India E-Rickshaw and On-Demand Ride Hailing Market - In-Depth Analysis of Industry Sizing and Dynamics till 2030
With the rising environmental degradation and the deteriorating air quality levels in the major cities and towns, the government at both the state and central levels in India are focusing on promoting the deployment of eco-friendly modes of transportation such as electric rickshaws (e-rickshaws). As a result, there has been a sharp surge in the enactment of strict environment protection laws in the country. These laws are aimed at reducing the usage of fossil fuel-powered vehicles.
In recent years, several projects have been launched by the regulatory authorities for mitigating the pollution levels in the country. For example, in order to provide a convenient mobility option to commuters and improve the last-mile connectivity from metro stations, the Delhi Metro Rail Corporation (DMRC) officially started the first E-Rickshaw service in June 2017. Furthermore, the DMRC in partnership with SmartE launched the extension of its e-rickshaw services to as many as 12 metro stations.
The increasing operations of various transportation network companies (TNC) in this sector is causing the rapid integration of advanced mobile technologies such as global positioning service (GPS)-enabled applications in e-rickshaws and on-demand ride hailing services. This is creating an enhanced user experience and making ride booking and various other processes associated with these services hassle-free and smooth. Moreover, this is improving the last/first mile connectivity and fueling the growth of the Indian e-rickshaw and on-demand ride hailing market.
Thus, it can be safely concluded that the demand for e-rickshaws and on-demand ride hailing services is set to grow rapidly in India in the upcoming years, mainly on account of the ballooning requirement for eco-friendly modes of transportation, due to the escalating pollution levels in the major cities and towns, and convenient urban mobility options.