Price of an Electric Car - Percentage Break Up by Component - Batteries, Charger, Motor - India Renewable Energy Consulting – Solar, Biomass, Wind, Cleantech
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Last updated: Feb 2020 by Narasimhan Santhanam

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If we are able to get the prices of electric cars to come down to those of conventional vehicles, there’s little doubt that a much larger portion of the population would buy them. But what’s needed to bring down the electric car cost?

To answer this question, it will be useful to know the cost break-up for an electric car, wouldn’t it?

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And that’s precisely what this provides.

Distribution of the Price of an Electric Car in 2020, By Component

Approximate cost decreases expected between 2018 and 2020 are:

  • Batteries – 12-15%
  • Motors – 15-25%
  • Chargers – 15-25%

The table above provides an indication of the way battery prices contribute to overall cost of the electric vehicles. As of 2018, batteries (Li-ion) contribute 40% of the total cost; this is likely to come down as low of 35% of the total cost by 2020. Costs of chargers and motors could decrease a bit too, but the change in cost of batteries matter the most.

As the cost of batteries is the critical component that leads to the high cost of electric vehicles, let’s review estimates of what these costs are likely to be in future.

Know the costs and economies of electric vehicles in India: Vehicle Prices | Component costs | EV Supply Chain

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About Narasimhan Santhanam (Narsi)

Narsi, a Director at EAI, Co-founded one of India's first climate tech consulting firm in 2008.

Since then, he has assisted over 250 Indian and International firms, across many climate tech domain Solar, Bio-energy, Green hydrogen, E-Mobility, Green Chemicals.

Narsi works closely with senior and top management corporates and helps then devise strategy and go-to-market plans to benefit from the fast growing Indian Climate tech market.


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