Maruti Suzuki India today said it is the responsibility of the auto industry to make electric vehicles acceptable to users in the country as consequences of not doing so would "impact" the industry.
MSI chairman R C Bhargava, while delivering a keynote address at the 57th annual convention of Automotive Component Manufacturers Association (ACMA) here, said that the government's push for reducing dependence on energy exports is the primary aim for pushing electric vehicles.
"As industry it's our responsibility of making electric vehicles acceptable to the present users of automobiles as well as who will move into the market in the future. This is the challenge before us," Bhargava said.
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The usage of clean energy to the greater extent possible will help to reduce dependence on imported energy, he said.
"Mobility in the future has to recognise this and the government's push for electric vehicles is to reduce dependence on limited sources," Bhargava noted.
He said cost of the battery remains a challenge but efforts are in to localise production.
"Suzuki along with Toshiba and Densu is already establishing a plant for making lithium-ion batteries in Gujarat and hopefully it will be the first step towards localisation of battery cells to reduce the cost of batteries, Bhargava said.
When asked about company's preparedness on electric vehicles, Bhargava said that the company has full fledged R&D for electric vehicles.
"Besides Suzuki is talking to Toyota that also has to be factored in," he said.
When asked about company's plans to bring in electric vehicles, Bhargava said: "I don't have a timeframe right now".
On proposal to increase cess on SUVs and luxury cars, Bhargava said that taxes on cars before GST were higher than what taxes became after GST.
"The reduction in prices at the highest or the top end vehicles was more. I think that is probably not intended so what I understand is that government is trying to rectify that and bring us back to where we were in terms of total taxes prior to the GST," he said.
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