confidence in EV adoption 2. Maruti’s Triple-Fuel Approach: ICE, Hybrid & CNGMaruti Suzuki has introduced the Victoris SUV with three engine configurations—traditional internal combustion, hybrid, and CNG—while deferring EV launch plans for the moment.3. Hybrid Localisation: Reducing Cost, Boosting AppealMaruti is ramping up localized production of hybrid battery components. This move aims to lower costs and make hybrids more affordable and accessible to Indian buyers.4. Demand Landscape: Why Hybrids & CNG Are Leading for Now Fuel budget concerns and infrastructure gaps amplify the appeal of hybrids and CNG. A recent economic overview showed hybrids commanding 8.29% market share in May 2025—double the EV segment’s share, which stood at around 4%. Data from July 2025 suggests hybrid vehicle growth mirroring EVs, driven by high fuel prices and stricter fuel-efficiency norms. 5. What Lies Ahead: EV Prospects for MarutiDespite the current focus on hybrids and CNG, EVs remain part of Maruti’s roadmap: The e-Vitara, Maruti’s first EV, was flagged off on 26 August 2025, and is being positioned for global exports, targeting some 70,000 units in FY 2025‑26. The shift to hybrids and CNG reflects strategic pacing amid domestic EV adoption challenges, not an abandonment of electrification. 6. Suggested Charts / Tables Chart A: Comparative market share (%) — Petrol, Diesel, CNG/LPG, Hybrid, EV (May 2025 vs May 2024) Table B: Pros & Cons summary for ICE vs Hybrid vs CNG vs EV, including cost, infrastructure needs, and policy incentives. 7. ConclusionMaruti Suzuki’s phased approach—prioritising hybrids and CNG before fully embracing EVs—mirrors market realities in India today. With cost, infrastructure, and consumer readiness still evolving, hybrids and CNG models offer a credible bridge to cleaner mobility. However, the imminent ramp-up of the e‑Vitara indicates that EVs remain very much on the horizon for the country’s leading carmaker.8. FAQsQ1: Why is Maruti delaying its EV launch? A1: Due to high EV price points, limited local battery cell production, supply constraints, and weak charging infrastructure.Q2: What are the Victoris SUV’s engine options? A2: It offers three variants—ICE, a mild/strong hybrid (with Toyota-enabled technology), and a CNG version.Q3: What is India’s current share of hybrids and EVs? A3: In May 2025, hybrids represented ~8.3% of market share and EVs just over 4%—showing stronger traction for hybrids.Q4: Does Maruti plan to produce hybrids locally? A4: Yes, Maruti is localising hybrid battery component manufacturing to reduce production costs and increase affordability .Q5: What’s the status of Maruti’s e-Vitara EV? A5: The e-Vitara began production in August 2025, aimed for exports to over 100 countries, and targets about 70,000 units in FY 2025‑26.
On September 4, 2025, the GST Council made a landmark move to accelerate India’s clean energy transition by slashing tax rates on renewable energy equipment—particularly solar and wind technologies. In a strategic policy twist, GST on such equipment has been reduced sharply from 12% to 5%, while the levy on coal and lignite has been hiked to 18% from 5%, signaling a clear shift in focus toward sustainable energy sources .What Changed and When It Kicks In Solar cells (assembled or not), modules, and myriad solar devices like cookers, water heaters, lanterns, and lamps now attract a lower 5% GST. Wind energy apparatus—including windmills and generators—along with biogas plants, waste-to-energy units, tidal/ocean energy devices, and even hydrogen fuel-cell vehicles, have also received the tax cut. The reform is part of a broader “GST 2.0” overhaul—simplifying slabs, cutting rates, and harmonizing the regime—set to rollout from September 22, 2025, coinciding with the first day of Navaratri. Why This Matters: A Three-Pronged Advantage1. Lower Costs, Faster AdoptionIndustry projections suggest a potential 10–15% cut in solar power costs, making installations more affordable for households, businesses, and farmers alike.2. Strong Backing from StakeholdersThe National Solar Energy Federation of India (NSEFI) has welcomed the move, calling it a key enabler in the nation’s clean-energy momentum. Meanwhile, renewable energy manufacturers see this as a pivotal shift that could spur production and uptake across sectors .3. Strategic Energy Structural ShiftWith coal now taxed more heavily and renewables incentivized, India is realigning its energy pricing framework to reflect environmental priorities and long-term sustainability goals.India’s Renewables Momentum: Setting the ContextThese tax changes coincide with a period of ambitious renewable energy growth: India's cumulative solar capacity has soared, crossing 100 GW by January 2025, supported by schemes under the National Solar Mission (NSM). As of April 2025, solar power generation was at a record high of 107.94 GW AC, with power generation reaching 144.15 TWh, displacing millions of tonnes of coal. India also boasts one of the world’s largest wind energy footprints—about 50 GW installed as of March 31, 2025—and a tremendous untapped potential of nearly 695 GW onshore. What Lies Ahead Boost to Domestic Manufacturing The GST cut is expected to catalyze supply chain scaling across solar and wind segments—from components to battery storage systems. Consumer and Developer Incentive Lower taxes could incentivize rooftop solar uptake, mini-grid units, and hybrid energy projects, driving faster green adoption. Future-Proofing Energy Goals These reforms shine a brighter light on India’s path toward its COP26 pledge of 500 GW of non-fossil energy capacity by 2030. With solar and wind gaining even more economic traction, the momentum is firmly on the side of clean energy.
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