Indian Government run Energy Efficiency Services Ltd (EESL) has announced that it would procure 10,000 electric cars from Indian carmaker Tata Motors in a deal valued at US$ 172 million.

The cars will be supplied over two phases, with the first lot of 500 cars by November 2017 with the remaining being delivered in nine months. The bid saw Tata Motors offer each car at under US$ 15,600 per unit excluding local taxes.

These cars are to be used by various ministries and official departments of the Government of India and are the first move towards broad-basing the government’s move towards e-vehicles.

Commenting on the development, Tata Motors CEO and MD Guenter Butschek said: “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.”

The company has been collaboratively working to develop electric powertrain technology for its selected products, he added.

Three companies were in the running for the tender, the other two being Mahindra & Mahindra (maker of the electric E2o) and Nissan. Surprisingly, Nissan’s offer wasn’t even opened, reportedly due to incomplete documents. We are surprised since Nissan is the obvious technology leader in the lot.

When asked why Nissan’s bid was not opened, Kumar said: “It did not qualify for the technical bid or request for qualification (RFQ).

EESL claimed that its tender was for the world’s largest single electric vehicle procurement.

The car being offered by Tata Motors is rumoured to be an electric version of the Tigor Sedan, although this hasn’t been confirmed by the company.

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