Euler CEO urges states to emulate Delhi policy for commercial EV push

Euler Motors CEO Saurav Kumar says state policies can accelerate commercial EV adoption by addressing costs, financing and charging infrastructure barriers

State governments across the country should follow Delhi’s lead in pushing commercial vehicles towards electric mobility, as such policies can cut urban air pollution while addressing the cost, financing and infrastructure barriers that slow electric vehicle (EV) adoption, Euler Motors Founder and CEO Saurav Kumar said on Monday.

 

The Delhi government notified its EV Policy 2026 on July 1, banning the registration of new petrol, diesel and CNG auto-rickshaws and N1 goods vehicles from January 1 next year. N1 refers to light goods vehicles with a gross vehicle weight of up to 3.5 tonnes.

 

“There is no reason why they shouldn't. I do believe that they should,” he replied when asked if other states should emulate Delhi's EV Policy 2026.

  

He added that commercial vehicles have a significant impact on urban air pollution and that electric vehicles, where suitable, can also lower running costs for fleet owners. He said this makes a stronger case for states to support faster electrification.

 

Under the Delhi EV Policy 2026, a purchase incentive of ₹1 lakh would be given for each electric N1 goods vehicle in the first year, ₹75,000 per vehicle in the second year and ₹50,000 per vehicle in the third year.

 

Kumar said commercial vehicles have a large role in urban air pollution and that Delhi’s policy is a “holistic” one that has talked about “everything from demand to supply to charging infrastructure to a bit of the financing, registration benefits and non-fiscal incentives”.

 

He pointed to Maharashtra, Odisha, Meghalaya, Madhya Pradesh, Telangana, Tamil Nadu and Uttar Pradesh, where state-level incentives or other measures are also supporting electrification.

 

He expects the shift to electric commercial vehicles to accelerate over the next few years. Kumar said the segment below one tonne, which is largely used for last-mile cargo deliveries, could reach at least 50 per cent electrification within five years, and possibly significantly higher.

 

“But if you talk about commercial vehicles that are more than 1 tonne, then a couple of things have to be noticed such as availability of the charging infrastructure and whether the product is affordable,” he noted.

 

Euler’s own growth has accelerated sharply as demand for electric commercial vehicles has increased. Kumar said the company expects its revenue to double again in FY27 to around ₹800 crore, after revenue rose from about ₹190 crore in FY25 to ₹402 crore in FY26.

 

The company has already crossed ₹400 crore in revenue during the first half of FY27, roughly matching the revenue it generated during the whole of FY26. Kumar said Euler is therefore on track for another year of around 100 per cent growth.

 

Four-wheelers have emerged as the biggest growth driver. Euler sells the Turbo, a one-tonne electric commercial vehicle, and Storm, a 1.5-tonne vehicle. The company has increased four-wheeler sales from around 30-40 vehicles a month in early 2025 to roughly 1,000 vehicles a month now.

 

Kumar said Euler now has around 29-30 per cent share of the electric N1 segment. “We are right now racing to deliver to our customers,” he noted. Euler currently has manufacturing capacity for 1,000 three-wheelers and 2,000 four-wheelers a month.

 

The company currently sells around 1,500 vehicles a month, comprising about 1,000 four-wheelers and 500 three-wheelers. This compares with roughly 500-600 vehicles a month around the same period last year.

 

Euler is also expanding its retail network. It currently has around 120 dealer touchpoints, up from about 90 at the end of the previous financial year. Kumar said the company plans to add another 100 touchpoints during FY27, while prioritising dealer profitability and customer service over simply increasing the network.

 

Kumar also raised concerns about the production-linked incentive (PLI) scheme for automobiles. He said Euler and other EV startups believe the scheme puts them at a disadvantage compared with larger established manufacturers.

 

“We are at a 12 to 15 per cent disadvantage against any other automaker that is getting auto PLI incentive,” he said. Euler has submitted its case to the government and is working with other electric two-wheeler startups, including Ather, River and Ultraviolette, to seek changes. Kumar said the government has heard their concerns and is reviewing the matter.

 

Rising input costs remain another challenge. Kumar said electric vehicle makers have faced a 6-7 per cent increase in costs, with lithium, magnets, copper, aluminium and other materials becoming more expensive. He also said memory chip costs had risen sharply due to demand from the artificial intelligence industry.

 

Euler expects to reach break-even within three years. Kumar said three-wheelers have reached 90-95 per cent localisation, excluding battery cells.