Demonetisation: Electric vehicles industry has been badly hit

Industry has basic and entry-level products, which people purchase by paying cash and they do not have bank financing facilities, says SMEV

Demonetisation is badly impacting the sale of electric vehicles, which are bought mostly on cash without any financing facility, industry body SMEV said on Friday.

Society of Manufacturers of Electric Vehicles said the industry has basic and entry-level products, which people purchase by paying cash and they do not have bank financing facilities.

"The electric vehicles (EV) industry has been badly hit, the sale of EV's has considerably slowed down," SMEV Director- Corporate Affairs Sohinder Gill said in a statement.

He said that although demonetisation is a great move, the step is just one of the ways of curbing the black money menace.

 

He also said that the disbursement as per the FAME Scheme (Faster Adoption and Manufacturing of Electric Vehicles) for the current year has been satisfactory only, "as the desired sales are yet to pick up".