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Battery Swapping: A Game Changer for India’s Commercial Vehicles

By FNN News Desk 115 Comments , , , ,

Mumbai: India aspires to be energy-independent by 2047, the centenary year of its freedom, and in this pursuit, decarbonisation of the commercial vehicle segment, especially the heavy-duty buses and trucks will be imperative. Occupying less than 5% of the total vehicle fleet, heavy-duty buses and trucks account for about 50% of the transport-related emissions. Electric vehicles (EVs) have emerged as a leading technology in decarbonization, particularly in smaller segments such as two-wheelers and three-wheelers. However, the challenge of electrifying heavy commercial vehicles (HCVs) remains formidable due to their demanding energy requirements and operational complexities.          

Globally, battery swapping has emerged as a promising solution for electrifying heavy electric vehicles (HEVs). Electric buses have seen significant traction in regions like China and Kenya. BasiGo in Kenya and Shenzen bus group in China procured buses without pre-fitted batteries. Further, in China, around 50% of the electric trucks sold in 2023 were swap-enabled. In Germany, the eHaul project is piloting HEVs up to 40 tonnes for battery swapping and these long-haul HEVs operate for more than 300 km a day. Ample and Yamato in Japan are also conducting dedicated swapping pilots for HEVs.

In India, the electrification of vehicles has been driven by a suite of policy support, fiscal subsidies, and the entry of new-age startups. However, the focus on HEV electrification has been limited. The recently launched PM E-bus Sewa and the State Transport Undertaking (STU) focused bus electrification through FAME subsidy focuses on the urban bus fleet, which is a minor share of the Indian bus market. The fleet operators in India face several challenges in transitioning to electric vehicles. Around 90% of India’s overall bus market is operated by fragmented private fleet owners, the majority of who have less than 5 buses and do not have access to subsidies and finance.

For commercial vehicles ranging from 3 tonnes to 55 tonnes, electrification is hindered owing to challenges like high upfront cost, longer charging times, battery obsolescence, and range anxiety.  There is a limited and uneven distribution of charging and battery-swapping stations across India, particularly outside major urban areas. This limits the practicality of EVs for long-distance or intercity travel, where reliable access to charging is critical. 

Battery Swapping is the Perfect Fit for India

To this end, battery swapping can be a game-changing opportunity for electrification for buses and trucks. It provides myriad benefits namely: zero downtime, increased productivity by ~30%, alleviated battery obsolescence concerns, reduced anxiety about battery performance and vehicle range, and improved affordability of HEVs.  

First, battery swapping improves the affordability of heavy electric vehicles (HEVs) by significantly reducing the upfront cost. Since the battery constitutes almost 40% of an EV’s price, removing it from the purchase equation allows manufacturers to offer vehicles at a lower price point. This reduction in upfront cost can accelerate the adoption of EVs among fleet operators, making them a more viable alternative to traditional diesel-powered vehicles and their fixed-charging counterparts.

Second, battery swapping also alleviates the customers’ challenge of battery obsolescence by disassociating the battery from the vehicle. The customer need not worry about the high battery replacement cost over time, the battery performance, and the evolving battery technologies itself. This approach shifts the burden of battery maintenance and technology upgrades from the customer to the battery swap operator, offering peace of mind to fleet operators and allowing them to focus on their core operations.

Third, battery swapping offers a transformative solution to one of the most significant challenges in the adoption of electric vehicles: long charging times and the associated high-power demand from the grid. Instead of waiting for hours for a vehicle to recharge, drivers can quickly swap out depleted batteries for fully charged ones in a matter of minutes. This not only minimizes downtime but also reduces the strain on the power grid, as it eliminates the need for large-scale, high-demand charging infrastructure. Battery swapping also reduces the peak power requirement as charging in swap stations is conducted consistently.  

Fourth, battery swapping directly addresses range anxiety and other operational challenges associated with EVs. The ability to quickly swap batteries eliminates concerns like longer waiting time and a dense battery swapping network will eliminate range anxiety. This will make electric vehicles more practical on high-demand routes like mofussil or intercity routes. High up-time demand operations like ports and cement industries where 20-22 hours of constant movement is required, swapping will emerge as a promising alternative to diesel-operated trucks without any productivity loss. This flexibility to swap the vehicle at ease is crucial for the heavy-duty segment, where reliability and uptime are paramount.

Fifth, once the battery is disassociated from the vehicle, the upfront cost is reduced, and the obsolescence related to technology and its performance is also mitigated as it is taken care of by the battery swap operator. The reduced upfront cost and removal of risks associated with the battery technology for the customer make it a lucrative option for financial institutions to fund at par with the ICE vehicles. In addition to the above benefits, SUN Mobility’s solution stands out with its modular and scalable battery packs, designed to cater to a wide range of commercial vehicles—from 7-meter buses to 13.5-meter buses and commercial vehicles ranging from 3 tonnes to 55

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