MASTERS OF BUSINESS ADMINISTRATION

MINI PROJECT REPORT ON

“Future of Electric& Hybrid

Electric Vehicles”
Under the Guidance of

DR. TINU KAUR

Submitted by: MO ASHRAF KH

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 ACKNOWLEDGEMENT

With immense pleasure I ASHRAF KHA would like to present this mini Project report

“FUTUREOFELECTRIC & HYBRID ELECTRIC VEHICLES”.

I would like to thank DR. TINU KAUR for giving me this opportunity for learning and contribution .

I take this opportunity to thank my mentor who made this experience a memorable one.

I convey my sincere thanks to all the teaching and non-teaching staff of the business school for their

support and co-operation during the project.

Last but not the least I am grateful I thank my parents and colleagues who have helped me in the

successful completion of the project.

ASHRAF KHA

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 PREFACE

The essential purpose of this project is to give an exposure and

detailed outlook of the practical concepts. For this purpose I was
assigned the project on “FUTURE OFELECTRIC & HYBRID
ELECTRIC VEHICLES” This has given mental together new
experience, which I believe, would be immense help in my days to
come. The project was Informative, interesting and inspiring.

I hope you would find the information found in this report

useful and interesting.

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 TABLE OF CONTENT

1.)Objective 7

2.) Introduction 8-18

3.)Literature Review 19

4.) Hypothesis 28

5.) Research Methodology 29

6.) Questionnaire 30

7.) Result’s Of Questionnaire 32

8.) Analysis Of The Data 41

9.) Conclusion 42

10.)Bibliography 43

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OBJECTIVES

 To study the perceptions and expectations of potential, for

alternative technologies in automobiles, such as
Electric/Hybrid Vehicles.

 To study the maximum price consumers can afford for buying

an Electric/Hybrid Vehicles and why electric vehicle couldn‘t
get enough consumer attraction

 To study the willingness of buyers of considering

Electric/Hybrid Vehicles as a practical commuting option and
at when.

 To study the Government Vehicle initiatives taken for

promoting Electric/Hybrid Vehicles and subsidies provided on
Electric batteries.
Automotive Industry in India
The automotive industry in India is one of the larger
market since the world and had previously been one of the
fastest growing globally, but is now seeing flat or negative
growth rates. India's passenger car and commercial vehicle
manufacturing industry is the sixth largest in the world, with
an annual production of more than3.9 million units in 2022.

Chennai is home to around 35-40% of India's total

automobile industry and for this reason itis known as the
Detroit of Asia. It is on the way to becoming the world's
largest Auto hub by 2020 with a capacity of over 3million cars
annually.

The majority of India's car manufacturing industry is

based around three clusters in the south, west and north. The
southern cluster consisting of Chennai is the biggest with 35%
of the revenue share. The western hub near Mumbai and Pune
contributes to 33% of the market and the northerncluster
around the National Capital Region contributes 32%. Chennai,
with the India operations of Ford, Hyundai, Renault, Mitsubish
,Nissan, BMW, Hindustan Motors, Daimler

Chennai accounts for 60% of the country's automotive

exports. Gurgaon and Manesar inHaryana form the northern
cluster where the country's largest car manufacturer, Maruti
Suzuki, isbased. The Chakan corridor near Pune, Maharashtra
is the western cluster with companieslikeGeneral Motors,
Volkswagen, Skoda, Mahindra and Mahindra, Tata Motors,
Mercedes Benz, LandRover, Jaguar Cars, Fiat and Force
Motors having assembly plants in the area.Nashik has a
majorbase of Mahindra & Mahindra with a UV assembly unit
and an Engine assembly unit. Aurangabad with Audi, Skoda
and Volk swagen also for ms part of the western cluster.
Another emerging cluster is in the state of Gujarat with
manufacturing facility of General Motors in Haloland further
planned for Tata Nano at their plant in Sanand. Ford, Maruti
Suzuki and Peugeot-Citroen plants are also set tocome up in
Gujarat. Kolkata with Hindustan Motors, Noida with Honda
and Bangalore with Toyota are some of the other automotive
manufacturing regions around the country.

Electric vehicle and Hybrid vehicle(xEV) industry

During April 2020 Indian Government has planned to
unveil hero ad map for the development of the domestic
electric and hybrid vehicles (xEV) in the country. A
discussion between the various stakeholders including
Government, industry and the academia is expected to take
placeduring 23–24 February. The final contours of the policy
will be formed after this set of discussions. Ministriessc has
Petroleum, Finance, Road Transport and Power are involved in
developing abroad framework for the sector. Along with these
ministries big auto industry names such as Mr Anand
Mahindra (Vice Chairman and Managing Director, Mahindra)
and Mr. Vikram Kirloskar (Vice-Chairman, Toyota Kirloskar)
are also involved in this task. Government has also proposed
toset up a Rs 740 crore R&D fund for the sector in the 12th
five year plan during 2021-23. The idea isto reduce the high
cost of key imported components such as the battery and
electric motor anddevelop suchcapabilities locally.
Manufacturing Facilities
PassengerVehicles
General Motors India Private
Limited Chevrolet Sales India
Private Limited–Halol Maruti
Suzuki–Gurgaon, Manesar
Mahindra REVA Electric Vehicles –
Bangalore Toyota Kirloskar Motor
Private Limited–Bidadi Ssangyong
Motor Company–Chakan
Tata Motors Limited
o Tata Motors–Pimpri Chinchwad,Sanand
o Jaguar CarsandLand
Rover–Pune Mercedes-Benz
Passenger Cars – Chakan FiatAut
oobiles –Ranjanga on Pune
VolkswagenGroupSalesIndiaPrivateLimited
o Volkswagen–Chakan

Two wheelers
Hero Motor Corp–
Dharuhera, Gurgaon
India Yamaha Motor –
FaridabadHonda–
Manesar
Suzuki–Gurgaon
TVS Motors –
Nalagarh, Mysore
Mahindra & Mahindra–
Pithampur Bajaj Auto–
Waluj Aurangabad,
Chakan KTM
Sportmotorcycles–
Chakan
Vespa Scooters–Baramati Pune
Kinetic Engineering–
Ahmednagar, Pune
RoyalEnfield – Chennai
About ElectricVehicles
During the last few decades, environmental impact of the
petroleum-based transport on infrastructure, along with the peak oil, has
led to renewed interest in an electric transportationinfrastructure.
Electric vehicles differ from fossil fuel-powered vehicles in that the
electricity they consume can be generated from a wide range of sources,
including fossil fuels, nuclear power, and renewable our cessuc has tidal
power, solarpower, and wind power or any combination of those.

An electric vehicle(EV), also referred to as anelectric drive

vehicle, uses one or moreelectric motors or traction motors for
propulsion. Three main types of electric vehicles exist, thosethat are
directly powered from an external power station, those that are powered
by stored electricity originally from an external power source, and those
that are powered by an on-board electricalgenerator, such as an internal
combustion engine (a hybrid electric vehicle) or a hydrogen fuel
cell.Electric vehicles include electric cars, electric trains, electric
lorries, electric pacecraft. Proposals exist for electric tanks,diesel
submarines operating on battery powerare, forthe durationofthe battery
run, electric submarines, and some of the lighter UAV sare electrically-
powered.

Electric vehicles first came into existence in the mid-19th century,

when electricity was among the preferred methods for motor vehicle
propulsion, providing a level of comfort and ease of operation that
could not by the gasoline cars of the time. The combustion engine
(ICE) is the dominant ripulsion method for motor vehicles but electric
power has remained common place in other vehicle types, such as trains
and smaller vehicle so fall types.

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Types of Batteries

Lead-AcidBattery Li-ionPolymerBattery

Previously banks of conventional lead-acid car batteries were

commonly used for EV propulsion. The nlaterthe75 watt-hour/kilogram
lithiumion poly me battery prototypes came. The newer Li-poly cells
provide up to 130watt-hour/kilogram and last through thousand of charging
cycles.

Efficiency

Because of the different methods of charging possible, the emissions

produced have been quantified in different ways. Plug- in all electric
and hybrid vehicles also have different consumption characteristics.

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Charging
Grid capacity: If a large proportion of private vehicles were to convert
to grid electricity it wouldincrease the demand for generation and
transmission, and consequent emissions. However, overallenergy
consumption and emissions would diminish because of the higher
efficiency of electric vehicles over the entire cycle.

Stabilization of the grid: Since electric vehicles can be plugged into

the electric grid when no use, there is a potential for battery powered
vehicles to even out the demand for electricity by feedingelectricity into
the grid from their batteries during peak use periods (such as mid-
afternoon airconditioning use) while doing most of their charging at
night, when there is unused generatingcapacity. This vehicle-to-grid
(V2G) connection has the potential to reduce the need for new
powerplants, as long as vehicle owners do not mind their batteries being
drained during the day by the power company eeding to use their vehicle
for are turn-commute home in the evening.

Further more, our current electricity infrastructure may need to

cope with increasing shares of variable-output power sources such as
windmills and PV solar panels. This variability could be addressed by
adjusting the speed at which EV batteries are charged, or possibly even
discharged.

.
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 About Hybrid Electric Vehicle

A hybrid electric vehicle combine a conventional (usually fossil fuel-

powered) power train with some form of electric propulsion. Common
examples include hybrid electric cars such as the Toyota Prius.The
Chevrolet Voltis an example of a production Extended Range Plug-In
Electric Vehicle.

Mopeds, electric bicycles, and even electric kick scooters are a simple
form of a hybrid, as power isdelivered both via an internal combustion
engine or electric motor and the rider's muscles. Early prototypes of
motorcycles in the late 19th century used the same principles.

In a parallel hybrid bicycle human and motor power are mechanically coupled
at the pedal drive train or at the rear or the frontwheel, e.g. using a hub motor,
a rollerpressing onto atire, or a connection to a wheel using a transmission
element. Human and motor torques areadded together. Almost all
manufactured models are of this type. See Motorized bicycles, Mopeds and
for more information.

In a series hybrid bicycle (SH) the user power generator using the
pedals. This is converted into electricity and can be fed directly to
the motor giving a chainless bicycle but also to charge a battery.
The motor draws power from the battery and must be able to
deliver the full mechanical torque required because none is
available from the pedals. SH bicycles are commercially available
,because they are very simple in theory and manufacturing.
Parallel hybrid

In a parallel hybrid vehicle, the single electric motor and the

internal combustion engine areinstalled such that they can power the
vehicle either individually or together. In contrast to the power split
configuration typically only one electric motor is installed. Most
commonly ,the electric motor and gear box are coupled by
automatically controlled clutches .For electric driving the clutch
between the internal combustion engine is open while the clutch to
thegearboxisengaged. While in combustion mode the engine and motor
the same speed.

Mildparallelhybrid

These types use a generally compact electric motor (usually <20

kW) to provide auto-stop/start features and to provide extra power
assist during the acceleration, and to generate on
thedecelerationphase(akaregenerativebraking).

On-road examples include Honda Civic Hybrid, Honda Insight,

Honda CR-Z, Honda Accord Hybrid, Mercedes Benz S400 Blue-
HYBRID, BMW 7-Series hybrids, General Motors BAS Hybrids and
Smart-for-two with micro hybrid drive.

Power-splitor series-parallel hybrid

Typical passenger car installations include the Toyota Prius, the
Ford Escape, Ford Fusion, the Lexus RX 400h, RX450h, GS450h,
LS600 hand CT 200h.

In a power-split hybrid electric drive train there are two motors:

an electric motor and an internal combustion engine. The power from
these two motors can be shared to drive the wheels via a power splitter,
which is as imple planetary gear set. The ratio can be from 0–100% for
the combustion engine, or 0–100% for the electric motor, or anything in
between, such as 40% for the electric motor and 60% for the
combustion engine. The electric motor can act as a generator charging
the batteries.

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Environmental Impact of Electric and Hybrid Vehicle

Due to efficiency of electric engines as compared to combustion

engines, even when theelectricity used to charge electric vehicles comes
from a CO2-emitting source, such as a coal- or gas-fired powered plant,
the net CO2 production from an electric car is typically one-half to one-
third of that from acomparable combustion vehicle.

Electric vehicles release almost no air pollutants at the place

where they are operated. Inaddition, it is generally easier to build
pollution-control systems into centralised power stations than retro fite
normous numbers of cars.

Electric vehicles typically have less noise pollution than an

internal combustion enginevehicle, whether it is at rest or in motion.
Electric vehicles emit no tailpipe CO 2 or pollutants such as
NOx ,NMHC, CO and PMatthe poin to fuse.

Electric motors don't require oxygen, unlike internal combustion

engines; this is useful forsubmarines.

While electric and hybrid cars have reduced tailpipe carbon

emissions, the energy theyconsume is sometimes produced by means
that have environmental impacts. For example, the majority of
electricity produced in the United States comes from fossil fuels (coal
and natural gas), souse of an electric vehicle in the United States would
not be completely carbon neutral. Electric andhybrid cars can help
decrease energy use and pollution, with local no pollution at all being
generatedby electric vehicles, and may someday use only renewable
resources.

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 The toxicity levels and environmental impact of nickel metal hydride batteries—the
typecurrentlyusedinhybrids—aremuchlowerthanbatteries
likeleadacidornickelcadmium.However,nickel-based batteries are known carcinogens, and have been
shown to cause a variety of teratogeniceffects.

The Lithium-ion battery has attracted attention due to its potential for use in
hybridelectric vehicles. Hitachi is a leaderinits development. In addition to its smaller size
andlighter weight, lithium-ion batteries deliver performance that helps to protect the
environmentwithfeaturessuch asimprovedcharge efficiency withoutmemory effect. Thelithium-
ionbatteriesareappealingbecausetheyhavethehighestenergy density of any rechargeablebatteries
and can produce a voltage more than three times that of nickel–metal hydride batterycell
whilesimultaneously storinglarge quantities of electricity aswell.Thebatteriesalsoproduce higher
output (boosting vehicle power), higher efficiency (avoiding wasteful use
ofelectricity),andprovides excellentdurability,compared with thelifeof thebattery beingroughly
equivalent to the life of the vehicle. Additionally, use of lithium-ion batteries reducesthe overall
weightof thevehicle andalsoachievesimprovedfuel economy of 30%betterthan petro-powered
vehicles with a consequent reduction in CO2 emissions helping to preventglobalwarming.

Rawmaterialsincreasingcosts

Thereisanimpendingincreaseinthecostsofmanyrarematerialsusedinthemanufacture of
hybrid cars. For example, the rare earth element dysprosium is required tofabricatemany of
theadvancedelectricmotorsandbatterysystemsinhybridpropulsionsystems. Neodymium is another
rare earth metal which is a crucial ingredient in high-
strengthmagnetsthatarefoundinpermanentmagnetelectricmotors.

Nearly all the rare earth elements in the world come from China, and many
analystsbelieve that an overall increase in Chinese electronics manufacturing will consume this
entiresupply by 2012. In addition, export quotas on Chinese rare earth elements have resulted in
anunknown amountofsupply.

A few non-Chinese sources such as the advanced Hoidas Lake projectin northernCanada
as well as Mount Weld in Australia are currently under development; however,
thebarrierstoentryarehighandrequireyearstogoonline.

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REVIEWOFLITERATURE
Thevariousarticles,previousreportsusedforthisprojectshascomefromvarioussourcesBusinessStandard
Newspapers, MintNewspapers

SUMMARYOFDELLOITTE’SREPORT

―Gainingtraction:Willconsumersridetheelectricvehiclewave?‖Indiaresults

Thereportbroadlycoverstopicson:

• Marketopportunity

• Targetcustomers

• Barrierstoadoption

• Conclusions

The analysis presented in the report was done with primary and secondary research,
includinginterviewswithexecutivesfrommajorautomotiveOEMs,clean-techstart-
ups,dealers,andenergycompanies,aswellasasurveyofnearly1008currentvehicleownersinIndia.

Thestudywascarriedoutacross17countriescovering13,500respondents.Tothisqualitativeandquantitativ
edata,wasappliedDeloitte’sDemandDrivenAnalyticsMethodology.

MARKETOPPORTUNITY

– distinctivestyling

– improvingspeed

– torquecharacteristics

– willmakeEVusageasatisfyingexperience

Further

– rapidrise offuelprices

– desire tobe

onparwiththerestoftheworldintermsofemissionwouldfacilitatethegrowthoftheEVm

arket.

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TARGETCUSTOMERS

• ―potentialfirstmovers‖

• ―mightbewillingtoconsider‖

• categoryarefromurbanlocations

• consistingofbothgenders

• EVsareconsideredwithinthereachofthemiddle-
classcustomerinmostothermarkets,themanufacturerssellingEVsinIndiawouldha
vetotargettheupper-middleorrichcustomers

ConsumerSegmentationProfilesforElectricVehiclesInIn

dia

• Potentialfirstmovers 59%

• Mightbewillingtoconsider 34%

• Notlikelytoconsider 07%

InChina

• Potentialfirstmovers 50%

• Mightbewillingtoconsider 43%

• Notlikelytoconsider 07%

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BARRIERSTOEVADOPTION

Theyare:

• Batterychargetime

• Expectedpurchasepriceaftergovernmentincentives

• Acceptablepricepremium

• Rangeanxiety

• Fuelprices

Acceptablebatterychargingtime

– 8hours 24%

– 4hours 27%

– 2hoursto30minutes

49%Expectedpurchasepriceaftergovernmentincentiv

esInINRlakh

– <4 32%

– 4 to7 33%

– 7 to9 12%

InIndia,76%ofthetotalpopulationsurveyedwouldexpectanelectricvehicletotravelupto320
kilometres per charge before they would consider purchasing one. This indicates a gap
inexpectationsversuscurrentEVrangecapabilities inIndia

WhilefuelpriceincreasemaynotbetheonlyfactorthatdrivescustomerstobuyEVs,itisafact that
they have a mental benchmark of 130-150% of the current fuel prices that will make
themreconsiderEVs.

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MagazineArticles
―IsIndiaReadyforaGreenDrive‖from―TheJournalofAIMA(AllIndiaManagement
Association)IndianManagement”,Vol.51Issue Dated6June2020.

This article is about the current motto ‗GO GREEN‘ which is followed by all leading economies.
Ithas a brief description about US President Obama’s vision of targeting One million Electric cars
onUSroadby2015.

It tells us about the various departments of Government of India formed for promotion and
adoptionofElectricVehicles.

The Ministry of New and Renewable Energy has been the front runner formed for promotion
andadoptionofElectricVehicles.

InNovember2020,theministryformulatedTheAlternativeFuelsforSurfaceTransportationprogrammeun
derwhich20%subsidywasprovidedtmanufacturers.

Dr. Manmohan Singh announced an apex body, the National Council for Electric Mobility
(NCEM),the key objective of the NCEM is to provide sustainable electric mobility to make electric
vehicles aviable alternate vehicle by ensuring adequate support infrastructure for sufficient
dissemination ofelectricvehicles.

TheUnionBudget proppedfullexemptionfrombasiccustoms
dutyandaconcessionalrateofexcisedutyonbatteriesimportedbyelectricvehiclesmanufacturers.

All this developments highlights the growing emphasis of Indian Government on encouraging
thegrowthofelectricvehicles.

It also tells about the current nascent stage of Indianmarket with Mahindra Reva being the
onlyplayer in the electric vehicles market, it was able to sell 5000 cars since 2001 till 2011 with
nearly50% domestic sales. Reva is a very well established player globally and currently sells in
about 24countriesand islookingtobegindistributionin40-50countriesby2022.

It is seen that electric vehicles are becoming popular among women and students who don‘t
havestringent commuting requirements. It is predicted that once the supportive government policies
areformulated the market for these vehicles would become developed. India has a maximum
marketpotential owing to an established auto component infrastructure, low manufacturing and
R&D
costs,mechanicalhardwareavailability,highurbancongestionandthepresenceofalargedomesticmarket.

Price positioning is the main concern for electric and hybrid vehicles, owing to the expensive
batterycosts.Revaispricedat apricepointwhichiscomparabletootherpetrol-
drivenbudgethatchback(Asegment) cars while similarly Toyota Prius is positioned in a price
category which falls in the luxurysegment.Thehighpricecombinedwiththelowconsumer
awarenessandenvironmentalsensitivityisleadingtothebigquestiononwhether
Indiaisreadyforsuchvehicles.

In fact, mostmanufacturers are planning to launch vehicles in other countries or have

launchedalready launched electric cars globally like Nissan Leaf and Mitsubishi iMiEV. However,
they areplayingitsafeinIndiabywatchingthegovernmentmomentsandwouldeventuallytargetIndian
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marketonlyifthepoliciesformulatedunderNCEM forElectricmobilityarefavourable.
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Besides infrastructure is also another concern for electric vehicles in India. Since these cars can
runapproximately80kmononecharge,theyarerecommendedforshortdistanceascharginginfrastructureis
notdevelopedinthecountry. TherehavebeeninitiativesunderwhichBSESinDelhiestablished charging
ports in 50 locations across its sub-stations in the city. Likewise in
Bengaluru,parkingspacesinmallandofficeshavebeenequippedwithchargingpointsforelectriccars.Howe
veritisimportanttodeveloprapidchargingstations whichcanprovidequickcharginginlessertime.

ThekeychallengehereisthatforadevelopingcountrylikeIndiawherewearestrugglingtodealwithproblem
of electricity shortage, do we have enough resources to build charging infrastructure forelectric
vehicles. Also it is difficult to assess in the long run, if we are trying to reduce the carbonfootprint by
decreasing the fuel-driven vehicles, or on the contrary are we burning more coal in thethermal
stations to generate the required electricity for charging these vehicles. As per statistics
inIndia,transportcontributesto7percentoftotalgreenhousegasemissionswhileelectricitycontributes
to35percent.

CustomerperceptionandoutlookfurtherposethechallengeofproductacceptabilityinIndia.Electricvehicle
s are perceived to be under power vehicles at higher cost. The cars can only cover shortdistance of
about 80 km per charge and hence the value proposition for electric vehicles as a first
carisalsocurrentlynon-existentascomparedtopetrolvehicle.

Thewholephenomenonofelectricvehicleshavepickedupinrecentyearsowingtotheincreasingoilprices
and pressure on developed nations to reduce the carbon footprint. Globally smart cities arebeing
developed which are focused on promoting electric vehicle usage. Indian government is
alsoplanning four smart cities in Manesar, Shendra, Changodar and Dahej to be built along the
dedicatedfreight corridor. These cities are being designed in association with Japanese firms like
Hitachi,Mitsubishi and Toshiba and would be based on successful models of Japanese cities
Kitakyushu,ToyotaCityandYokohoma.

Smartcitiesaregoingtobebuiltunderthemainobjectiveof3-Rs:recycle,reuseandreduce.Itwouldfocus on
promoting energy efficient facilities with networking function along with
environmentallyfriendlypublictransportationsystemandpersonalvehicles.

By 2020, India‘s population in cities is expected to grow manifold to a staggering 200 million
whilepopulation is expected to grow by five times as compared to 2010. With this tremendous
growth hasemerged a very critical issue of keeping air and noise pollution in urban areas under
control. It isdesiredtohave3lakhelectricvehiclesontheroadsby2020,includingthree-wheelers,carsand
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scooters which could result in a reduction of over 16 lakh metric tons of population by 2020,
savingsofoverRs.3,700croreinforeignexchangeandsignificanthealthcostssavings.
SomeOtherArticlesfromDWSAutoBlog

“Dohybridsreallyreducerunningcostsandgivebetterfuelefficiency?”
Wednesday,February20,2013byRoshunPovaiah

Hybrid cars are a likely future direction that cars in India will take now that the Government
isconsidering norms forhybrid cars in India. At the moment, there is only the Toyota Prius that’s
onsaleIndiaatapricepointofRs.30lakhthatisatruehybrid.

Recently, the Government said it is considering framing norms to convert existing petrol and
dieselcars to petrol-electric and diesel-electric hybrid vehicles. This would achieve two things – one,
lowerpollutionlevelsincongestedcitiesandtwo,increaseinfuel
economywouldtechnicallymeansavingsforthecarbuyer.

Howmuchdoyousavedrivingahybrid?

Butbyhowmuchdohybridcarsreallyimprovefuel
economyandarethereanyconsiderablesavingswhenitcomestolong-termrunningcosts?
That’ssomethingtoponderabout.

Althoughthesetwocarsarenot strictlycomparable,let’sforamoment put themtogethertocomparenotes–

giventhatbothcarsareimports.Let’sseehowaToyotaPriuscompareswithentry-level AudiA4
1.8petrol,bothpricedaroundRs.29lakh.

TheToyotaPriusispoweredbya1.8litrepetrolenginethatputsout98bhpofpower,coupledwitha35 bhp
electric motor, making the car good for a total power output of 134 bhp. The Prius ―hybridsynergy
drive‖ system can power the car on only the electric motor, only the petrol motor or bothtogether
depending on the driving conditions. For city speeds up to a range of about 30 km, the carcan drive
on electric power alone. When speeds go above 40 kmph, the petrol motor kicks in,
andwhenpeakaccelerationisrequiredthecarusesbothmotorsformaximumpower.

It is because of this hybrid combination that despite good performance, the car gives a
phenomenalmileageof22kmpl inthecity.

Now, look at a regular petrol sedan like the Audi A4 with a 1.8 litre motor putting out
betterperformance of 168 bhp. It has better top-end performance no doubt, but when it comes to
pollutionlevels at slow city speeds and on fuel economy the Audi A4 loses out, as the petrol motor is
alwaysrunning,whilethePriuscanrunonelectricpoweraloneasneeded.TheAudi A4hasafuel-
efficiencyratingof13kmpl,givingonlyabout11kmplinthecity,halfthatof thePrius.

Long-termrunningcostsaremoreexpensive

So straight away, running costs should be half right? Not quite. The Prius uses far more
technologyand hence has expensive maintenance. Also the battery packs in the Prius need replacing
after a fewyears, which would cost at least Rs. 2.5 lakh to replace. And that negates all the savings
on fuel costthatonewouldhavesavedbecauseofbetter overallfuelefficiency.

However, the reason to buy a hybrid is not just running cost or fuel cost – it is more to do with
theenvironment. With a hybrid you pollute just half as much as you would with a regular petrol
engine,nottomentionconsuminglessfuel,whichinitsownwaygoestosavingtheplanet.That‘soneofthe
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reasoncelebritieshavebeenlappinguphybridslikethePrius–
itgivestobraggingrightsaboutcaringfortheenvironment.

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Petrol-electrichybridvsCNGconversion:Prosandcons
Thursday,February21,2022byRoshunPovaiah

Thegovernmentrecentlysaiditisframingnormstoconvertpetrolanddieselcarstopetrol-electricordiesel-
electric hybrids. And one company, Revolo, is ready with a kit that can be retrofitted in
anypetrolordieselcar,butcostsaboutRs.60,000toRs.80,000.

During the Auto Expo we came across some interesting gizmos, and one of them was the
Revolohybridsolution,thatpromisedtoturnanycar,petrolordiesel,intoanelectrichybrid.

AboutRevolvo
Revoloisaplug-inparallelhybridtechnologythat canberetrofittedinbothexistingandnewcars.

This technology has been designed and engineered by KPIT Cummins and the product will
bemanufactured through a joint venture (JV) of Rs. 100 crore (initial) between Bharat Forge Ltd
andKPITCummins.Aspartofthejointventure,KPITCumminswilllicensethehybridtechnologywhileBha
ratForgewillprovidemanufacturing,assembly&integrationtotheJV.

TheideaofRevolofirstoccurredtoayoungKPITCumminsengineerTejasKhsatriyain2008whenhewas
stuckinMumbaitrafficenroutetoPune.

KPIT Cummins sanctioned a team of four engineers for the project, which was kept separate
fromCREST, the research and development centre at KPIT Cummins. It took 2 years of research and
abudget under USD 2 million to evolve the idea through trial and error and several failures,
includingtheinabilityofthesystemtowithstandsuddensurgein powerwhenbreaks wereapplied.

The research and development team studied the firing pattern of internal combustion engines
andidentified the weak spots that lead to fuel wastage and finally created a technology that can
convert apassenger car to a hybrid that is environmentally friendly, cheap, fuel-efficient and at the
same timeoffers goodperformance.

Revolo is designed to work in typical stop-and-go city traffic and allows cars to cruise at about
30km/hinthethirdgearwithout strainingtheengine.

Latest Developments: KPIT Cummins continues the road tests of pilot vehicles as well as
consumertrialswithresultssofarhavingvalidatedthepre-
announcedperformanceresults.Theteamhasfurtherreduced the overallweightof the solution,
improvedon the durability
andstandardizedmanycomponentsacrossmultiplevehicleplatforms.Constructionattheassemblyandman
ufacturingplantscontinues.Itis expectedtobeoperational byJuly2022.

The company will test various vehicles, including passenger cars, with engines sizes between 800
ccand2,500cc.

Productionof limitedhybrid kitsis planned to start by first half of 2021-23. The

commercialproductionwouldbeginin2022-23.

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Intrigued? We were too and decided to check out how the system works. The Revolo system,
fromKPITCummins,isaparallelhybridsolution.Whatitdoesisconnectanelectricmotorinparallelwithyou
r engine. The electric motor runs off a stack of batteries that are charged by plugging into
ahouseholdelectricsocket.Themotorprovides―boost‖totheregularpetrolordieselengine,reducingtheeff
ortoftheengine.Ineffect,itclaimstoincrease―in-city‖mileagebyabout35%(andthisis
apparentlyARAIcertified).

Now, if you look at CNG cars (which are essentially dual-fuel hybrids running on either petrol
orCNG), the cost of converting a petrol car to a CNG car works out to almost the same as that
ofconvertingapetrolcartoapetrol-electrichybrid.

Whichoneofthesesystemsshouldyoupick?Wetakea
lookattheprosandconsofboth,comparingaMarutiAltofittedwiththeRevolohybridsystemandonefittedwi
thasequentialCNGsystem.

Revolopetrol-electricsystem

The petrol-electric hybrid system from Revolo (a KPIT Cummins offering) uses an electric
motorcoupled with the petrol engine through a drive-belt connected to the crankshaft pulley. The
electricmotor draws power from a battery pack (two 12V batteries) in the boot or from a single
Lithium ionbattery.Thisbatterypackcanbechargedovernightfroma
standardhouseholdsocketanditalsogetsrechargedwhenthecarismoving– especiallyduringbraking.

Prosofthepetrol-electricsystem

Revolo claims an additional fuel efficiency of 35% compared to a regular petrol Alto in the
city.Given the city mileage of about 17 kmpl for a regular Alto one can get about 23 kmpl using
thissystem. This would result in savings of up to 30% on fuel bills per year. Running costs would
comedownby30%overall,giventhatelectricitytochargethesystemisnearly1/10ththecost.

AlsothesystemisquitecompactanddoesnottakeupasmuchspaceasaCNGsystemwould–thereis no big
cylinder in the boot as the battery pack is small and can be fitted in one corner of the
bootsavingspace.

Thesystem,oncefullycharged,canrunmuchlongerthana
CNGsystemwouldasitalsogetstricklechargedduringthedaywhenthecarisrunning.

26
ConsofthePetrol-ElectricSystem
The cost projection for installing such a system of between Rs. 60,000 to Rs. 80,000 is fairly
high.You need to drive over 2000 km a month to realize the benefits of the system. With this kind
ofdriving you would save about Rs 2,100 per month, making the system pay for itself by the third
yearof use. However, in the fourth year, expect your savings to drop considerably, as you would
need tospendaboutRs.14,000onnewbatteries.Andthisisarecurringcosteverythreetofouryears.

CNG-petroldualfuelsystems

With a CNG conversion, the car can run on natural gas or petrol. Running it on CNG often
givesslightlybetterfuelefficiency–inthecaseoftheAltoabout22kmper
KgofCNG.WithCNGpricesataboutRs.40 perKg,itisnearlyRs.30cheaperthanpetrolperlitre.

ProsofaCNGsystem

CNG conversion allows for pure CNG driving, without a drop of petrol being burned unlike
thepetrol-electric system, where you only get a boost from the electric motor, but are still
consumingpetrol. Therefore the savings (given the cost difference with petrol) are much higher. You
realize theinvestmentinCNG muchfasterthanyouwouldwithapetrolelectricsystem.

CNGfillingnetworksarequitewidespreadinabout35citiesnow,whichmeansmucheasieraccesstogas.
Electric charging points are not easily accessible unless you have a garage or easy access to aplug
point. It also takes about 5 minutes to tank up on CNG, while it takes about 8 hours for a full-
chargeofthebatteries.

ConsofaCNGsystem

ThesizeoftheCNGtanktakesupalmosttheentirebootinanAlto,leavingnospaceforluggage.Italso is
substantially heavier and takes its toll on the suspension of the car. When one travels out
oftownthisbecomesanissueasCNGnetworksdon‘texistoutsideofmajorcities,forcingthedrivertodriveon
petrolandnegateanysavings.

27
HYPOTHESIS

By2025,India’spollutionincitiesisexpectedtogrowfivetimesascomparedto2010.Itisdesiredt
ohave3lakhEVswhichcouldresultinareductionof
over16lakhmetrictonsofpollutionby2020,savingsofoverRs.3,700croreinforeignexchangean
dsignificanthealthcostssavings.

It is expected that the government will make regulations specific to financial,

incentivesfor manufacturers, parking and toll benefits to customers and research and
developmentgrantstobuildnextgenerationtechnologies.

Thegovernmentwillalsoformnormsforpromotingpetrol-electricordiesel-
electrichybrids.Weexpecttoseelots
ofHybridVehiclesonroadwithinashortspan.TheRevolvoKitismeetingthecurrentconsumer’se
xpectationshenceitwillbepreferredbyconsumersonalargerextent.

28
RESEARCHMETHODOLOGY

The main purpose behind the study was to meet the wants and needs of the consumers
andprovidevaluableinformationregardingElectric/HybridVehicle.Alsotoknowwhethertheconsumers

Primarydata

Thefirsthanddatawascollectedbyusthroughvarioussources.Sourcesofprimarydataarethesamp
lingunits chosen.

Samplesize

Forthepresent study60respondentswereselected.

Samplingtechnique

Forselectingrequiredrespondentssimplerandomsamplingtechniquewasused.

Toolsandtechniques

Toolsforcollectingprimarydata

Interviewmethod

A Questionnaire of 16 Questions was prepared for which appropriate options were

madeavailableforrespondentstoselectfrom.Thequestionnairewascreatedwiththehelp
ofGoogleDocswhich was in a format of Electronic Survey Form. It was easy to send the form via
mail to n
numberofusers.ApartfromthistheQuestionnairewaseasilyuploadedonvarioussocialnetworkingsites.

Observation

Itwaseasyforrespondenttofillupthequestionnaireandsubmititonline,theresultofwhichwassavin
goftimeandreachmaximumrespondents.

Secondarydata

These are second hand readymade data collected by some other agency but not by
theresearcher. Source could be internal or external records. Secondary data gives the
detailedinformationaboutthecompany.Themaindetailaboutwhenthecompanywasstarted,wherethecom
pany was started, first etc. the secondary data gives all information which is unavailable
inprimarydata.

Sourcesofsecondarydata
29
Journals,Internet,NewspaperandReportswereused.
30
 18

TheResult’softheQuestionnaire
16

Thesurveywastakenwiththehelp of60respondentsoutofwhich
14

12

10
Male
8 Female

0
Job Student SelfEmployed Retired Other

31
 Doyouhaveanyvehicle?Ifyes,totalno.ofvehicles?

Total

49

24
22

11

Yes No Onevehicle TwoVehicles More than twovehicles

Ifyes,whatistheVehicle-type?

0%0%
4%
4%
Two WheelerThree WheelerHatch BackS
10% SUVMUV
PickupTruck
Other

22% 57%

3%

32
Would youbeinterestedinowning/convertingyourvehicleintoElectric/HybridVehicle?

TotalMaleFemale

27
24

20

14

10
9
7 7

Yes No Can'tSay

Ismostofyourdailytravellingincity,onthehighwayormixed?
Alsoletusknowthemodeoftransportationyou preferandapprox.distancetravelled.

8
Train 4
9

3
PublicBus 3
12

4
Taxi/AutoRickshaw 1
10

15
OwnVehicle 3
16

0 2 4 6 8 10 12 14 16 18

MixedHighwayCity
Whatisthetotalapprox.distancetravelledbyyoudaily?

0%

10%
14%

0to 5
13% 6to 10
11to20
21to40
40to80
25% 80to 120
120andabove
16%

22%

HaveyouheardaboutElectric/Hybridvehicle?

MaleFemaleTotal

51

35

16

9
6
3

No Yes

35
Wouldyoubeinterestedinowning/convertingyourvehicleintoElectric/HybridVehicle?

Heardaboutelectricvehicles Notheardaboutelectricvehicles Total

27
24 24

18

9 9
6
3
0

Yes No Can'tSay

Ifyes,thenhowmuchwouldyouexpecttobethepriceofanElectricVehicle/HybridVehicle?

14

12

10 Pricebetween5000to10000
10001to30000
8 30001to60000
60001to100000
6 100001to300000
300001to600000
4 600001to1000000
1000001to2000000
2

0
TwoThreeHatchSedanSUVMUVPickupOtherwheelerwheelerbackTruck

36
 WhatispreventingyoufrompurchasinganElectricVehicle?

No.ofrespondants

20

12 12 12

Nothing,IplantoThepresentcostThe I need
vehiclesbuyanelectricavailableatthe
moreinformationabout
It would bedifficult
thetechnologybeforeIwould Other
to set upcharging in mybuilding/home
of electricvehiclesistoohigh
vehiclesoonmomentdon't
have enoughrangeona single

charge to meetmake a purchasemyneeds

WouldyouliketoknowmoreaboutElectric/Hybridvehicle?Ifyes,fromwhichsource?

35

30

25

20

1530
25
10
17
5 12
9
5 4
Television
0 AutoExpo Magazines LiveDemo Internet Blogs Newspaper
Ads Websites Ads

Totalno.ofRespondants

37
 WherewouldyouprefertochargeyourElectricVehicleifyouweretobuyoneinthefuture?

40

35

30

25

20
No.ofrespondant
15
10

0
Athome Atwork Usingpublicchargingfacilities

WhatshouldbetherangeofanElectricVehiclewhenfullycharged?

20
18
16
14
12
10
8
6
4
2
Totalno.ofrespondants
0

lessthan81km81to 200km200to300kmmorethan300
km

38
 WhatshouldbetheexpectedmaximumspeedofanElectricVehicle?

30

25

20

15
Totalno.ofpeople

10

0
0to80 81to150 200andabove

Howmuchwouldyouspendonchangingthebatteriesonceitgetsexhausted?

OtherPick upTruck
MUVSUV
SedanHatchback
ThreeWheeler
<50000
20000to50000
10000to20000
5000to10000
3001to5000
1000to3000

Two-Wheeler

0 2 4 6 8 10

39
Q.14HowmuchsubsidiesyouexpectfromGovernmentonthepriceofbatteriesofElectric/
HybridVehicles?

5
10
15
20
morethan 20

Q.15. How muchpremiumwould youpay for additional development or

manufacturingcostofinfrastructure?

8
7
6
5
4
3 2001to5000
2 5001to10000
1 10001to20000
0 20001to50000
50001to100000
morethan100000
0to 2000

40
Analysis of the Data

Moreno.ofmales
comparedtofemaleshasoptedforthesurvey.Alar
geno.ofpeoplehavetheirprofessionasjob
Moreofthetwo-wheelerownerswereinterested
inbuying/convertingtheirvehiclesintoElectric/Hybridvehicles
Mostofthepeople(male)prefertheirownvehiclesfordailytravellingandth
edistancetravelledbythemdailyfallsinbetween40-80km.
Mostofthepeoplehavetheirdailytravellinginthecityaswellasonthehigh
way(mixed)oronlyinthe city.
Amajorsectionoffemalestudentshasshownmuchinteresttogetmoredet
ailsaboutElectric/Hybridvehicles technologies.
Most of the two-wheeler owners expect the price of their electric
vehicle (two-wheeler) shouldbeinbetween30000to60000INR.
MostoftheSedanowners
expectthepriceoftheirelectricvehicletobearound60000to100000INR.
It is assumed with this price they are interested in converting their
existing car into HybridVehicles.
Itwasfoundthat
– The presentcostofelectricvehicleswhichistoohigh
– Theinsufficientrangeonasinglecharge
– The lack of information about the technology before I

would make a

purchaseWherethemaincauseofconcernandwerepreventingpeoplefrom

buyinganElectricVehicle.

Majority of the people would like to know more about Electric

Vehicles from News Paper AdsandLiveDemoVehicles.

41
Almost all of the people would prefer to charge their vehicles at
home and from public chargingstations. Which is a cause of concern
as development of such infrastructure is still in nascentstage.
Though it was found that majority of the people daily travel around 80km, however still most
ofthepeoplewould
expectanElectricVehicletotravelaround80to150kmonsinglecharge.ThecurrentRevacancover100k
m(max.)when fullycharged.
Majority of two-wheeler owners and hatchback owners are willing to pay around 5000 to
10000and20000to50000INRrespectivelyforthereplacementofbatteriesonceexhausted,
whichisapositiveresponsefromconsumers.AnElectricVehicle‘sbatterieshavetobereplacedwithin4-
5yrs(Min.)regularlywhichcostaround20000to50000dependingonqualityofthebattery.
Speed the Electric Vehicle is not a concern with people for buying an Electric
Vehicle.EvengovernmentsubsidiesarenotaconcernwithpeopleforbuyinganElectricVehicle.
It is found that most of the people are ready to pay a onetime premium amount as an
additionaldevelopment or manufacturing cost of infrastructure. It depends on the type of
vehicles own
bypeoplefore.g.twowheelerownersexpecttopayapremiumamountof2000to5000INR.

42
CONCLUSION

The responses for the questionnaire proved to be crucial for the conclusion of
ourresearch as the results were positive and where matching with what was predicted by
us.

The perception of people towards EVs is still unsatisfactory as a major section of our
society is still unaware of various Alternative Technologies use din Automobiles.

The current EVs don meet the consumer‘s expectations to a larger extent.

The Government Initiatives taken for the promotion of EVs is still in developing
stageand is up to papers, though various agencies have been formed and various plans
havebeenbroughtbythembutstillitsimplementationisnotyetdone.

The consumers will prefer EVs only if they are comparable with current vehicles
onroad, so a change in consumer’s behavior is important. They should gradually become
more conscious about the use of cleaner technologies.

Though many consumers will not prefer the current Electric/Hybrid vehicles but still
there are lots of options available which is built to meet consumer’s expectations such as
REVOLVO KIT.

Marketing of such products will really play an important role as a stepping foot
towards GREEN ERENVIRONMET.

Various companies should take initiatives to promote electric vehicles as a part of their
corporate social responsibilities.

Finally the future of the Electric/Hybrid Vehicles is GREEN.

43
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