Eternal, formerly Zomato, is re-evaluating its target of making 100% of its deliveries electric by 2030, as financing, charging infrastructure and the pace of delivery-partner growth make the transition harder than anticipated. Anjalli Ravi Kumar, chief sustainability officer, Eternal, in an interview with Anees Hussain, explains the challenges and the policy support needed. Excerpts:
EV penetration in delivery has remained around 10% despite growth in absolute numbers. Are you still confident of achieving the 100% target by 2030?
We are re-evaluating the goal. We have found the transition to be far more challenging than we imagined. There are several reasons. On the ground, faith in the technology is not at the level where we can confidently say this is going to transition to 100% by 2030. Delivery-partner growth has also outpaced expectations, with more part-timers coming into the system. So we are now thinking of maintaining a multiple of what is on the roads. Our internal and other estimates put EV penetration on-road at about 6%. Our own EV penetration is crossing 12%. So we are already at twice the level on public roads. We are pulling the EV industry forward.
Delivery was expected to be an easy case for electrification. What is holding it back?
Financing remains a challenge. More than 50% of India needs a loan to buy a two-wheeler, and such loans are not easy for delivery partners, many of whom lack the paperwork or credit history required to qualify. The absence of an EV resale market is also holding back financiers. There is also uncertainty over whether products available today can deliver their advertised range under the heavy usage patterns of delivery riders. Then there is infrastructure. Until battery-swap and charging stations become as common as petrol pumps, range anxiety will not disappear quickly.
How has electrification progressed in quick commerce?
Logically, we should be powering all our warehouse deliveries through EVs. It has not happened because permissions are difficult to obtain. To install a charging or battery-swapping station at a dark store or warehouse, you need an increase in sanctioned load capacity as power usage rises substantially. These permissions have not been easy to obtain in many cases.
Given that many barriers are outside the platform, what has Eternal been able to influence directly?
We probably have the largest number of EV ecosystem partnerships. We work with battery-as-a-service and charging players. We show delivery workers charging and battery-swap points on the delivery app. Almost all rental players also have their fleets listed, allowing a partner to see the vehicle available, its price and location. We run an annual EV bazaar before the festive vehicle-buying season, introducing delivery partners to new models. We collaborate with OEMs and give EVs as gifts to high-performing partners. We do not earn commercially from these initiatives.
Would a policy intervention focused specifically on delivery help?
There is no doubt about it, and it needs to happen at multiple levels. It is not just about bike models or cheaper batteries. It is about real estate and power distribution, whether the physical infrastructure exists to keep these vehicles charged and whether permissions can be obtained to build it. It is also about who will lend delivery workers the money to buy an EV.