Jisha Vijayan |
India is in motion—both economically and logistically. Driven by rapid urbanisation, growing consumer demand, mining activities and accelerating industrial growth, the need for efficient and reliable freight transportation is at an all-time high. From busy ports to remote rural highways, freight networks form the vital backbone of the country’s supply chains, ensuring that goods move seamlessly across every corner of the nation.
Currently, India transports ~4.6 billion tonnes of freight annually (22% agricultural goods, 39% of mining goods and 39% of manufacturing goods), generating a transport demand of 2.2 trillion tonne-km at the cost of INR 9.5 lakh crore.
70% of India’s freight movement is via road, followed by pipelines (6%), rail (18%), and water (6%)- with the majority of this road freight is being moved by heavy and medium-duty trucks (HDTs and MDTs). 95% of these MHDTs (medium and- heavy duty trucks) used in the road freight movement uses diesel. Despite constituting a small share of the total vehicle fleet of around 2%, MHDTs account for approximately 35 per cent of on-road fuel consumption and around 49% of total on-road transport sector emissions.
India’s trucking profile is diverse, with freight categories varying in loading patterns, regulatory oversight, and emissions impact. Parcel/FMCG/market load has the largest on-road truck fleet share of 45% followed by perishable goods at 18% and milk/edible oil taker of 9%. Parcel/FMCG and market loads contribute the highest CO2 emissions at 15%, followed by steel transport at 11% CO2 emissions. The mining sector, too, relies heavily on freight transport—especially when it comes to coal. If we zoom in into coal transportation specifically, India moves over 1 billion tonnes of coal each year. While rail remains the dominant mode, accounting for 46.24% of coal transport, road transport still carries 33%—that’s over 329 million tonnes, moved by trucks.
These are primarily 15–18 metric tonne HGVs, and it takes about 250–300 round trips by such tippers to move just one rake of coal (equivalent to 4,000 tonnes). With an average round-trip distance of 100 km, this generates an estimated 18.44 to 22.13 metric tonnes of CO₂ per rake—a figure that adds up quickly at the national level. Coal by road not only contributes significantly to emissions but is also concentrated in high-intensity freight corridors across Odisha, Jharkhand, and Chhattisgarh—India’s top coal producing and dispatching states. These zones become carbon hotspots due to both volume and the use of older, diesel-fuelled MHDTs.
As of April 2025, based on VAHAN registration data, India has approximately 17.37 million registered trucks—including medium goods vehicles (MGVs), light goods vehicles (LGVs), and heavy goods vehicles (HGVs). A large share of these numbers falls under Light Goods Vehicles (LGVs), as it is used primarily for urban and short-distance freight. However, there is also a huge significant portion of medium- and heavy-duty trucks (MHDTs) registrations. Half of India’s freight registrations are concentrated in just eight states: Telangana, Maharashtra, Gujarat, Uttar Pradesh, Tamil Nadu, Karnataka, Bihar and Rajasthan. These states serve as key industrial and trade corridors, resulting in high volumes of truck traffic and fuel usage. Naturally, they also emerge as the major contributors to freight-related CO₂ emissions across the country.
Using vehicle registration data from VAHAN and standard CO₂ emission factors, state-wise emissions have been estimated to reflect the environmental burden from these freight movements. The findings highlight stark regional contrasts—while some states have relatively lower freight activity and emissions, others exhibit significantly higher emission loads due to their freight-intensive economies.
To capture these variations visually, a state-level freight emissions map has been developed. The map clearly identifies emission hotspots, with Maharashtra, Karnataka and Telengana standing out as the highest emitters. The emissions have been estimated based on the number of registered trucks. However, it is important to note that trucks often operate across state and regional boundaries. As a result, interstate movement can lead to emission levels that differ from those implied solely by registration-based data.
Figure 1: State-wise Distribution of Registered Trucks in India by Vehicle Class (HGV, MGV, LGV) and Total Truck Fleet Count
Figure 2: State-wise Estimated CO₂ Emissions from MHDT Trucks in India (Tonnes)
Zero Emission Trucking in India:
To drive meaningful change in India’s trucking sector, there’s a growing need to move beyond just numbers and emissions; toward a more forward-looking, systems-level approach. Addressing the scale of truck emissions will require sustained research to better understand sectoral dynamics, investments in advanced vehicle and energy technologies, and a strong focus on sustainable, integrated freight planning connecting supply chains with clean infrastructure. Equally important is the need to build an ecosystem that fosters innovation—bringing together public agencies, private players, startups, and financiers to co-develop solutions.
Historically India’s regulatory framework for medium- and heavy-duty trucks (MHDTs) has traditionally centred on fuel economy and emission control—like the introduction of fuel efficiency standards (2017 for heavy trucks and 2019 for medium trucks) and the nationwide rollout of Bharat Stage VI norms in 2020—the spotlight is now shifting. The policy momentum is clearly heading toward something far bigger: enabling a full-blown zero-emission transition in freight transportation.
One of the flagship initiatives is the E-FAST platform (Electric Freight Accelerator for Sustainable Transport), launched by Niti Aayog in 2022. This national-level platform brings together key players—manufacturers, logistics providers, policymakers, financiers, and innovators—to foster a collaborative ecosystem that can accelerate the shift to cleaner, electric freight solutions. To make the transition more appealing for fleet operators, the Government of India introduced PM – E DRIVE, a scheme that offers extra incentives for switching to electric trucks; almost 500 crore budgets have been allocated for the same.
Then came another major leap. In August 2024, the government unveiled the Bharat Zero Emission Trucking (ZET) Policy Advisory—and it’s no small policy memo. These advisory lays out 30 targeted policy interventions designed to make zero-emission trucks (ZETs) more attractive and accessible across the board. It focuses on:
- Robust incentives for ZET buyers
- Infrastructure development including EV charging corridors and battery-swapping networks
- Toll exemptions for ZETs on highways
- Clear regulations to streamline adoption
- Stakeholder engagement programs to align government and industry goals
On top of that, a comprehensive cost comparison between ZETs and traditional internal combustion engine (ICE) trucks has been recommended for inclusion under the FAME 3 subsidy scheme. This will help policymakers fine-tune incentives and give logistics players the data they need to make the switch confidently.
Beyond central initiatives, several states are stepping up with their own EV policies to accelerate the shift to electric freight. Many now include targeted support for electric light commercial vehicles (LCVs), along with plans to expand fast-charging and battery-swapping infrastructure along key state and national highways. Notably, Haryana stands out as the only state currently offering dedicated incentives for electric tractors—a forward-thinking move that highlights the state’s commitment to greening rural and agricultural transport.
While India has been demonstrating a strong policy intent to promote zero-emission trucking, the path to adoption of battery electric trucks (BETs) remains complex and layered. High upfront costs—largely driven by the size and cost of batteries—remain a major barrier, with e-MHDTs often priced two to three times higher than their diesel counterparts. The lack of adequate charging infrastructure, especially high-capacity fast chargers for long-haul freight, further limits BET viability.
Addressing these barriers requires a coordinated approach—combining financial incentives, infrastructure investments, technological advancement, and clear regulatory direction. As economies of scale improve and the industry matures, it is essential that policymakers, manufacturers, fleet operators, and financiers work collaboratively to bridge the gaps. Accelerating pilot programs, incentivizing indigenous make in India manufacturing, supporting battery innovation, and building a reliable nationwide charging network will be critical steps in shaping a commercially viable and sustainable future for zero-emission trucking in India.
References:
https://www.niti.gov.in/sites/default/files/2021-06/FreightReportNationalLevel.pdf
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