Economic Feasibility of Electric Vehicles in Developing Countries

Abstract

The move toward electric mobility has acquired tremendous pace all over the world; yet, the economic viability of transitioning to electric mobility in developing nations is still an important subject of investigation. Electric vehicles (EVs) have the potential to provide a number of benefits, including reduced dependency on imported fossil fuels, lower running costs, and environmental advantages. However, the adoption of these technologies in developing nations is impacted by a variety of economic obstacles, such as high initial costs, insufficient infrastructure, and legislative issues. considerations such as total cost of ownership (TCO), fuel savings, maintenance costs, and government subsidies are taken into consideration in order to determine whether or not electric vehicles are economically viable in developing nations. The findings suggest that electric cars (EVs) offer long-term cost benefits due to lower fuel and maintenance expenses, despite the fact that their initial purchase prices are greater than those of conventional vehicles. In addition, the government's subsidies and tax advantages, as well as the falling prices of batteries, all play a significant part in making batteries more affordable and increasing their market competitiveness.