An Empirical Study on The Socio-Economic Impact of Electric Vehicle Adoption in Tier-II Cities of Maharashtra

Abstract

 The rapid proliferation of electric vehicles (EVs) across India presents an unprecedented opportunity to reimagine urban mobility, particularly in Tier-II cities where economic transitions are more vulnerable and pronounced. This paper empirically investigates the socio-economic impact of EV adoption in six Tier-II cities of Maharashtra Nashik, Chh. Sambhajinagar, Solapur, Kolhapur, Amravati, and Sangli using exclusively secondary data. Drawing upon published reports from NITI Aayog, the Society of Manufacturers of Electric Vehicles (SMEV), the Maharashtra government's EV Policy 2021, and peer-reviewed academic literature, the study examines five core dimensions: employment generation, household cost savings, infrastructure development, environmental sustainability, and policy effectiveness. The findings reveal that EV adoption has generated significant net employment, with over 6,100 new jobs across the six cities, while offering households annual savings averaging ₹1,26,800 relative to internal combustion engine (ICE) vehicles. Infrastructure readiness, although improving, remains a critical bottleneck. Hypothesis testing through SPSS-based statistical analysis confirms that EV adoption significantly influences both employment and household economic well-being.