Alternate fuels overtake petrol in passenger car sales
In India, sales of alternative fuel vehicles, including CNG, hybrids, and electric vehicles, have surpassed petrol-powered car sales for the first time. This shift is driven by rising fuel costs and a growing consumer preference for more efficient, sustainable transportation options.
Why it matters
This marks a significant structural shift in the world's most populous automotive market, signaling a move away from traditional internal combustion engines.
NEW DELHI: India’s passenger vehicle market appears to be moving beyond the phase where alternative powertrains were a niche choice. In Aug, CNG, hybrid and electric vehicles together overtook petrol-powered cars for the first time, pointing to a broader change in how buyers are weighing fuel costs, technology and long-term ownership.Alternative fuels accounted for 41.9% of passenger vehicle retail sales, edging past petrol at 40.8%, according to FADA. CNG was the biggest contributor with a 25.2% share, followed by hybrids at 9% and EVs at 7.6%. A year ago, petrol had led the alternative-fuel basket by nearly 11 percentage points. Diesel cars, meanwhile, accounted for 17.2% share of retail sales.CNG biggest alternative to petrolThe crossover is significant because it is not being driven by a single technology.
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