Green mobility interventions could deliver 20-30% of the emissions abatement required in India's transport sector by 2030, according to a new report that identifies South India as a base for accelerating the transition.

The report, titled 'Accelerating India's Green Mobility Transition: Pathways for South India', states that transport currently contributes approximately 12-13% of India's energy-related CO2 emissions and is expanding at a compound annual growth rate of 6-7%, indicating the need for targeted decarbonisation measures.

Released at the CII Green Mobility Summit 2026 Southern Region in Chennai, the report outlines the region's manufacturing ecosystem and implementation capacity as factors relevant to scaling green mobility across cities, industrial corridors and logistics routes.

Road transport accounts for approximately 90% of transport-related CO2 emissions, with medium- and heavy-duty commercial vehicles representing less than 5% of the fleet while contributing around 40% of road transport emissions.

The report states that progress will depend on a shift from activity-based metrics to outcome-driven measures, including uptime, usability, enforcement linkage and dependable data systems.

Economics and implementation challenges

Battery costs have declined by 85-90% since 2010, and several high-utilisation EV segments are approaching or have achieved cost parity on a total cost of ownership basis.

The report states that localisation of battery cells and components could further affect the economics of adoption.

It also notes the need to accelerate fleet renewal and enforce scrappage norms more effectively.

Southern states are reported to lag behind the national average in testing and scrappage outcomes, with only 17-18% of planned Automated Testing Station capacity operational and fewer than 25% of fitness tests conducted through ATS.

An analyst stated: "Green mobility is no longer a niche agenda - it is linked to competitiveness and air quality considerations. This report indicates that the Southern Region can advance implementation by combining ecosystem capacity with measurable outcomes: infrastructure reliability, fleet transitions and scrappage implementation."

Another analyst stated: "Significant emissions reductions can come from segments where emissions are concentrated - road freight and high-utilisation fleets. Policy alignment, deployment support and outcome tracking are required to ensure that adoption results in measurable emissions reduction."

The report states that regions aligning policy clarity with capital allocation and execution may achieve economic and environmental outcomes.

It adds that South India, led by Tamil Nadu, could prioritise high-impact segments, demand-led infrastructure deployment, scrappage reform implementation and real-time data systems.