A few days ago, our honorable minister attempted to ban the 4 million electric three-wheelers operating in Bangladesh. I understand the reasons behind this. These vehicles are bulky, have an unbalanced center of gravity, and possess a poor braking system that does not support their maximum speed of 35 km/h. In urban areas, they create congestion, and outside of urban areas, they are often seen on highways, which is dangerous due to their low torque and poor maneuverability. Additionally, they are visually unappealing.
However, we have almost 4 million of these vehicles, transporting nearly 20 million people every day. Banning them is not the solution that people want.
A few days ago, when the vehicle ban was enforced, I saw many people stranded on the roads, unable to reach their destinations. The three-wheeler is an integral part of people's daily lives.
Moreover, my extensive research on three-wheelers shows that the business is tremendously profitable for all stakeholders, including drivers, car owners, and garage owners. It costs only $3,000 to purchase a vehicle, which can generate nearly $400 per month. In urban areas, the breakeven point is just 8-9 months. These 4 million vehicles contribute more than $500 million annually to Bangladesh's economy.
Despite their benefits, these vehicles are prone to accidents due to their design and lack of safety features. They also waste 50% of the energy drawn from the national grid. The calculation is straightforward: 4 million vehicles with 60V50Ah batteries consume 3kWh each, totaling 1.2GWh, which is 1.5% of national generation. So, what is the solution?
I believe the solution is simple if implemented effectively. There are loopholes in the three-wheeler ecosystem that need addressing. Here are my proposals:
- Importers currently use the HS code for irrigation motors, which is taxed at only 1%. The NBR needs to address and resolve this issue at its core.
- Most of the three-wheeler bodies are locally made. The BRTA must require manufacturers to obtain BRTA type approval according to national standards. This will ensure safety compliance.
- To save the 50% of energy wasted due to the use of lead-acid batteries, the government should mandate the use of lithium-based batteries.
- The government needs to establish national standards for three-wheeler EVs.
In summary, imposing regulations on manufacturers is the safest and quickest way to improve this industry’s energy efficiency and safety standards.