New Delhi: Indian automakers are lobbying against the Centre\u2019s plan to introduce standardized energy-efficiency star-based rating for electric two-wheelers (e2Ws), according to three people close to the matter and a draft correspondence reviewed by Mint.<\/p>\n
The Society of Indian Automobile Manufacturers (SIAM), which counts four of the top five e2Ws makers by market share\u2014Hero MotoCorp Ltd, Bajaj Auto Ltd, Ather Energy Ltd and TVS Motor Co. Ltd\u2014as members, has discussed the proposal and is of the view that e2Ws are still not self-sustaining and remain reliant on subsidies and incentives, the people cited above said on condition of anonymity.<\/p>\n
\u201cThere were discussions on this last week within the industry, and the plan is to seek a deferral, as the e2W segment is still nascent,\u201d said one of the three people.<\/p>\n
The automakers believe e2Ws can be sold with star ratings once adoption picks up, according to a draft letter from SIAM that is likely to be sent to the Bureau of Energy Efficiency (BEE).<\/p>\n
\u201cCustomers started adopting EVs (electric vehicles) gradually, overcoming anxiety about new technology. Imposing efficiency rating labels at this stage risks weakening customer confidence and deterring the growth of EV adoption,\u201d the draft letter read.<\/p>\n
The SIAM letter also said that imposing energy efficiency regulation on e2Ws before electric motorcycle models enter the market could \u201cdisproportionately penalize innovation and investment towards adoption of electric motorcycles.\u201d<\/p>\n
Mint reported on 17 June that BEE, India\u2019s energy efficiency regulator under the Union power ministry, had begun talks to include e2Ws under its star rating regime, initially voluntarily, modelled on the system for electrical appliances, in which a higher rating indicates greater energy efficiency, lower electricity bills and a smaller carbon footprint.<\/p>\n
The energy efficiency of e2Ws, according to BEE, is integral to India\u2019s green energy transition, given that energy consumption among e2Ws varies significantly from about 2.2kWh per 100km to over 5kWh, indicating room for improvement, Mint reported earlier.<\/p>\n
\u201cIt is not that the industry is not in favour of having a star rating for e2Ws. But we need to ensure that this vehicle segment is self-sustaining first,\u201d said a second person.<\/p>\n
The automakers\u2019 resistance comes at a time when e2W adoption is rising in the country. It recorded sales of 1.4 million e2Ws in 2025-26, up 20% year-on-year, according to the government\u2019s Vahan registry of new vehicles sold. A total of 21 million two-wheelers were sold in the world\u2019s largest scooter and motorcycle market in FY26.<\/p>\n
India, the world\u2019s largest two-wheeler market by sales, is also the world\u2019s second-largest e2W market after China, according to the International Energy Agency.<\/p>\n
Prime Minister Narendra Modi on Saturday said in his Independence Day address from the Red Fort in New Delhi that India was making progress in clean mobility, with annual EV sales rising to more than 2.5 million in 2025-26.<\/p>\n
Meanwhile, on 10 August, the ministry of heavy industries extended the country\u2019s flagship EV subsidy scheme for e2Ws until 2027-28, from its earlier end date of 31 July 2026, and added \u20b91,000 crore to the subsidy fund, according to a government notification.<\/p>\n
Mint's queries emailed to the ministry of power, BEE, Siam, and e2W makers Ather Energy, Hero MotoCorp, TVS Motor Co., Bajaj Auto, and Ola Electric early on 14 August remained unanswered.<\/p>\n
Experts say star ratings for consumer electronics can be fixed, but e2Ws are dynamic entities.<\/p>\n