“Not Against Petrol And Diesel Cars”, Says Nitin Gadkari

Speaking a candid conversation at the 64th Annual Session of the Auto Component Manufacturer’s Association (ACMA), the Union Minister of Roads, Transport and Highways, Nitin Gadkari, got very candid and clarified how he is not against petrol and diesel; however, when we take into purview of the current condition some of the key cities of our country, the answer becomes pretty evident of what needs to be the strategy ahead for auto component manufactures in the country. 

The minister started on a celebratory note, claiming how the size of the Indian Auto industry is currently priced at ₹22 lakh crores, and auto components contribute ₹5.18 lakh crores to this pie. The minister stated that there has been a 9 per cent growth in this size. Additionally, the minister cited how import business was at ₹1.68 lakh crore, while export business was at ₹1.76 lakh crore. This was a positive development, and if this momentum continues, coupled with government initiatives and several PLI schemes, India will be able to manufacture semiconductor chips for its market. 

On the same lines, the minister cited the importance of the country’s scrappage policy. He gave the example of the USA and how automotive production increased by 12 per cent in the West after they introduced its scrappage policy. A similar trend can also be noticed in India; manufacturers can make 30 per cent more savings in production costs. 

Gadkari also cited the initiatives taken by various OEMs like Tata Motors, Adani, Panasonic, etc., which are working on manufacturing lithium-ion batteries. Consequently, the elements used to make these batteries, especially their chemistry, will further encourage their development, which will also significantly decrease the price of lithium-ion batteries in the next 2-3 years. 

The minister also clarified his stance on ICE vehicles and how he “is not against petrol and diesel”. However, he pointed out pollution has been a persistent issue in key Indian cities, and the transportation sector was a major contributor to this menace. At the same time, Gadkari quickly pointed out that manufacturers like Bajaj Auto are doing their bit with new alternative fuel-powered options, like the Freedom 125. He also cited the need for bio-fuel-powered vehicles, stating that 65 to 70 per cent of the population belongs to agriculture, but their contribution was just 12 per cent to the GDP. Bio-fuel would, in turn, help farmers double their revenue and help save on our imports. 

Regarding EVs, Nitin Gadkari wants to leave it to the market. He believes customers need to be trusted in this instance, and just like the mantra – “Survival of the fittest” – consumers will decide whether EVs stand the test of time or not in due time.