ICRA sees alternate fuels reaching 40-45% of India’s CV market by FY30

ICRA projects CNG, LNG, EVs and hybrids will account for 40-45% of Indian commercial-vehicle sales by FY2030, up from 27% in FY2026. The shift could reshape fleet operating costs and delivery logistics, though infrastructure and servicing gaps remain constraints.

— Filed Mon, 27 Jul, 2026, 19:18 IST · Source ET Small Business · Updated

ICRA forecasts alternate fuels will account for 40-45% of India’s commercial-vehicle industry by FY2030, led by CNG/LNG and electric buses. Lower ownership costs and PM E-Drive incentives support adoption, though charging and fuel infrastructure gaps, upfront costs and service networks remain constraints.

Why this matters

The projection extends ICRA’s recent sector outlooks: it sees tractor growth easing to 1-4% in FY27 and flags West Asia risks to hotel occupancy, pegged at 72-74%.

retail-company is accelerating, up 574300% QoQ.