Mahindra to supply 150 EVs in the first phase; remaining 3,850 units will be delivered later
Mahindra has agreed to match Tata Motors’ bid to win 40% of the 10,000 EV fleet order by EESL. Now, the automaker will supply 4,000 units of the total order. In the first phase of delivery that begins in November 2017, Mahindra will supply 150 EVs, while Tata Motors will supply 350 units.
At the second phase, Mahindra will supply 3,850 units of electric vehicles, while the rest will be supplied by Tata Motors. It is not sure, if Mahindra is offering the 5-year warranty on its electric cars like Tata. Initially, Tata Motors won the EV fleet contract by bidding the lowest price of Rs. 11.2 lakh per unit including GST and a comprehensive 5-year warranty. Mahindra was the second bidder with price quote around Rs. 13 lakh per unit.
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EESL offered Mahindra a chance to supply 40% of the EV fleet, provided their bid matches with Tata’s. Mahindra sees this opportunity a significant way to grow in the Indian EV market. The automaker is expected to supply both its electric powered cars like e2o Plus and e-Verito.
Despite agreeing to supply the EVs matching Tata’s bid, Mahindra expressed disbelief over the price quoted by its rival to win the contract from EESL. As Mahindra’s managing director Pawan Goenka said, the company finds Tata Motors’ pricing hard to comprehend. However, Mahindra says this could be because of the difference in product size and specification.
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Mahindra quoted the pricing of larger products compared to Tata Motors. Its e-Verito sedan is equipped with a 20.5 kWh battery pack, but the battery size of Tata Motors is unknown. It is assumable that Tata’s EV would come with a smaller battery pack and that is why the brand has been able to keep the pricing lower than Mahindra.
The order for 10,000 EV fleet from EESL comes as part of the Indian government’s strategy to introduce zero emission pure electric mobility across the country by 2030. These electric cars will be leased to various government agencies and the ministries as well.