Bigger e-cars may drive into govt departments
The officials in government departments may soon get to ride bigger and luxurious electric sedans. Energy Efficiency Services Limited (EESL), the firm that is purchasing another 10,000 electric cars through a tender, wants to source at least 2,000 big sedans. The second tender has been revised to accommodate this change and the deadline for the bid has been extended by a month to May 25.
“We have extended the dates of the second electric car tender. While the cars we procured in the first tender suffice the government requirements, the whole electric vehicle programme was intended to promote e-mobility in a larger way. Therefore, it is also important to try and get cars which are slightly better than the existing ones. We have extended the time for one month and we will see how the industry responds,” Saurabh Kumar, managing director at EESL told Business Standard.
In the first tender, which was finalised in October, EESL awarded orders to home-grown firms — Tata Motors and Mahindra & Mahindra (M&M). Tata Motors’ is supplying an electric variant of its Tigor mid-size sedan, while M&M is selling its e-Verito. In all likelihood, these two auto majors may end up getting bulk of the orders in the second tender due to lack of preparedness among other manufacturers. Kumar said the decision to seek bigger sedans was not based on any feedback or suggestion from the government departments that were using the Tigor/Verito.
“I do not know whether bigger ecars are being made in India. But they can certainly be made like Tata was able to make the e-Tigor. This opens up the market for other players,” said Kumar. EESL hopes it can start serving some corporate clients if it gets a better variety of e-cars.
EESL procures these cars and offers them on lease to users. Officials in the power ministry, members of finance commission, and officials of power sector firms such as the NTPC and others are using the e-Tigor and e-Verito. “There is no complaint about the functionality of the car. Certain departments have reneged their old contracts and electric car is the only vehicle available,” he added.
Besides servicing demands from the central government, EESL has also signed agreements to cater e-cars to states like Andhra Pradesh (10,000 e-cars). It is in the process of inking similar arrangement for 8,000 e-cars with Gujarat and 2,000 with Maharashtra.
Manufacturers can bid for smaller electric sedans as well as the bigger ones in the current tender. EESL will go ahead with the tender even if it is able to get bids for supply of only smaller sedans. The earlier date for making the online bids has been extended to May 25. Kumar said the department of heavy industry was bringing some specifications for setting up of different kinds of charging stations that would allow quick charging of premium electric cars.
A price of ~1.016 million was quoted by Tata Motors for e-Tigor in the first tender and M&M had to lower the price of e-Verito to qualify for the orders. The prices in the next tender could be even lower.
However, if EESL receives bids for the premium electric cars, their prices will be significantly higher.