Swaraj Baggonkar Moneycontrol News
The electric version of Nano, which has been rebranded as Neo by manufacturer Jayem, has secured Rs 1.24 lakh in government subsidy.
This puts the fully electric car in the same bracket as the Mahindra e20 and the Tata Tigor EV.
Jayem Neo will most likely make its debut under a commercial agreement the company has with cab aggregator Ola.
Mahindra e20 is the only vehicle of the three that is sold to personal buyers. Tata Tigor is not retailed to private buyers as it is bought by government-owned Energy Efficiency Services (EESL) to ferry government officials in Delhi.
Tata Motors, India’s biggest automaker, has confirmed its agreement with Jayem Auto to supply body shells of the Nano for further engineering to the Coimbatore-based company. Jayem will make a host of additions including an electric powertrain and interiors.
While Jayem has remained extremely tight-lipped about its plans, sources said the supply agreement is for 1,000 Neos to Ola. The cars are still under development and there is no deadline yet for the retail launch for private buyers as yet, another source said.
The Neo is shorter but is wider and taller than the Mahindra e20, which is India’s cheapest fully electric car. The e20 is priced at Rs 7.46 lakh after the government subsidy of Rs 1.24 lakh. The Tigor also receives a subsidy of Rs 1.24 lakh and is bought at Rs 11.2 lakh by EESL.
Fresh lease of life The electric version of Nano brings a fresh lease of life to the troubled car. Sales in recent months have dipped to fresh lows. The model is now produced mostly on confirmed orders from dealers. Tata Motors said the Nano in current form cannot meet the new emission regulations in 2020, signalling that the mini car will be phased out.
Meanwhile, Chennai-based TVS Motor Company has also registered an electric three-wheeler with the government for a subsidy of Rs 61,000. The King Electric Lix, a battery powered autorickshaw, was first showcased by the company at the 2014 India Auto Expo.
The King Electric Lix can run for 80 km on a full charge at a cruise speed of 35 kmph. Top-speed of the vehicle is 45 kmph. It is powered by a 48V Lithium-ion battery with maximum power of 5.5kW. The vehicle takes three hours for a full charge.
Close on the heels of TVS is rival Bajaj Auto: the biggest three-wheeler manufacturer in the country. Bajaj Auto is looking to launch a fully electric three-wheeler next year, two years ahead of its earlier announced deadline.
The government is keen on pushing electric mobility in cities, primarily to reduce vehicular pollution. That is the reason why automotive companies are fast tracking the product development process of electric vehicles.
Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
