DECEMBER 201919Technology trend would be as follows:As the power train become electric and the complexity in vehicle propulsion will reduce. That's mean lot of legacy technology in the automotive industry will extinct.This would transform or increase the share of the component suppliers and especially the battery suppliers as the battery will have 30-40 percent share of the vehicle cost.The Challenges and Opportunities:The transition to electric mobility is happening now and if you look at the charts we see a movement upwards only in most of the countries. So the question of opportunity doesn't arise. The total market size reaches to 300B USD in 2025 and increasing thereafter upto 1 trillion USD within a span of 15-20 years. The challenge is availability of technology and optimization of performance and cost.A typical electric powertrain will have the following compnents1. Electric motor as the prime mover2. Electric drive which is the control system of the motor3. Power electronics systems like DC-DC converter, charge controllers4. BMS and Battery pack 5. Vehicle controllerFaster adaption depends on development of these components at a rapid speed. Globally Germany, Korea and China are already taking lead in the technology development in this area. But availability of products for the complete range of mobility applications is still not achieved. For example farming sector application needs a totally different solution from passenger car segment. Secondly there are a lot of environmental conditions to be taken into consideration in addition to safety of the usage of High voltage electric systems in the vehicle.China has already taken a leading role in this area and they have developed complete eco system for electric mobility. Government of india also has announced a future roadmap, policies and subsidies to promote electric mobility. The FAME II policy has also given roadmap for localization of components to reduce import of EV component from china.In terms of the vehicle market, 2W and 3W are the low hanging fruits, followed by vehicle aggregators and public transport solutions and finally the private use vehicles. In terms of potential we have a huge market already in India. India is the largest two wheeler market in the world and the third largest automotive industry in the world. And we are in a nascent state when it comes to market penetration. We can bring in innovative solutions and drive the future market not only in India and also at global level. At the same time I also do not want ignore few hurdles in the transformation.One of them is availability of charging infrastructure. There is huge discussion happening on this subject and government has initiated some steps. But this is one area where lot of Public Private Partnership is required. We took 100 years to bring up all the fuel pumps to the level of penetration we have today. Of course it shouldn't take so much time to establish the charging network as the electricity is available everywhere. The second issue is availability of clean energy for the use. According to Mr.Mark Lewis of BNP Paribas the Energy Return on Capital Invested (EROCI) through renewable sources is at least 6-7 times higher than energy through fossil fuels. Most countries across the world are focusing more renewable sources now and we should attain energy sustainability in the next decades.Conclusion:It's inevitable to take the entire mobility systems to move into electric and that is more than the need to leave sustainable mobility along with clean breathing to our future generations. This transformation also brings a never before huge business opportunity. The intention of this article is to urge our entrepreneurs and startups to make use of the situation to bring out innovative solutions that are useful to the society at large. Electric mobility is the most viable alternate to create a sustainable solution to all our future needs
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