Union Transport and Shipping Minister Nitin Gadkari on Thursday said the steps taken towards electric mobility in the country marks a new age in the transport sector and a big boost to the agrarian economy.
Noting the country spends Rs 7 lakh crore in importing crude oil each year and it is a big problem for the local economy, apart from contributing to high pollution, he advocated bio and electric fuel, for which commercially viable technology is available, as it will bring revolutionary change both in transport and rural economy.
"Uttar Pradesh is the most abundant state in ethanol and its entire transport can run on it. It will create tremendous job opportunities in the farm sector," he said.
Bio-fuels like ethanol can also solve the problems of unemployment among the youths in Northeast, which produces large amount of bamboos, he said.
Secondly, the GST on petrol and diesel vehicles is 48 per cent, while it is 12 per cent for electric vehicles.
"If professionally managed, the commuting cost for passengers can be halved, pollution can be significantly slashed, import cost can be cut and jobs can be generated," he said.
He said the first movers in the sector, whether the electric vehicle manufacturers or the charging station industry, would be major gainers.
On being asked about the delay in coming out with a policy for electric mobility in the country, Gadkari said there was no need for one as all departments concerned were taking actions as per the requirement.
Though Niti Aayog Chairman Amitabh Kant said that it was for the government to take a final call on whether an Electric Vehicle policy would be issued, the minister said, "Technology is always ahead of rules and regulations. There are so many technological innovations happening on a daily basis that it would be a problem to freeze them in a policy."
Kant said the Niti Aayog has planned to replace all its vehicles with electric vehicles within the next four months.
Gadkari also announced that the government has come out with a tender to connect Dhaula Kuan and Manesar in National Capital Region (NCR), a distance of 70 km, with a cable car, and work would commence on it within three months.
"The capital cost for setting up one kilometre of metro is Rs 350 crore. With this it can be done at Rs 50 crore to carry the same number of passengers and if it is Made in India, it can be done in Rs 35 crore," he said.
The electric mobility movement will also give a strong boost to Make in India campaign, he added.
(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)