CONTENTS
- Future Investments in India’s EV Space
- Breaking the Taboo around Men’s Reproductive Health
Future Investments in India’s EV Space
Context:
According to media reports, the government plans to expand the scope of its electric vehicle (EV) policy, initially announced in March, to include a retrospective effect. This means that the policy, designed to encourage global players to localize production and invest in the domestic ecosystem, will now extend benefits to entities that have already made investments.
Relevance:
GS3-
- Achievements of Indians in Science and Technology
- Mobilization of Resources
GS2- Government Policies & Interventions
Mains Question:
With reference to the revised EV policy, analyse how does it align with India’s goals of enhancing local manufacturing and technology adoption in the EV industry. In what ways can the policy’s focus on localisation and production volume increase competition and lower costs? (15 Marks, 250 Words).
What was the Focus of the March policy on Investment and Localization?
- Previously, entities were eligible for incentives only if they set up local facilities within three years of receiving approval.
- The revised policy is expected to be formally announced in August, according to sources familiar with the development.
- There will be focus on increasing production volumes, attaining economies of scale, and lowering production costs, thereby improving the economics of electric vehicles for Indian consumers in a commercially viable manner.
- To maintain commercial viability and retain a foothold in the Indian market, the import duty on EVs as completely built units (CBUs) with a minimum cost, insurance, and freight (CIF) value of $35,000 was reduced from 70%-100% to 15%.
- The policy document stated that India, being the third-largest automotive market in the world, could potentially “lead the global transition” from internal combustion engine (ICE) vehicles to decarbonized electric counterparts.
- Overall, the policy recognized that import substitution for EVs would require a layered and sustained approach.
- To this effect, for a commercially viable transition, it provided mechanisms for manufacturers to address the imperative affordability paradigm of Indian consumers.
Why does the Ecosystem need Investment and Intervention?
- A Niti Aayog report in 2022 argued that purchasing a vehicle is a “major investment decision” for most Indian consumers.
- Therefore, ensuring viable economics for owning, maintaining, and running a vehicle—the total cost of ownership—is essential.
- The report suggested that a sharper decline in costs would accelerate EV adoption.
- It highlighted India’s structural unit cost disadvantages in producing select cell components, such as CAM NMC (8-10%) and electrolyte (2-3%).
- Additionally, certain cell components like separators, copper foil, and anode active material (AAM) require significant capital investment—approximately $200-500 million for a 20-30 GWh plant.
- The commission recommended creating an enabling ecosystem to attract large-scale capital investment compared to other geographies.
- Another essential aspect of a comprehensive ecosystem is after-sales service. Bain & Company’s India EV Report (2023), focusing on the two-wheeler EV segment, identified after-sales service as a “big pain point” for EV customers.
- The report also questioned the scalability of business models where OEMs partnered with standalone breakdown service providers (such as Ampere with ReadyAssist).
- The report also stated that India would need “significant investor support” to realize the $100 billion-plus EV opportunity.
- It advised investors to evaluate potential assets based on five criteria: sustainable competitive advantages, go-to-market and distribution capabilities, customer feedback and brand perception, talent and culture, and manufacturing and supply chain strategy.
Does All of it Address the Paradigm?
- The EV policy announced in March aligns with those in the U.S., China, and Europe, where incentives are provided on a case-by-case basis to companies setting up capacity for EV value chain manufacturing.
- These incentives include land and infrastructure, capital subsidies, financing support, fiscal incentives, and subsidized utilities.
- However, the International Energy Agency (IEA)’s Global EV Outlook for 2024 noted that electric cars remain 10% to 50% more expensive than combustion engine equivalents in Europe and the U.S., depending on the country and car segment.
- Notably, Europe and the U.S. meet 20% and 30% of their EV battery demands through imports, according to the report. This underscores the need for integrated production lines.
Conclusion:
If FDI is to reach its full potential, the focus must be on ensuring it contributes to building a core country, where critical components are made locally, technology is transferred, and local manufacturing is developed. If FDI does not enable the country to become a core player, it will remain a peripheral player in the larger supply manufacturing chain.
Breaking the Taboo around Men’s Reproductive Health
Context:
World Population Day (July 11) has passed, but as we tackle the complex challenges of global population dynamics, it is essential to highlight a subject often overlooked in reproductive health discussions: male infertility. Male infertility is a stigmatized issue, surrounded by silence and misconceptions. This neglect worsens the emotional and psychological impact on those affected and hinders progress towards effective solutions.
Relevance:
GS2- Health
Mains Question:
Male infertility issues continue to be neglected in India. In this context, discuss the reasons behind the prevalence of male infertility and suggest an effective intervention in this regard. (10 Marks, 150 Words).
Prevalence of Infertility in India:
- In 2004, the World Health Organization (WHO) estimated that globally, between 60 million to 80 million couples struggle with infertility.
- However, the exact prevalence of infertility in India remains unspecified according to the Indian Council of Medical Research (ICMR) National Guidelines for Accreditation, Supervision, and Regulation of Assisted Reproductive Technologies (ART) Clinics (2005).
- Based on WHO’s data, it is estimated that approximately 13 million to 19 million Indian couples may face infertility issues.
- This incidence is expected to rise due to factors such as environmental pollution and adverse lifestyle changes. Male infertility accounts for 50% of all infertility cases in the country.
- Therefore, it is crucial to highlight male infertility, understand its causes, and find solutions to help the millions of affected couples.
Understanding the Subject:
- Male infertility is a complex issue with varied causes and manifestations. It can present as an absence of sperm, low sperm count, low sperm motility, or a combination of these factors.
- The underlying causes can include stress, hormonal imbalances, genetic, anatomical, and epigenetic factors, or exposure to certain infections.
- External factors such as environmental pollution, indiscriminate use of pesticides, plastics, and plasticizers also impact fertility and influence the epigenetic makeup.
- Lifestyle choices, including diet, sleep patterns, work schedules, and the consumption of alcohol and tobacco, play a significant role.
- Additionally, a growing preference for late marriages among the youth contributes to challenges, as sperm quality declines with age.
Interventions Needed:
- Despite these challenges, male reproductive health can be protected through various lifestyle interventions.
- The excessive use of mobile phones and laptops near the body should be minimized, as they have become occupational hazards in many fields.
- Stress, a significant deterrent to reproductive health, can be mitigated through regular exercise, yoga, and meditation.
- Couples should also adopt these healthy lifestyle practices to protect their reproductive health and enhance their overall well-being.
Treatment Options:
- While lifestyle interventions are crucial for prevention, it is also essential to discuss treatments for those dealing with infertility. Treatment options vary in efficacy depending on the cause and form of infertility.
- Seeking help from a medical professional is important to identify and address the issue.
- A medical professional will typically recommend a routine semen analysis, conducted after a two-to-seven day period of sexual abstinence as per WHO recommendations.
- If the issue is physical or anatomical, such as blocked sperm flow, undescended testicles, or an abnormal urethral opening, these can be corrected with surgery.
- For an absence of sperm, treatments like intracytoplasmic sperm injection (ICSI) should be considered.
- Couples facing this issue can also opt for donor sperm insemination or adoption.
- In cases of very low sperm count, natural conception may be possible if sperm motility is very good.
- However, if both sperm count and motility are low, intrauterine insemination (IUI), in vitro fertilization (IVF), or ICSI are recommended. For male infertility due to gene mutations, genetic counseling is crucial before using assisted reproductive technologies such as IVF and ICSI.
Conclusion:
Apart from the measures above, awareness of reproductive and sexual health, especially during the formative years from secondary school to junior college, is crucial. Parents, particularly fathers, should educate their sons on these issues. Individually, young men should adopt healthy lifestyle practices, such as maintaining a nutritious diet, regular sleep patterns, and avoiding alcohol, tobacco, and other intoxicants.
