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MoRTH proposes higher power limit for unregistered low-speed EVs

Our read

A higher 600W exemption limit would make low-speed EVs materially more viable for urban personal and last-mile use, creating a demand tailwind for organized OEMs, fleet services and EV-adjacent retail while increasing the premium on safety compliance.

For operators

A 600W registration-exempt EV category could improve last-mile delivery fleet productivity, but operators should prepare for tighter safety controls and potential misuse scrutiny.

Watch

Publication of the final MoRTH rule and implementation date.

The report,

MoRTH proposes allowing unregistered low-speed electric scooters with up to 600W power and no weight cap. Yulu opposes the change over misuse risks, while BGauss and other OEMs see a larger, more organised personal-mobility and last-mile delivery market.

MoRTH proposes raising the motor-power limit for unregistered low-speed EVs
Current motor-power limit, below250W
Proposed motor-power limit, below600W

Reported figures

From the report. Source details below

Maximum speed remains below 25 kmph
FY27 volumes projected at 3.2-3.6 lakh units
Potential FY27 growth: 30-35%
MoRTH previously warned in 2022 about vehicles capable of 40-55 kmph

Also in the report

  • Low-speed EV motor-power limit proposed to increase from below 250W (0.25kW) to below 600W (0.6kW)
  • Existing 60 kg unladen-weight ceiling proposed for removal
  • FY26 low-speed electric two-wheeler sales estimated at 2.3-2.6 lakh units versus 1.8-2.1 lakh in FY25

Why it matters to operators

Retailers and mobility platforms should assess partnerships with low-speed EV manufacturers and fleet providers as the rule could broaden economical personal-mobility and delivery use cases.

What to watch next

  • Whether the 600W threshold, 25 kmph cap and removal of the 60 kg limit are retained unchanged.
  • Requirements for type approval, battery certification, speed-controller tamper resistance, insurance, vehicle identification and commercial operation.
  • State-level enforcement actions against modified or non-compliant low-speed EVs.
  • Fleet procurement announcements from quick-commerce, food-delivery, logistics and rental operators.
  • OEM launches of sub-25-kmph models with 400W-600W motors and delivery-oriented payload configurations.
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  • Accident, fire or misuse incidents that prompt adverse media coverage or regulatory tightening.
  • Changes in financing, battery-swapping access and service-network coverage for low-speed EVs.

Likely next moves

Our read of what comes next — analysis, not reported by the source.

  • Track the final MoRTH notification, including whether commercial delivery use receives separate rules or enforcement requirements.
  • Assess exposure to last-mile delivery demand among grocery, food-delivery, pharmacy and quick-commerce partners in dense urban markets.
  • Prepare assortments around low-speed EV ownership: certified chargers, replacement batteries, helmets, locks, rain gear, reflective accessories and service plans.
  • Prioritize partnerships with OEMs and fleet operators that can demonstrate battery certification, speed tamper protection, remote diagnostics and spare-parts availability.
  • Model a shift from bicycle and conventional two-wheeler delivery costs toward low-speed EV fleets, including potential improvements in delivery radius and rider productivity.
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  • Avoid inventory commitments to unverified low-speed EV brands until final compliance standards and liability requirements are clear.

The counter-case

The case against this reading — not reported by the source.

The commercial upside may be overstated: retaining the 25 kmph cap limits use cases and may make the extra power largely an acceleration, hill-climbing and payload benefit rather than a transformational demand driver. A 600W, registration-exempt vehicle could intensify enforcement concerns around modified vehicles, pedestrian safety, insurance and rider licensing, potentially prompting stricter state-level rules or a later rollback. Higher-power drivetrains and larger batteries may also raise vehicle costs, eroding the price advantage that supports low-speed EV adoption.

The source

Source Read the source at The Hindu BusinessLine

Published

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