Finance remains the single biggest bottleneck in India’s electric mobility transition, even as battery costs continue to decline and total cost of ownership economics strengthen, according to Dheeraj Hinduja, Executive Chairman of Ashok Leyland and Chairman of Switch Mobility.
Speaking at the launch of the electric double-decker bus in Delhi, Hinduja said Switch Mobility will close the current financial year with around 1,500 electric bus deliveries, including vehicles being dispatched in March. The company will enter the next fiscal with an order book of approximately 2,500 electric buses, providing visibility for continued scale-up.
The Hinduja Group has gifted this Switch double decker electric bus to the govt of Delhi as part of its CSR initiative.
Finance remains the key constraint
When asked about the biggest bottleneck in electric mobility, Hinduja was unequivocal.
“Finance definitely is the most crucial element when you look at electric vehicles,” he said.
While charging infrastructure is often seen as the primary barrier, he suggested that the upfront capital cost remains the real challenge, particularly in commercial vehicles, where fleet economics are tightly monitored.
Battery prices, he noted, are still elevated but trending downward.
“Battery costs are expensive, but fortunately they are coming down. In the next few years, you will see that they will reach parity, where diesel and electric will become equally viable,” he said.
He stressed that parity should not be measured only by acquisition price. On a total cost of ownership basis, electric buses already make economic sense over a medium-term operating cycle.
“When you look at the total cost of ownership, an electric bus will be much more viable if you consider a four-year period,” he said, adding that buses typically operate for 10 to 12 years, further strengthening lifecycle economics.
Double-decker revival
Hinduja also highlighted the return of the electric double-decker bus to Delhi’s roads, calling it both nostalgic and forward-looking.
Switch Mobility has delivered 110 electric double-decker buses so far in India, with another 40 currently being delivered. The company is in discussions for further deployment within the city, including potential tourism-linked applications.
“We are the only ones who produce the electric double-decker at the moment,” he said.
Positioning the rollout within India’s broader sustainability push, Hinduja credited central and state governments for accelerating electric bus adoption through structured tenders and policy support.
With 1,500 deliveries closing this fiscal year and an order book of 2,500 buses lined up for the next, Switch Mobility is entering the new financial year with both visibility and momentum, even as financing innovation and battery cost reduction remain critical to unlocking the next phase of scale.