Context:
Recently, the NITI GearShift Challenge hackathon is launched to accelerate zero-emission truck adoption in India.
More on the news
- NITI Aayog, IIM Bangalore, Smart Freight Centre India, CALSTART/Drive to Zero and World Resouce Institute (WRI) India, announced the launch of the NITI GearShift Challenge under the e-FAST India initiative.
- The NITI GearShift Challenge invites students, transport service practitioners, academics, and researchers to develop innovative business models that address financial, technical, and operational challenges in the adoption of electric trucks.
- It aims to foster innovative business models for the adoption of zero-emission trucks (ZETs) in India.
e-FAST India (Electric Freight Accelerator for Sustainable Transport – India) initiative
- It is launched in september 2022 as the the country’s first platform to facilitate collaboration between government stakeholders and private sector partners ( Original Equipment Manufacturers (OEMs), Logistic Service Providers (LSPs), financers, producers, and Charge Point Operators (CPOs)).
- It aims to shape strategies and actions that support freight electrification at scale.
How it works:
- The hackathon will unfold in two rounds.
- Round 1: teams will submit their initial business models addressing a specific barrier (technical, operational, or financial) to electric truck use, supported by high-level strategies and research.
- Round 2: Shortlisted teams will present detailed business models with an implementation roadmap, backed by both primary and secondary research. These proposals will be mentored by industry leaders to ensure practical and impactful solutions.
Significance of transition to zero-emission trucks (ZET)
- Cleaner Air: Traditional diesel trucks are major polluters, contributing to smog and respiratory problems. ZETs eliminate tailpipe emissions, leading to cleaner air in cities and along highways.
- Sustainable Future: Transportation is a significant source of greenhouse gases. Widespread adoption of ZETs is crucial for India to achieve its climate goals and move towards a sustainable future.
- Business Advantages: Battery technology advancements make ZETs a more viable option. They offer:
- Lower Fuel Costs: Electric trucks can be cheaper to operate in the long run due to lower electricity costs compared to fluctuating diesel prices.
- Stable Energy Prices: Electric trucks rely on a more stable source of energy, reducing dependence on volatile fuel markets.
- Emission Reduction: Even with India’s current average grid emissions, ZET can reduce the greenhouse gas intensity of freight by 9% to 35% across different classes of trucks when compared with diesel.
India’s freight sector
- India’s freight and logistics market is estimated to grow at 8.8% annually to USD 484.43 billion by 2029 from USD 317.26 billion in 2024 due to technological advancement, as per logistic fair LogiMAT India. But it also comes with challenges:
Challenges.
- Road freight accounts for a staggering 55% of India’s annual diesel consumption and nearly 40% of CO2 emissions from road transport, there is an urgent need to transition to more sustainable solutions.
- Electric trucks offer a cleaner alternative. By switching to ZETs, India can significantly reduce its carbon footprint and create a more sustainable freight sector.
Government Initiatives:
- Currently, India has ambitious targets and policy pathways laid out under the Faster Adoption and Manufacturing of Electric Vehicles (FAME I and II umbrella and associated schemes like the Production linked incentives (PLI) for electric vehicles and components.
- FAME: Launched in 2015, this scheme incentivizes the manufacturing and adoption of electric and hybrid vehicles, including trucks.
- PLI Scheme: This program offers financial support to companies that manufacture electric vehicles and components in India, boosting domestic production.