Renault Fluence, Nissan Leaf and Chevrolet Volt have already made their mark on the western markets. Now with the rising fuel prices and inflation, the Indian auto market might also go the electric way. The petrol price has shot up by over 53% in the last couple of years and the diesel prices have also been increasing by 25% not wanting to be left behind.

General Motors is one of the promising car manufacturers in Indian market. It had a plan to into electric car market, but recently the Company has confirmed that they have decided not to manufacture Electrical Cars.

Rolls Royce the luxury car maker has recently stated that it will launch electric car. It is currently selling 2 models Phantom and Ghost in India through its official dealers in Mumbai and Delhi. Now it is planning to launch electric version of Phantom. The Company is planning to display it in the upcoming Geneva Motor Show. It will go for sale around the globe after the motor show.

Indian Government is planning to give incentives for Hybrid car buyers and manufacturers. In the last year (2010) it announced 1 lakh subsidy on electrical cars. Now it is working on a new policy that will help hybrid car manufacturers.