Electric auto rickshaws reshape India’s roads

Electric auto rickshaws are transforming India's roads at an astonishing pace, with a new battery-powered vehicle produced every 90 seconds at factories like Mahindra Last Mile Mobility. The country has become the world's largest market for these eco-friendly three-wheelers, with half of all new three-wheelers sold in September being electric, compared to just 8.5 percent of cars and 11.6 percent of two-wheelers.

Mahindra LMM's CEO, Suman Mishra, said the company's EV penetration has grown sixfold in the last five years, driven by government subsidies, improved vehicles, and reduced operating costs.

E-rickshaws have been a fixture in New Delhi for over a decade, initially created by repurposing Chinese-made batteries and modified pedal tricycles. However, they have since captured market share from more conventional fossil fuel models, now often seen outside railway stations and markets across northern India, replacing the noisy "tuk-tuks."

While many drivers appreciate the shift to electric vehicles due to the financial benefits, with charging costs saving them hundreds of rupees daily, the primary driver behind the surge in e-rickshaws is economic. Battery costs are plummeting, while fuel prices are rising, making electric vehicles significantly cheaper to run over their lifetime.

In fact, Indian think tank CEEW estimated in 2025 that petrol three-wheelers would cost more than twice as much per kilometer to operate compared to electric vehicles. Policymakers have also welcomed the transition, as India imports most of its oil and gas and has grappled with energy costs since the Middle East conflict began.