Tata Motors has been awarded a contract by the Central government entity Energy Efficiency Services Limited (EESL) to procure 10,000 electric vehicles (EVs) for government departments.
Tata was selected through an international bidding process, where the company outbid other players like Mahindra & Mahindra and Nissan to secure the Rs. 1,120 crore order. Tata quoted the lowest price of Rs. 10.16 lakh per vehicle in the bidding, which will translate to Rs. 11.2 lakh - including GST and 5-year warranty, when the vehicle is delivered.
Tata will supply the EVs in two phases – first 500 vehicles will be supplied to EESL in November 2017, while the rest 9,500 will be delivered in the second phase. The EVs are expected to replace the conventional fossil fuel powered vehicles used by the government agencies over a period of three to four years. The total number of vehicles presently used by government agencies in India is around five lakh.
While Tata officially hasn't disclosed the vehicle model which will be supplied to EESL, rumors suggest that it will be the EV version of the company's recently launched Tigor compact sedan.
Welcoming the initiative of EESL, Guenter Butschek, CEO & MD, Tata Motors said, “Tata Motors is extremely proud to partner with the Government of India in its journey to facilitate faster adoption of electric vehicles and to build a sustainable India. Tata Motors has been collaboratively working to develop electric powertrain technology for its selected products. EESL tender provided us the opportunity to participate in boosting e-mobility in the country, at the same time accelerate our efforts to offer full range of electric vehicles to the Indian consumers.”