Exclusive | Ethanol-powered two-wheelers are coming soon
Sources reveal that leading two-wheeler manufacturers, including TVS, Hero MotoCorp, Honda, and Bajaj Auto, have informed Union Minister Nitin Gadkari that they are prepared to begin mass production of flex-fuel vehicles capable of running on 85% ethanol blends. These companies plan to showcase production-ready models at the Auto Expo in January 2025. Additionally, the industry is seeking policy support, including lower fuel costs for flex-fuel vehicles, a reduced GST rate of 18% (down from 28%), and a clear roadmap for the nationwide rollout of ethanol-blended fuel.
The automotive industry has welcomed the Indian government’s push for a transition to clean energy vehicles.
Sources tell CNBC-TV18 that two-wheeler makers have confirmed to Union Minister Nitin Gadkari that they can soon begin mass production of flex-fuel vehicles. These would be two-wheelers that can run on petrol with higher ethanol blends.
At the same time, the industry has sought policy enablers to allow the large-scale adoption of such flex-fuel two-wheelers.
Industry sources told CNBC-TV18 that top two-wheeler makers confirmed to Union Minister Nitin Gadkari in a meeting on Tuesday that they are ready to produce vehicles that can run on 85% ethanol and higher ethanol blends as well.
According to sources privy to the meeting, TVS, Hero MotoCorp, Honda, and Bajaj Auto said they will mass produce at least one flex-fuel two-wheeler each.
These two-wheeler companies will display production-ready flex-fuel vehicles at the next Auto Expo in January 2025.
The companies have also sought a lower and differential cost of fuel for flex-fuel vehicles, which will have a lower fuel efficiency, and the auto industry has requested a reduced GST rate of 18% on flex-fuel two-wheelers as opposed to a 28% GST, said sources requesting anonymity.
The industry has also sought a firm roadmap for the rollout of ethanol-blended fuel nationwide.
To read more about Ethanol Industry News, continue reading Agriinsite.com
Source Link : https://www.cnbctv18.com/auto/ethanol-powered-two-wheelers-coming-soon-19466928.htm
Recommended for you
