As the Union Budget 2026–27 nears, electric two-wheeler industry leaders outline key policy priorities to accelerate adoption, localisation, and sustainable EV growth in India. They highlight reforms needed to accelerate EV adoption, strengthen domestic manufacturing, and build a scalable charging ecosystem.

Madhumita Agrawal, Founder & CEO of Oben Electric

Oben Electric views the Union Budget 2026-27 as a vital opportunity to strengthen India’s electric mobility journey. While 2025 was a landmark year with EV sales reaching a record 2.3 million units, anchored by 1.28 million two-wheelers, the industry’s long-term health depends on structural tax reforms. A primary concern for domestic manufacturers is the inverted tax structure. While finished EVs attract a 5% GST, the raw materials sourced to build these vehicles are taxed at 18%. This 13% disparity traps vital working capital across the industry, driving up production costs and straining liquidity. Aligning the GST on all EV components to a uniform 5% is essential to support domest.

Kunal Arya, Co-founder & MD, Zelio E Mobility

Zelio E-Mobility believes India’s electric mobility transition will be driven primarily by two-wheelers, where affordability, daily usability, and scale are the most critical factors. Ground-level adoption trends show that sustainable EV growth depends more on long-term structural enablers than short-term subsidies, making policy stability increasingly important for manufacturers. The Union Budget 2026–27 should prioritise deeper localisation through component-specific PLI support for battery cells, controllers, and power electronics to reduce import dependence and strengthen Make in India. Rationalising GST on electric two-wheelers and enabling priority-style, low-cost financing can accelerate mass adoption more effectively than one-time incentives.

"A clear national charging roadmap, including a target of 50,000 public charging points by 2027 and mandatory chargers at highways and fuel stations, along with longer-tenure capital, will be essential to building a scalable and resilient EV ecosystem", said Kunal Arya, Co-founder & MD of Zelio E Mobility.

Also Read: Budget 2026 Expectations: Startups from EV, AI, Tech & Astro-Tech

Sameer Moidin, Founder &CEO, EVeium Smart Mobility

According to Sameer Moidin, the Union Budget 2026–27 must capitalize on the momentum of India’s electric two-wheeler segment, which dominated the EV market in 2025 and already serves millions of daily commuters. The focus should be on Make in India electric two-wheelers that are not just assembled locally, but designed, manufactured, and scaled domestically to create jobs, build resilient supply chains, and reduce import dependency. Incentives should drive battery localisation, affordable financing, and mass-scale production, while sustained investment in robust, widely accessible charging infrastructure will make EVs practical for all users, not just urban elites.

"At EVeium, we believe this Budget has the power to turn India’s electric mobility promise into reality, making EV ownership accessible, supply chains stronger, and domestic manufacturing world-class, cementing India’s position as a global EV leader", said Sameer Moidin.