Ather Energy Plans to Build New EV Facility to Meet Increasing EV Demand

Ather Energy Plans to Build New EV Facility to Meet Increasing EV Demand

Leading EV player Ather Energy said that it is in discussions with several state governments for the establishment of an extra factory to accommodate the demand as the adoption of electric two-wheelers stabilizes somewhat following several fire mishaps last year.

Ather Energy's Chief Business Officer (CBO), Ravneet Phokela, told IANS that the company is increasing manufacturing production and intends to add 1 million units of capacity to its existing 400,000 annual capacity.

"To drive faster adoption of EVs, we continue investing in public fast-charging networks.

With around 1,000 chargers installed across the country, we already have the largest fast-charging network for two-wheelers in the country, and this number continues to grow," Phokela said to IANS.

Ather Energy, based in Bengaluru, reported sales of 9,187 units in December 2022, a 389% increase (on-year growth).

Phokela claims that despite an almost 40 percent industry decline in two-wheeler sales, they concluded 2022 with strong sales momentum and said, "our December retails climbed by 26 percent over November."

The national and state governments have shown much support for the EV industry to hasten adoption.

The central government has launched a number of progressive initiatives that aim to increase both supply and demand.

The Faster Adoption and Manufacturing of (Hybrid &) Electric Vehicles in India- II (FAME-II) policy, the introduction of PLI schemes for manufacturers, and a lower GST rate are just a few of the programs that have been implemented to support the government's long-term goals of making India a center for the production of electric vehicles.

State governments have helped by providing extra subsidies, waiving road taxes, and providing incentives for manufacturing, among other things.

"These initiatives have made switching to EVs more lucrative and financially viable in the country, for both consumers and manufacturers," Phokela noted.