Industry Leaders to Discuss Just and Inclusive EV Transition for Maharashtra, Risks and Opportunities for Auto MSMEs
Chhatrapati Sambhajinagar/ Pune, 25th September 2024: As Maharashtra accelerates its transition towards electric vehicles (EVs), the state’s robust automobile sector faces both opportunities and challenges.
On Thursday, September 26, 2024, industry leaders, policymakers, and stakeholders from the auto manufacturing sector will convene at a workshop titled “Exploring a Just and Inclusive EV Transition for Maharashtra’s MSMEs” to address the critical issues of this transition. The event, organised by WRI India in association with Marathwada Auto Cluster (MAC) and Laghu Udyog Bharati, will be held at Nanasaheb Bhogale Auditorium, MIDC WALUJ, Chhatrapati Sambhajinagar (Aurangabad).
Maharashtra’s automobile industry, anchored in hubs like Pune and Chhatrapati Sambhajinagar, contributes 7% to the state’s overall Gross State Domestic Product (GSDP) and accounts for 15.3% of its industrial GSDP. However, the road transport sector also represents the second-largest source of greenhouse gas emissions in the state, making the shift from Internal Combustion Engine (ICE) vehicles to EVs a crucial part of the state’s climate strategy.
Maharashtra has positioned itself as a leader in EV adoption, with EVs increasing from 0.4% to 7.6% of vehicles on the road between 2020 and 2023. Despite this success, the transition poses risks to the state’s automotive manufacturing industry, which is particularly reliant on Micro, Small, and Medium Enterprises (MSMEs). Studies show MSMEs represent 97% of the sector and employ around 200,000 workers. Adapting to EV manufacturing brings challenges for businesses, workers, and the environment, and experts stress the need for policies that safeguard MSMEs during this transition.
The workshop will bring together MSME owners, workers’ associations, Original Equipment Manufacturers (OEMs), and academia to discuss these risks and opportunities. Key speakers include Ashish Garde, Director of MAC, Arpit Save, President of the Chamber of Marathwada Industries & Agriculture (CMIA), Suresh Todkar Director, Marathwada Accelerator for Growth and Incubation Council (MAGIC), Prasad Kokil, Director, MAGIC, and Manas Vora, Director of Vroomble Services Pvt Ltd. Representatives from Deogiri Electronic Cluster will also attend the event.
Sharing his views on the upcoming dialogue, Ashish Garde, Director of MAC, said: “The transition to EVs is crucial, and MSMEs must prepare for this shift. Building the necessary EV ecosystem is vital, and OEMs can play a pivotal role by actively engaging with auto component manufacturers in the MSME sector.”
The discussions will focus on the implications of the EV shift for MSMEs, aiming to shape policies that ensure a fair and inclusive transition for the sector. The insights from this workshop are expected to aid in formulation of pathways for the state to transform its auto industry while protecting and enhancing the livelihoods of small businesses and workers.
