Mahindra enters Bhutan, launches electric car e2o

Discussion in 'Economy & Infrastructure' started by Srinivas_K, Mar 3, 2014.

  1. Srinivas_K

    Srinivas_K Senior Member Senior Member

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    Mahindra enters Bhutan, launches electric car e2o
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    THIMPHU: Utility major Mahindra and Mahindra Ltd launched electric car e2o in Bhtuan on Thursday, hoping to cash in on the government's strong commitment towards environment and sustainable development plans.

    The company also signed an MoU with the Bhutan government to promote electric cars in the country at a function here where Bhutam Prime Minister Tshering Tobgay and M&M executive director and president Pawan Goenka were present.

    "It is a common sense for us to go for electric cars in Bhutan because we produce cheap electricity and we are committed to make Bhutan carbon-neutral. We take steps to make our environment pollution-free keeping in mind our future generation," Tobgay said.
    "We are grateful to our Kings and forefathers for whatever we have and we are determined to preserve our culture, heritage, tradition and spirituality, while charting out our growth path," he added. "We are excited to be a partner with the Bhutan government. It is not just a business for us, it is our endeavour to offer electric mobility to the people of the country," Goenka said.

    "This is in line with our commitment towards electric car segment, our concerns for ecology and our efforts to provide a viable economic alternative to people of Bhutan," Goenka added. The Mahindra e2o will be available in three variants and will be priced at 6.99 Ngultrum (Bhutanse currency, ex-showroom Bhutan ) for the base model.

    According to the MoU, the company is planning to establish infrastructure like setting up of service stations for swappable batteries for e2o customers. Goenka said there would be around 7,000-8,000 electric vehicles in the next three years in Bhutan and it would need 3,000-4,000 charging stations.

    Mahindra enters Bhutan, launches electric car e2o - The Times of India
     
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  3. Kshatriya87

    Kshatriya87 Senior Member Senior Member

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    I hope someday our government shows this kind of commitment to cheap and ecological transports.
     
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  4. Srinivas_K

    Srinivas_K Senior Member Senior Member

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    A road map for electric vehicles
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    Sustainable mobility has assumed greater significance in the past decade owing to concerns related to depleting fossil fuel reserves and increasing carbon dioxide emissions. According to a 2009 report by the International Energy Agency, global energy consumption is likely to rise by 53% between 2006 and 2030, and about three-quarters of the projected increase in oil demand is likely to come from the transportation sector. Fossil fuel-based transportation constitute the second largest source of carbon dioxide emissions globally. The world over, these concerns are driving governments and automobile manufacturers alike to invest heavily in developing vehicles based on alternative propulsion systems including hybrid and electric drives.
    Various alternate powertrain technologies such as hybrid electric vehicle (HEV), plug-in hybrid electric vehicle (PHEV), range extender electric vehicle (RE-EV) and battery electric vehicle (BEV) have been developed and experimented with globally. But their development across the world has not yet reached a critical mass because of the vicious cycle of technology complexity, low volumes, high cost, low demand and underinvestment. Therefore, across the world, governments are playing a key role in facilitating greater adoption of electric mobility through interventions such as demand and supply incentives, investments in R&D; and the creation of power and charging infrastructure. For instance, the US still provides various direct subsidies to customers of electric vehicles in the form of cash and tax incentives. In addition, direct subsidies are also granted to private industries for new technologies such as new generation battery development and manufacturing. Japan has targeted 2 million electric vehicles by 2025 and has earmarked $250 million for R&D and the development of new technology components required for such vehicles.
    In India, the gap between domestic crude oil production and consumption is widening due to rapid economic growth. This, coupled with increase in crude oil prices, has led to widening deficit; thereby, posing a serious challenge to India’s fuel security. The Indian government is also working on defining fuel efficiency norms for vehicles. Considering the long-term requirements of the country, a strong need was felt to develop a national mission plan for electric mobility and a detailed study was initiated by the department of heavy industries and the industry.
    In January 2013, Prime Minister Manmohan Singh unveiled the national electric mobility mission plan 2020 (NEMMP 2020). NEMMP 2020 outlines India’s vision and provides the roadmap for achieving penetration of efficient and environment friendly electric vehicles in India by 2020. India is expected to announce various schemes, interventions, policies and projects to activate this.
    In line with the initiatives by governments the world over, the Indian government’s focus is on demand and supply creation, promotion of R&D, and the development of charging infrastructure. While it is always good to benchmark and learn from other developed countries about policies implemented for greater penetration of electric vehicles, the policies and solutions for India need to be developed keeping in mind the country’s unique requirements. Unlike other countries, the Indian passenger car market is predominantly a small cars one. India has a huge two-wheeler population and the country is the world’s second largest manufacturer of two-wheelers.
    The Indian customer is highly cost-sensitive and therefore India-specific electric vehicles solutions have to be cost-effective. This is essential to retain India’s small car market leadership (even in the electric vehicles domain) as envisaged in auto mission plan 2006-16.
    Similarly, Indian component and vehicle manufacturers are also likely to face the same situation like other countries, where, in the initial phase, volumes will be low, and not justify the huge investments required. Keeping this in mind, it is important that NEMMP 2020 outlines incentives over a longer period of time that will provide confidence to vehicle and component manufacturers to make required investments.
    Another challenge for India is the development of charging infrastructure. Currently, there are issues around the availability of electricity in India. Much of the electricity generated in India comes from fossil fuels. Given this, electricity vehicles may not help meet the objectives of reducing carbon emissions and reducing import of fossil fuels. Hybrids and plug-in hybrids may be the more viable solution in the short to medium term; these do not require as much charging infrastructure, and will also help reduce fuel consumption. In the long term, battery-operated electricity vehicles will become popular only if the government’s policies focus on widespread availability of charging infrastructure. In addition, building laws may also require amendments to facilitate charging at the parking lots.
    With regard to the technology development, India has a good chance to lead in the areas of systems integration, and the development of motors and battery management systems. Indian traffic and weather conditions are very different from western countries and hence solutions for India need to be India-specific. We should be continuously collecting data on Indian conditions and validating the performance of electric vehicles in such conditions. The NEMMP R&D projects should be more focused on systems integration at component sub-system level and the vehicle level. In addition, focus is required on developing skilled manpower to work on these new technology areas.
    In summary, for reaching a sustainable position in the area of alternate propulsion system, such an ecosystem needs to be developed with long-term government support and the involvement of industry and academia. NEMMP 2020 is expected to play a key role for creation of a sustainable ecosystem for the development of electric vehicles in India.

    A road map for electric vehicles - Livemint
     
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  5. Vishwarupa

    Vishwarupa Senior Member Senior Member

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    Why is doing business in Bhutan is soo difficult. Why did Mahindra take so long to enter Bhutan market.

    Neighboring countries should be full of Indian products & services.
     
  6. Srinivas_K

    Srinivas_K Senior Member Senior Member

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    Some politics are involved here regarding Nepal and Bhutan, India wants to negate the influence of China in both the countries. India is good in automobile sector reason why India is planning to capture the two markets.

    India also have plans to sell electric cars and bikes to China as well.

    High-end bikes & electric cars made in India for China
    Harley Davidson, KTM-Bajaj, M&M make India production base for automobiles to be assembled and sold in China
    In what may come as a surprise to many, India is quietly becoming a production hub of high-end vehicles meant for export to China. Iconic US motorbike maker Harley Davidson, Austrian motorcycle manufacturer KTM and Mahindra & Mahindra have preferred to set up manufacturing facilities in India than in the relatively low-cost China and export the output.

    KTM, 48 per cent owned by Bajaj Auto, has identified two of its products under the Duke brand for export to China as completely knocked-down (CKD) units. The initial target is to sell over 10,000 CKD units of these high-end bikes annually. Exports are expected to commence in 2014. The two bikes are Duke 200 (Rs 1.35 lakh, ex-showroom, Delhi) and Duke 390 (Rs 1.88 lakh) manufactured at Chakan in Pune as part of the company’s joint development programme with Bajaj Auto. The KTM strategy is to sell high-power bikes from Europe and low-power ones from India. The bikes would be assembled at an outsourced facility in China.

    Confirming the plans, S Ravikumar, senior vice-president (business development), Bajaj Auto, said, “The China strategy for KTM is clear. They want to target the niche upper end of the motorcycle market in China. They are not interested in the lower end where there are many players and huge volumes. We expect there to be a large market for high-end bikes in China.” The China thrust is part of the joint strategy of Bajaj-KTM to treble exports to around 70,000 units per annum from India, from about 25,000 currently. That effectively means about 13 per cent of the exports would come from selling to China.

    Stefan Pierer, CEO, KTM Motorcycles AG, said, “We are in the process of setting up an assembly unit in China, which is expected to be commissioned sometime next year.” Keeping KTM company will be Harley Davidson, which has lined up for export models developed on the recently unveiled Street platform from its facility in Bawal (Haryana). Currently, Harley does not have any plants outside the US, except in Brazil and India, and it wants to leverage those plants for export to China. Anoop Prakash, managing director, Harley Davidson India, said, “Harley Davidson has developed the Street platform after a gap of 14 years. Both Street 750 and Street 500 will be manufactured in India, the only other production hub for the models apart from Kansas in the US.

    These bikes will be exported from India to markets in Europe and Asia, including China.” Production and export of both models on the Street platform are expected to commence in India mid next year. Prakash, however, declined to specify a timeline for starting exports to China.

    Abdul Majeed, partner and leader (automotive practice), PricewaterhouseCoopers (PwC) explained, “Both India and China are key markets in terms of two-wheeler sales. Given that customer requirements in both countries are largely similar, two-wheeler makers operating out of India only stand to gain in cost leadership if they are able to attain quality parameters while exporting to China.”

    The potential to gain volumes in electric vehicles has drawn Mahindra & Mahindra to explore opportunities in China. The discontinuation of government incentives on green vehicles has meant the Mahindra e2o has sold only about 400 units since its launch in March — numbers the company was expecting to clock monthly.

    Mahindra & Mahindra group company Mahindra Reva Electric Vehicles (MREV) is developing a variant of the electric car for exports scheduled to commence in early 2014. While the export variant would be first shipped to countries in the European region, MREV is additionally looking at opportunities to tap the growing market for electric vehicles in China. Chetan Maini, chief of strategy and technology, MREV, had told Business Standard earlier, “The export variant would be ready by early next year. We are looking at exporting the e2o to all markets we previously exported the Revai. We will also explore possibilities in China.”

    According to industry estimates, the Chinese market has the potential for sales of five million electric vehicles by the end of the decade. Nearly half the 4,750 units of the Revai manufactured since inception were sold in 24 countries, mostly across Europe and West Asia.
    RIDING ACROSS THE GREAT WALL
    Harley Davidson will start manufacturing Street 750 and Street 500 at its facility in Bawal, Haryana in 2014.Both models will be exported from India to markets in Europe and Asia, including China.
    KTM to export Duke 200 and Duke 390 to China. Completely knocked-down (CKD) kits of both the models will be shipped from partner Bajaj Auto’s facility in Chakan near Pune. Initial target is to export 10,000 CKD kits per annum.
    Mahindra Reva is eyeing China as a potential market for the sale of its electric car e2o. An export variant is being readied for launch in 2014, to begin with Europe.

    High-end bikes & electric cars made in India for China | Business Standard


    This year will be good for us :)
     
    Last edited: Mar 3, 2014
  7. Kshatriya87

    Kshatriya87 Senior Member Senior Member

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    But the problem remains. Even if we promote the market for electric / hybrid cars, people should be able to afford them. e.g. PRIUS. It is above the range of even upper middle class society. Only rich can buy it, those who don't even feel the need for cheap running costs.

    Indians as per popular belief, are very keen to save money anywhere and everywhere possible. Thus, the market for electric/hybrid cars is huge. But only if the cars/bikes are affordable.

    Also, the development/manufacturing of bikes and cars here are different. For a hard core biker like me, I want to save money on fuel but I want power in my bike as well. This option is available in european countries with powerful electric sportsbikes. I wonder when Indians get to see that phase.
     
  8. Srinivas_K

    Srinivas_K Senior Member Senior Member

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    Mahindra Reva reva-i is doing well in Bangalore, it is one of the less costly electric cars .

    Mahindra reva reva - i cost approx 3,55,667 rs

    mahindra reva e20 cost approx 6,44,527rs
     
    Last edited: Mar 3, 2014
  9. janme

    janme Regular Member

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    Reva is an Indian company??
     
  10. Yusuf

    Yusuf GUARDIAN Administrator

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    Yes it is. Maini group founded it now taken over by Mahindra.
     

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