EVMS raises concern over illegal e-rickshaw operations
Date: 04 Jul 2025
The
Electric Vehicle Manufacturers' Society (EVMS), representing more than 200
organised and MSME EV manufacturers across India, held a press conference at
the Press Club of India, highlighting two major challenges facing the country’s
electric mobility sector. These include the widespread operation of illegal
e-rickshaws and the sharp increase in low-quality imports. Rajiv Tulli, General
Secretary of EVMS and an industry veteran with over 25 years of experience, led
the session. He made a strong case for urgent policy action, regulatory
clarity, and coordinated steps from all stakeholders to address these pressing
concerns.
E-rickshaws
have emerged as one of the most significant contributors to India’s green
mobility revolution. With over 50 lakh e-rickshaws currently operating across
the country, supported by nearly 500 MSME manufacturers of e-rickshaws and
e-carts, the sector has delivered substantial environmental and economic
benefits.
E-rickshaws
have delivered significant environmental and economic benefits. They cover over
1 billion green kilometres daily, saving nearly 4 lakh metric tonnes of carbon
emissions, equivalent to planting 2 billion trees. Their widespread use has
replaced 98 percent of manual paddle rickshaws, saving around 50 million litres
of petrol each day and reducing India’s fuel import burden. The sector has also
created over 50 lakh direct and 75 lakh indirect jobs, especially in smaller
towns and rural areas, providing livelihoods to vulnerable communities.
Affordable and efficient, e-rickshaws have become the most reliable last-mile
connectivity option for millions and play a vital role in supporting metro rail
networks across cities.
Despite
these contributions, misconceptions around e-rickshaws persist. EVMS clarified
that safety concerns largely stem from illegal, unregistered and substandard
vehicles operating outside the regulatory framework. Compliant e-rickshaws
undergo rigorous testing by authorised agencies before receiving certification
and registration. Traffic disruptions and safety issues are mainly linked to
non-compliant vehicles, not the approved, road-worthy ones produced by
responsible manufacturers. EVMS is working with authorities to enforce fitness
checks and seize such illegal vehicles.
It
is crucial to distinguish between valid, compliant e-rickshaws and illegal,
unapproved ones. A valid e-rickshaw has road registration, a number plate, a
chassis number, a compliance plate, insurance and a fitness certificate. These
vehicles use approved OEM parts and meet all safety and quality standards.
Illegal
e-rickshaws, on the other hand, often operate without registration, number
plates or valid chassis numbers. Many are converted from paddle rickshaws to
electric without meeting safety norms. They lack compliance plates, insurance
and use low-grade, untested parts. With no fitness certification or
roadworthiness clearance, these vehicles pose safety risks to commuters and
undermine the sector’s credibility.
While
the growth of the sector is undeniable, the unchecked rise of illegal
e-rickshaws remains a serious concern. EVMS estimates that nearly 4.75 lakh
unregistered e-rickshaws currently operate in Indian cities without proper
driver certification or formal registration.
Tulli
pointed out that delays in the lack of a streamlined registration process have
allowed illegal operators to flourish. This not only endangers public safety
but also creates unfair competition for compliant manufacturers who invest in
quality and regulatory compliance.
Adding
to the challenge is the sharp rise in substandard imports of EV components and
chassis. Between 2021 and 2024, motor imports jumped from Rs 320 crore to Rs 870 crore, while controller imports increased
from Rs 140 crore to Rs 410 crore. A significant portion
of these imports, particularly from China, do not meet Indian quality standards
and are unsuitable for local operating conditions.
These
inferior imports pose serious risks to vehicle performance and commuter safety.
They also hurt domestic MSME suppliers, whose market share has already dropped
below 35 percent. Tulli described this trend as a setback to the Atmanirbhar
Bharat mission and a direct threat to homegrown innovation.
EVMS
also flagged gaps in enforcement infrastructure, including insufficient space
to seize and scrap illegal vehicles and the absence of a clear scrap policy for
ageing e-rickshaws. To support their concerns, EVMS presented a detailed
dossier containing RTI replies, Delhi High Court directives on illegal vehicle
seizures, notifications from the Ministry of Road Transport and Highways on EV
compliance and circulars from the Delhi Transport Department.
EVMS
also presented district-wise maps highlighting hotspots of illegal operations,
import trend data, quality comparisons of critical EV parts and flowcharts
illustrating how unchecked imports are undermining local manufacturing.
Tulli
concluded by urging policymakers to take decisive action. He stressed that
India’s EV transition cannot be based on compromises, safety risks or reliance
on substandard imports. Enforcing existing rules, safeguarding public safety
and empowering Indian manufacturers are essential to building a reliable,
competitive and safe electric mobility sector for the country.