Energetica India Magazine May-June 2021

ELECTRIC VEHICLES 61 energetica INDIA- May-June_2021 Last-mile delivery companies have to take major steps in this direction to fast-track EV adoption for last-mile delivery with EV fleets. During the pandemic as well as after the pandemic, to build an EV-led last-mile delivery ecosystem will have to face many challenges like high cost, range anxiety and scarcity of charging stations that need to be addressed first. During this time, improvement in the infrastructure has also pushed to witness faster adoption and deployment of EVs for last-mile delivery. And the situation will continue to improve even in a post-pandemic world. One of the key enablers for growth in the market during Covid-19 has been the supply chain infrastructure built by last- mile delivery players and third-party new-age logistics players (3PL). The customers from tier-2+ cities and urban towns have been able to place orders online due to the growing impact of these players. Even before the pandemic, India was the fast- est-growing last-mile delivery market and COVID-19 furthered the trend by altering the consumer behaviour and adding a large number of first-time users to e-commerce platforms. It has disrupted the market and today, even after cities opened up, a large number of consumers are not going back to the old normal. Growth in e-commerce and an increase in the demand for EV has led to a need for enterprise-focused EV last-mile delivery services that are available on demand. COVID-19 accelerated digitization and electrification, drove the consolidation of the logistics and retail markets, led to stronger traffic regulation and fostered new hybrid online/offline retail business models. COVID-19 acted as a catalyst for contactless, unattended and autonomous delivery technologies, these factors also helped in the surge in the demand for EV last-mile delivery. Increased EV penetration occurred due to regulation and reduced battery costs, producing a positive total cost of usage (TCU). EV Last Mile Delivery in the Post-Pandemic World The COVID-19 impact in this scenario also includes the emer- gence of new hybrid business models. In today’s world, cus- tomers usually prefer to have control over deliveries in the last-mile delivery. The trend has emerged stronger during the pandemic. Now, last-mile delivery is no longer about offering tracking details, customers now want facilities to interact with the service providers so that they can go for last-minute chang- es. With the Covid-19 pandemic, the concept of contactless delivery is gaining momentum as a precautionary measure against the spread of the pandemic, which has boosted the usages of EV last-mile deliveries. Recent years have marked the beginning of the evolution of last-mile delivery in India, especially through EV. Now, people are looking for services that will help them lead a peaceful life and businesses need enterprise-focused last-mile delivery instead of doing it all by themselves. ing in the post-COVID-19 world. An increase in the demand for the adoption of EVs for last-mile delivery has resulted in operational savings for logistics firms and helped in reducing pollution as well.