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An International Council on Clean Transportation (ICCT) working paper estimates that faster electric vehicle adoption plus domestic battery manufacturing could cut India's annual oil and battery import bill by up to $125 billion by 2050.
That would take the road-transport import bill from $153 billion in the Baseline scenario to about $28 billion - a reduction of roughly 82%.
Faster electrification alone accounts for about $94 billion of the saving, even if India keeps importing all battery cells; localisation adds about $31 billion.
Annual EV battery demand is projected at about 573 GWh by 2050 under the Momentum and Ambitious pathways, against about 340 GWh in the Baseline.
The study models three EV uptake pathways - Baseline, Momentum and Ambitious - across all major on-road vehicle segments from 2024 to 2050.
| Scenario | Annual battery demand by 2050 | 2050 import bill |
|---|---|---|
| Baseline | About 340 GWh | $153 billion |
| Ambitious, no battery localisation | About 573 GWh | $59 billion |
| Ambitious, high battery localisation | About 573 GWh | About $28 billion |
Independent non-profit research organisation providing technical analysis on transport emissions and fuel efficiency to environmental regulators worldwide
GS Paper 3 > Indian Economy - energy security, infrastructure and manufacturing; environment and climate mitigation
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Manufacturing battery cells domestically instead of importing them, so the value stays within the economy.
Gigawatt-hour, the unit used to measure battery energy capacity and hence annual battery demand.
Battery electric vehicle - a vehicle run purely on a battery, with no internal combustion engine.