S E P T E M B E R 2 0 2 0 | V O L U M E 2 | I S S U E 5

POWERING SMART, ELECTRIC, EFFICIENT MOBILITY

DRIVEN BY #TECHNOLOGY,
INSPIRED BY #SUSTAINABILITY.
MOBILITY COULD TAKE YOU AROUND THE
WORLD IN 80 DAYS.

PERSPECTIVE

WILL BATTERY- LEASING

BE THE NEXT GAME
CHANGER FOR INDIAN
ELECTRIC MOBILITY?

GOING LONG AND STRONG:

WHAT ARE THE LATEST
BREAKTHROUGH IN
ELECTRIC CAR BATTERY
TECHNOLOGY?

Insights
Why Ride-Hailing In India
Should Go Electric?
www.emobilityplus.com
 CONT
PERSPECTIVE

14
WILL BATTERY- LEASING
BE THE NEXT GAME
CHANGER FOR INDIAN
ELECTRIC MOBILITY?

18
GOING LONG AND STRONG:
What Are The Latest
Breakthrough In Electric Car
Battery Technology?

26
AUTOMOBILE
SUBSCRIPTIONS BUSINESS
MODEL FOR EV FUTURE?

31
SALE OF ELECTRIC VEHICLES
WITHOUT BATTERIES:
What are the Missing Pieces
That Puzzled The
Manufacturers?
TENT
IN CONVERSATION NEWS

09 04
JEETENDER SHARMA
Founder & MD,
Okinawa Autotech

10 12
SULAJJA FIRODIA SANKARI SIVA
MOTWANI Managing Director,
Founder and CEO, EMF
Kinetic Green

INSIGHTS

21
EV CHARGING INFRASTRUCTURE
AFTER COVID-19

22
WHY RIDE-HAILING IN INDIA
PUBLISHING EDITING CONTENT
SHOULD GO ELECTRIC?
Firstview Media Varun Gulati Sangita Shetty

Ventures Pvt. Ltd. Ekta Pujari Ashwini Chikkodi

Megha Kottapalli

24 DESIGNING ADVERTISING CIRCULATION

Neha Barangali Smriti Singh Kunal Verma

Meghna Sharma Chandan Gupta

MOBILITY: DRIVEN BY
#TECHNOLOGY, INSPIRED BY
PRINTING
#SUSTAINABILITY.
Mobility could take you around the Vaibhav Enterprises

world in 80 days.

WWW.EMOBILITYPLUS.COM
 E-Mobility+ September 2020
INDIANEWS
GOVERNMENT
Government
Planning EV
Charging
Points at 69K
Petrol Pumps
Across India
The government is considering setting up at least one electric
vehicle (EV) charging kiosk each at nearly 69,000 petrol pumps
across the country to induce people to go for electric mobility.
Besides, the government is also thinking of making it
compulsory to install EV charging kiosks at all Company-Owned,
Company-Operated (COCO) petrol pumps of state refiners. In a
review meeting on EV charging infrastructure, Power Minister RK
Singh suggested oil ministry top officials that “they may issue an
order for their oil marketing companies (OMCs) under their
administrative control for setting up charging kiosks at all COCO
petrol pumps”. Other franchisee petrol pump operators may also
be advised to have at least one charging kiosk at their fuel
stations. If this is executed then it will help achieve “EV charging
facility at all petrol stations in the country.” Under the new
guidelines of the oil ministry, new petrol pumps must have an
option of one alternative fuel. “Most of the new petrol pumps are
opting for electric vehicle charging facilities under alternative
fuel options. But it will make a huge difference when the existing
petrol pumps would also install EV charging kiosks,” the source
said.According to the industry estimates, there are around
69,000 petrol pumps in the country. The EV charging facility at
all petrol pumps could boost e-mobility in a big way as lack of
such infrastructure discourages people from buying EVs. The
power ministry has also chalked out a plan to focus on Delhi
National Capital Region, Kolkata, Chennai, Hyderabad,
Bengaluru, Vadodara and Bhopal for creating EV charging
infrastructure in cities as well as on highways to encourage
people to switch over to electric mobility.
EESL Signs MoU With CEO Smart
City Bhopal For Implementation Of
EV Charging Infrastructure In Bhopal
Energy Efficiency Services Limited (EESL), a joint venture of
PSUs under the Ministry of Power, Government of India recently
announced that it has signed an MoU with CEO Smart City
Bhopal for the implementation of EV charging infrastructure at
50 locations in Bhopal. Also, recently,EESL announced that it
has supplied 10 electric cars to Collector of Bhopal making the
state the first smart city to adopt Electric vehicles.
| SEPTEMBER ISSUE 2020
Centre Assures Subsidy For 1000
E-buses And 200 EV Charging
Stations For Delhi
Delhi Transport minister Kailash Gahlot discussed the issue
of installation of charging stations as per AAP government’s
new Electric Vehicle policy with Union Power minister R K
Singh and said the Centre assured that subsidy will be
provided for 1,000 electric buses in the city. The first leg of
the policy targets installation of 200 charging stations in
Delhi in the next one year, so that there is a charging
station within every 3 km. The Delhi EV Policy is being
discussed worldwide now. “Mr. Singh has also assured to
consider subsidies for 1,000 electric buses in the city. The
Centre’s support will act as a huge catalyst to the policy
and motivate more people and organisations to switch to
EV,” the statement quoting Gahlot said. The EV policy of
Delhi government launched on August 7 by Chief Minister
Arvind Kejriwal aims at having 5 lakh (25 percent of all new
vehicle registrations) electric vehicles in Delhi by 2024.
Along with providing category based incentives, it also
aims to develop an effective network of charging stations
and infrastructure throughout the city. There are also
provisions in the policy to encourage more private players
to become partners in the initiative through setting up
private charging stations/battery charging points, while
ensuring there is enough competition so that the
technology is affordable to the common man, the
statement added.
EESL To Procure 250 Electric
Vehicles From TATA Motors
Limited And Hyundai Motor India
Ltd
Energy Efficiency Services Limited (EESL), will procure 250
electric vehicles from Tata Motors and Hyundai Motor
India. The companies were selected through an
international competitive bidding process, which was
aimed at increased participation. Tata Motors Limited and
Hyundai Motor India Limited won the tender and now will
supply 150 Nexon electric compact SUVs & 100 Kona
electric premium SUVs respectively for government use.
This procurement will utilize 5 Million USD from the recent
grant provided by the Asian Development Bank (ADB).
EESL is driven by the objective of facilitating faster
adoption of disruptive technology solutions, while
balancing economic development and environmental
sustainability. With this specific initiative, EESL seeks to
create the market for electric vehicles, through its unique
business model of aggregation of demand and bulk
procurement.
PG 4
 E-Mobility+ September 2020
PARTNERSHIPS
Mahindra and REE Automotive
Sign an MOU to Establish a
Strategic Collaboration for the
Development of Electric
Commercial Vehicles
Mahindra & Mahindra, part of USD 19.4 billion Mahindra
Group, and REE Automotive signed a memorandum of
understanding (MOU) to explore development and
manufacturing of electric commercial vehicles for global
markets.Such a strategic collaboration will leverage REE’s
revolutionary electric vehicle corner module and platform
technology of integrating powertrain, suspension and
steering components in the arch of a vehicle wheel. This
coupled with Mahindra’s well-established vehicle design,
engineering, sourcing capability and manufacturing assets,
is set to be a win-win strategic partnership for both
companies. The partnership will support REE’s global
customer need for 200,000-250,000 electric commercial
vehicle units over a few years, including potential
Mahindra’s domestic and international volumes. Production
would be scaled further to support additional volume in the
global as well as Indian market.
Hero Electric Announces
Partnership With OTO Capital
Hero Electric has recently announced its partnership with
OTO Capital, India’s first vehicle leasing startup to provide
consumers with affordable and flexible financing options to
own their e- scooters and bikes.The partnership will be live
across 16 Hero Electric dealers in Bangalore and Pune, with
a focus to expand across India in the next few months.
OTO allows customers to lease an E two-wheeler for 12 to
36 months.
| SEPTEMBER ISSUE 2020
Prakriti E-Mobility Partners With
Okaya Power To Electrify Its Fleet
Okaya Power Group has announced a strategic partnership
with Prakriti E-Mobility Private Limited, India’s largest fleet
operators of electric four-wheeler vehicles with an aim to
provide well-laid-out electric vehicle charging stations for
their fleet operations. Okaya EV Chargers come packed
with best in class features like fast charging time and most
importantly high Energy Density leading to low weight,
thereby operating for more kilometers between
consecutive charges. Okaya EV Chargers provide noise
and pollution-free “first and last” mile connectivity.
Moreover, with Okaya’s growing EV charging footprint they
are all set to become the backbone of e-mobility in India.
First Smart Public Charging Station
Setup Under Partnership Between
BYPL & EV Motors India Private
Limited
In line with the commitment towards building a robust
electric mobility ecosystem, BSES Yamuna Power Limited
(BYPL) and EV Motors India Pvt. Ltd. (EVM) have partnered
to set-up smart charging stations. As part of this endeavour,
the first smart public charging station under this
partnership was inaugurated at Patparganj by Delhi’s
Deputy Chief Minister, Manish Sisodia in the presence of
senior officials of BYPL and EV Motors. Located in the heart
of I P Extension, Patparganj, the smart EV charging station,
branded ‘PlugNgo’, is enabled with state-of-the-art Central
Management System (CMS). This will help to oversee
operations of the EV charger and provide on-site and on-
demand customer support. It will also provide information
on preventive maintenance as and when required.
Depending on the make, an e-vehicle can be fully charged
between 45 and 90 minutes. The charging stations under
PlugNgo in Delhi are expected to cater to the charging
requirements of 15 to 18 cars per day. The newly launched
station will be equipped with two types of chargers – DC 50
kW with three guns which can charge Hyundai Kona, MG ZS
EV & Tata Nexon, and DC 30 kW with 2 Guns (Both GB/T)
which can charge Mahindra e-Verito & Tata Tigor. Two
electric vehicles can be charged simultaneously from each
charger.
PG 5
 E-Mobility+ September 2020
INSIGHTS:
EVage Announces India’s First
Home-Built ‘Exoskeleton Structure’
In a step towards recognizing Prime Minister Narendra
Modi’s Atma Nirbhar Bharat vision, mobility tech startup
EVage announces India’s first home-built ‘Exoskeleton
Structure’ that will deliver a common platform for the
launch of SUVs, Vans, Delivery Vehicles, and Trucks. The
disruptive technology innovation, from which as many as
seven diverse kinds of vehicles can be manufactured, has
been put together by a special team comprising
aeronautical engineers who have worked on manufacturing
European supersonic planes and world-class missile
propulsion systems apart. The team came together five
years ago with the aim of easing the agony of
manufacturing electric vehicles and conveying them within
the reach of the common man in India.
The company’s distinguished approach was a result of the
kind of team they have built. Their team of highly
specialized experts has proven the value of this first-of-its-
kind ‘Exoskeleton Structure’ in India. They have built their
first vehicle in the logistics sector – a four-wheel
commercial van that has done a test run of over 100,000
km.
Significant innovations achieved in the last five years of
R&D:
Aerospace inspired structure / Focus on light-weighting
Innovation in the bio-friendly material – lighter and
stronger than steel
Focused on modularity – assembly, and design, EVage
can customize the product
Proprietary e-platform chassis
Integrated powertrain – motor controller, gearbox and
battery made from scratch
Tata Motors Rolls Out 1000th
Nexon EV
Tata Motors announced a significant milestone in the
electric vehicle (EV) domain by rolling out the 1000th
Nexon EV from its plant in Pune. This landmark has been
achieved in just over 6-months after the commercial launch
of the vehicle portraying the rapid growth in both interest
and demand for EVs. Acknowledged as the most preferred
electric car in India, the Tata Nexon EV is the best seller in
its segment, helping Tata Motors post a market share of
62% in EVs in Q1FY21.
Tata Motors has consistently catered to the evolving needs
of customers for electric cars with the introduction of best-
selling in both the fleet (Tigor EV Electric Sedan, with a
range of 140 km & 213 km) and personal segments (Nexon
EV Electric SUV, with an anxiety-free range of 312 km on a
single charge). Designed to offer thrilling, connected drive
experience with zero emissions and at an attractive pricing,
the Nexon EV has created a unique benchmark in its
category. To popularise the access and use of Nexon EV in
India, the company recently launched a novel EV
Subscription model, ideal for customers preferring
‘usership’ over ownership in the rapidly growing era of
shared economy.
| SEPTEMBER ISSUE 2020
South Korea’s Edison Plans To Set
EV Plant in Uttar Pradesh
A delegation of South Korean electric vehicle
manufacturer, Edison Motors met Uttar Pradesh Chief
Minister Yogi Adityanath at his official residence and
expressed their desire to invest in the state by expressing
their desire to set up an electric vehicle plant in Uttar
Pradesh , an official said. According to him, Edison Motors
plans to invest Rs 500 crore to Rs 700 crore in the first
phase, Rs 1,000-1,500 crore in the second phase and Rs
2,000-3,000 crore in the third phase of its electric vehicle
plant which would create employment opportunities for
thousands of people.
Flipkart Eyes Complete Transition
To Electric Vehicles By 2030
Flipkart announced its commitment to transition to electric
vehicles by joining the Climate Group’s global electric
mobility initiative, EV100. The EV100 brings together
forward-looking companies committed to accelerating the
transition to electric vehicles and making electric transport
the new normal by 2030. As a part of this commitment,
Flipkart is committing to a phased integration of electric
vehicles into its entire fleet by 2030.Flipkart says this
transition will be done through placing requirements in
service contracts, installing charging infrastructure close to
its 1,400 supply chain premises, conducting awareness
programs and incentivizing delivery executives towards the
use of electric vehicles. Flipkart will spearhead the sector’s
sustainability transformation, and support India’s ambition
to ensure 30 per cent electric mobility by
2030.Electrification of its entire logistics fleet is a key part
of Flipkart’s larger sustainability goal and the EV100
commitment is in line with that. As the first e-commerce
player in India to join the globally recognized EV100
initiative, Flipkart will further EV100’s goal of catalyzing
corporate leadership for electric vehicles in India. Flipkart
will join over 70 companies from across the globe that is
committed to accelerate the transition to electric vehicles.
PG 6
 E-Mobility+ September 2020
BUZZ
Charging Kiosks Deployment At
Fuel Stations Will Boost Electric
Vehicles Uptake in India
Following the news that the government plans to install
electric vehicle (EV) charging kiosks at around 69,000
petrol pumps across India; Animesh Kumar, Director of
Automotive Consulting at GlobalData, a leading data and
analytics company, offers his view: “The move is expected
to boost the uptake of EVs in India. Key factors for large-
scale adoption of EVs in any market are adequate battery
charging or swapping infrastructure and technology,
affordable vehicles, plenty of models to choose from,
conducive/strict policies and high awareness. The Indian
automotive market now has a wide product portfolio of EVs
including affordable two-wheelers, electric cars as well as
vehicles for public transportation. A vehicle scrappage
policy, which is likely to encourage replacement of older
vehicles with EVs, is also on the cards. However, the
creation of adequate charging/swapping infrastructure is a
key hurdle that India needs to overcome.
Detel Launches World’s Cheapest
Electric Two-Wheeler
Delhi based consumer electronic brand Detel has
announced that it has unveiled the world’s cheapest
electric two-wheeler Detel Easy at Rs 19,999. The two-
wheeler is driven by a 6 pipe controller 250 Watt electric
motor that has a top speed of 25 kmph. The low speed
keeps it outside of stipulations like registration or driver’s
license to use it. It has a 48V 12AH LiFePO4 battery that
can be charged completely in 7-8 hours and offers 60 km at
full charge. The new EV policy in Delhi provides a host of
financial incentives for buying electric vehicles in the
capital, over and above the subsidies by now being
provided under the central government’s FAME scheme.
Electric two-wheelers, auto-rickshaws, and freight carriers
are entitled to a subsidy of Rs 30,000 while four-wheelers
can benefit up to Rs 1.5 lakh under this policy. It also has
provisions for incentives for those looking to trade off their
present petrol or diesel vehicles for a new electric vehicle.
| SEPTEMBER ISSUE 2020
BluSmart Has Raised USD 7 Million
(Rs ~51 crore) From Multiple
Investors
Electric ride-hailing platform BluSmart has announced that
it has raised USD 7 million (Rs ~51 crore) in funding from
multiple investors. The funding round included investors
like Inflection Point Ventures, Venture Catalysts, Survam
Partners, Mumbai Angels, Chhatisgarh Investments Ltd,
JITO Angels, Lets Venture Fund and Kaplavriksh Fund, the
company said in a release. The firm has stated that it will
utilise the funding for fleet expansion, setting up of more
charging infrastructure and further market penetration.The
start-up, which currently offers its services across Delhi and
the National Capital Region, plans to add thousands of
electric vehicles and hundreds of charging stations on its
platform in 2021.BluSmart, which raised USD 3-million last
September in a seed round, further said that it is in
discussions to raise venture debt as well. Electric mobility
is the next big thing in India, said Punit K Goyal, Co-
founder, BluSmart, adding, “we are also looking at
augmenting the EV uptake by expanding fast electric car
charging infrastructure for an easy charging practice.”
LATEST
Pledging And Taking Charge For
An Electric Future
It was World EV Day on 9th September and drivers from
more than 60 countries have made a firm commitment to
transition to an electric vehicle. India has the 2nd highest
number of pledges among 60 countries globally and still
counting. The online pledge campaign, which was
launched by ABB and Green TV as part of World EV Day,
encourages drivers to recognize the crucial role that
electric vehicles (EVs) can play in advancing sustainable
mobility, making a commitment that the next car they drive
will be electric. Results to date are already indicating which
countries are in the driving seat when it comes to taking
action. The United Kingdom is currently leading the way
with 29 percent of sign ups. This is closely followed by
India (13 percent) and the United States of America at 11
percent. World EV Day has attracted many partners and
industry leaders in celebrating the progress made in e-
mobility and accelerating efforts to build greater support
for EVs. The online event has provided virtual seminars on
the topics that matter including the Green Recovery and
the marketing of electric vehicles. Through social media
and Worldevday.org, the event provides a useful hub for e-
mobility resources and insight on driving an electric future.
PG 7
 E-Mobility+ September 2020

2W/3W TALK:

Zipping halfway through 2020:

High-Speed Electric 2-Wheelers
Electric two-wheelers (E2Ws) have been gaining
tremendous traction in the past 2-3 years. With falling
battery prices and government-supported initiatives and
schemes such as FAME, many OEMs have gained
confidence to upgrade and develop more advanced and
sophisticated E2W models, especially in the high-speed
segment.The top 5 leading players in this niche segment
cumulatively sold 9,100 units of E2Ws during H1 2020.
Although the sales was drastically affected due to covid-
induced lockdown in the months of April and May, the high-
speed (HS-E2W) segment is showing signs of growth
revival as June witnessed a 149% surge in month-on-month
sales. In H1 2020, Hero Electric has taken the lead with
about 36% share in the high-speed E2W market. It is
followed by Okinawa, Ampere, Ather and Revolt
respectively.The prices of HS-E2Ws are steadily
approaching that of Internal Combustion Engine (ICE)
powered counterparts, stimulating their market demand
further. Interestingly, with the narrowing of price gap
between the high-speed E2Ws and their ICE-2W
equivalents, this premium class of E2Ws are also becoming
increasingly efficient, offering greater value for money for
the customers.

Electric 3-Wheelers: Spearheading

The EV Transition
Electric three-wheeler (E3W) has been the persistent front-
runner for EV revolution in India. Among all the electric
vehicles sold, E3Ws constitute the major chunk of the EV
sales. Albeit, the registered E3Ws in India own a tiny share
in the entire E3W stock which is dominated by unorganized
players. Registered sales of EVs in H1 2020 (Jan-June) is
54,577 units. Out of this, a whopping 78% i.e 42,513 units
are comprised by E3Ws alone. The shift in EV sales across
all months is predominantly influenced by respective
monthly E3W sales. April and May were the worst hit
months because of COVID-induced lockdown. The E3W
segment can be categorized into two sub-segments, E3W –
Passenger (P) and E3W – Cargo/ Goods (G). E3W (P)
receives virtually all demand between the two sub-
segments which is well reflected in overall E3W sales. In H1
2020, about 96% of the total E3W sales of 42,513 units
belonged to the passenger type category.
Sale of 2, 3-Wheeler EVs Sans
Batteries Increase Uptake and
Promote New Business Models
Following the news that the Ministry of Road Transport and
Highways India has allowed the sale and registration of
electric two and three-wheelers without batteries; Bakar
Sadik Agwan, Senior Automotive Consultant at GlobalData,
a leading research and consulting company, offers his
view: “The cost of ownership, along with the availability of
adequate charging infrastructure, is a key factor for large-
scale uptake of electric vehicles (EVs). While a customer
indeed saves on fuel cost, the initial cost of acquisition is
high because electric vehicles are costlier. Hence, India’s
plan to allow selling and registering electric vehicles
without batteries is a welcome move as it will result in
significant upfront savings for customers. Under the plan,
customers will no longer have to pay for the battery, which
amounts to 30-40% of the overall cost at the time of
purchase. The move is over and above the existing demand
incentives offered by the government under the Faster
Adoption and Manufacturing of (Hybrid) Electric Vehicles
(FAME). Two and three wheeler command significant
market volumes in India. Increase in the uptake of electric
vehicles will help the government achieve its ambitious
targets regarding electrification.”

| SEPTEMBER ISSUE 2020 PG 8

INCONVERSATION

JEETENDER
SHARMA
FOUNDER & MD,
OKINAWA AUTOTECH

Okinawa is known for

innovation which is one of its
core values. How is it being
taken care of during these
Covid times?

Mo r e t h a n i n n o v a t i o n t h e s e t i me s "IT’S TIME TO INTROSPECT AND SEEK OUT

r e q u i r e p r o p e r p l a n n i n g i n t e r ms
o f ma r k e t i n g i n i t i a t i v e s , s c h e me s
and offers, financing options and
overall business strategies.
Ok i n a wa i s r e n o wn e d f o r i t s
i n n o v a t i o n i n t e r ms o f
T e c h n o l o g y e n h a n c e me n t a n d
t h a t we wi l l k e e p d o i n g i t . Y o u
wi l l s e e t h a t i n o u r u p c o mi n g
p r o d u c t s . Al s o , No wa d a y s
c u s t o me r s a r e v e r y p a r t i c u l a r
a b o u t t h e p r o d u c t wh i c h t h e y
wa n t t o o wn . He n c e , i t s a l l t h e
mo r e i mp o r t a n t f o r u s t o
introduce best product in the
ma r k e t
You currently have Lithium ion
and Lead Acid bikes and
scooters. So, how important is
battery configuration type in
an EV?
Ba t t e r y i s t h e f u e l o f a n e l e c t r i c
v e h i c l e , a n i mp o r t a n t p a r t o f
p o we r t r a i n . T h e y a r e r e s p o n s i b l e
f o r t h e p o we r o f a n e l e c t r i c
v e h i c l e . We a r e n o w f o c u s i n g o n
De t a c h a b l e l i i o n b a t t e r y
product. Battery helps in
synchronizing the different
c o mp o n e n t s o f p o we r t r a i n l i k e
c o n t r o l l e r a n d mo t o r . Be s t p a r t i s
that you can charge it like you
c h a r g e y o u r mo b i l e p h o n e . No
special infrastructure is needed.
This increases the ease of
u s a b i l i t y a mo n g s t t a r g e t
audience.
THE COST EFFECTIVE SOLUTIONS IN
COMING FUTURE."
Since the launch in 2015, your
company has really grown and
become one of the biggest
names in EV sector. What
according to you have been
the major factors that
propelled you towards
success?
Ma j o r f a c t o r o f Ok i n a wa i s QCD
me a n s Go o d Qu a l i t y a t
R e a s o n a b l e c o s t wi t h e f f e c t i v e
d e l i v e r y , a f t e r s a l e s s e r v i c e & Ou r
intense focus on high speed
s c o o t e r s , Ab i l i t y t o i n n o v a t e ,
d e e p n e t wo r k p r e s e n c e & Qu a l i t y
p r o d u c t s a r e t h e ma j o r f a c t o r s
t h a t p r o p e l l e d u s t o wa r d s
success.
Covid has hit the auto industry
severely. What have been
some key learnings during this
period and your future
contingency plan?
I t ’ s t i me t o i n t r o s p e c t a n d s e e k
out the cost effective solutions in
c o mi n g f u t u r e . Av a i l a b i l i t y o f
f i n a n c i n g o p t i o n s , f o c u s o n B2 B
business, Increase spending on
R &D, R OI b a s e d ma r k e t i n g
i n i t i a t i v e s e t c wi l l b e n e e d e d t o
f l o a t a b o v e t h e wa t e r .
With the Atmanirbhar Bharat
and Vocal for Local slogan, are
you in any plans to increase the
localisation factor considering
you are already at a 90%
localisation level presently?
Ou r l o c a l i z a t i o n f a c t o r i s 9 2 % a n d
v e r y s o o n we wi l l l a u n c h t h e f i r s t
b i k e f r o m Ok i n a wa s t a b l e c a l l e d
OK I 1 0 0 wh i c h i s g o i n g t o b e a
1 0 0 % Ma d e i n I n d i a p r o d u c t .
We heard you will be
launching the motorcycle – the
Oki100 sometime later this
year. Please tell us something
more about it.
As I t o l d y o u i t s g o i n g t o b e 1 0 0 %
ma d e i n I n d i a p r o d u c t . S p e e d i s
g o i n g t o b e 1 0 0 k m/ h r a n d r a n g e
i s g o i n g t o b e 1 6 0 - 1 8 0 k m/ h r .
Al s o t h i s i s g o i n g t o b e a
c o n n e c t e d mo t o r c y c l e t h r o u g h
Ok i n a wa E c o a p p .
Battery is the fuel of an
electric vehicle, an important part
of power train. They are
responsible for the power of an
electric vehicle."

| SEPTEMBER ISSUE 2020 PG 9

INCONVERSATION
SULAJJA FIRODIA
MOTWANI
FOUNDER AND CEO,
KINETIC GREEN
How has your journey in the EV
industry been so far? How do
you plan to take this journey
ahead, scale up and expand?
We s t a r t e d K i n e t i c Gr e e n e n e r g y
a n d p o we r s o l u t i o n s i n 2 0 1 5 wi t h
a d r e a m t o b r i n g g r e e n mo b i l i t y
solutions to India, and to take
this innovative technology to the
ma s s e s . I t i s t h e l a t e s t v e n t u r e
f r o m K i n e t i c a n d F i r o d i a Gr o u p .
Ou r v i s i o n i s t o b e i n n o v a t i v e
leaders in the field of affordable
g r e e n mo b i l i t y s o l u t i o n s . To d a y
t h e c o mp a n y s t a n d s t a l l a s o n e
of the leading players in Electric
v e h i c l e s p a c e wh i c h o f f e r s a
wi d e r a n g e o f b a t t e r y - o p e r a t e d
v e h i c l e s s u c h a s E - Au t o s , E - Ca r t s
a n d Bu g g i e s . I n t h e l a s t f e w
y e a r s , t h e c o mp a n y h a s s o l d
about 25,000 units and has
ma r k e d t o t a l s a l e s o f c l o s e t o I NR
3 0 0 Cr o r e s i n t h i s n a s c e n t
s e c t o r . We a t K i n e t i c Gr e e n p l a n
t o e x p a n d o u r ma n u f a c t u r i n g
f a c i l i t i e s i n No r t h I n d i a b a s e d o n
t h e ' As s e t L i g h t ' p r i n c i p l e a n d
b e i n g c l o s e t o t h e c u s t o me r . We
r e c e i v e d a n o v e r wh e l mi n g
r e s p o n s e f r o m De l h i Me t r o a n d
we h o p e t o e x p a n d t h e s c o p e t o
v a r i o u s o t h e r c i t i e s wi t h me t r o
s e r v i c e s a s we l l a s t o h e l p
provide a green affordable public
t r a n s p o r t i n t h e n e w s ma r t c i t i e s
o f I n d i a . K i n e t i c Gr e e n i s k e e n l y
l o o k i n g t o t a p t h e g l o b a l ma r k e t
wi t h h i g h - e n d g o l f c a r t s a n d o f f -
r o a d e l e c t r i c v e h i c l e s a l o n g wi t h
o u r J V p a r t n e r , t h e L a mb o r g h i n i
f a mi l y . Th e J V i s e y e i n g Rs . 5 0 0
crore revenue over the next four
to five years, and garnering a 2.5
p e r c e n t o f t h e t o t a l g l o b a l ma r k e t
p i e . Th e c o mp a n y a l s o i n t e n d s t o
invest in new technologies for
t h r e e - wh e e l e r s a n d wa n t t o e n t e r
t h e e x p o r t ma r k e t s . I n t h e n e a r
f u t u r e t h e c o mp a n y p l a n s t o
double its capacity from current
6 , 0 0 0 e - a u t o s p e r mo n t h .
| SEPTEMBER ISSUE 2020
"OUR VISION IS TO BE INNOVATIVE LEADERS
IN THE FIELD OF AFFORDABLE GREEN
MOBILITY SOLUTIONS."
What have been some key
takeaways during these Covid
times which can be leveraged
going forward once the
situation normalizes?
I n t h e mi d s t o f t h e g l o b a l
p a n d e mi c , t h e r e i s a n e e d t o
focus not just on the developing
c r i s i s , b u t a l s o t o g i v e s o me
thought to the concerning
r e l a t i o n s h i p b e t we e n s u c h
e p i d e mi c s a n d o u r a g g r e s s i v e
b e h a v i o r t o wa r d s t h e
e n v i r o n me n t . P e o p l e a r e
understanding the benefits of a
g o o d e n v i r o n me n t a n d n o
pollution in this situation. Kinetic
Gr e e n r e ma i n s v e r y b u l l i s h o n
Kinetic Green has
brought a new range of products
and we are focussing on survive,
revive and thrive strategy. Survive
is to generate and conserve cash,
revive is to launch products
which are exciting in the current
economy or environment and cut
cost and thrive based on the
great promise for electric vehicles
in the coming days owing to their
benefits of lower running cost,
simplicity, and their amazing
impact on the environment!
the adoption of electric vehicles
in the long run as everybody is
becoming more health
conscious.
Coming to our sector, due to the
Covid-19, the major challenge
that the company currently
facing is the adoption of shared
mobility. In order to avoid the
impact, Kinetic Green has
brought a new range of products
and we are focussing on survive,
revive and thrive strategy.
Survive is to generate and
conserve cash, revive is to
launch products which are
exciting in the current economy
or environment and cut cost and
thrive based on the great
promise for electric vehicles in
the coming days owing to their
benefits of lower running cost,
simplicity, and their amazing
impact on the environment!
Kinetic Green has brought a new
range of products which are
complementing our business of
electric vehicles. The company
has recently introduced new
offerings and products which
include Kinetic e-fogger and e-
sprayer range for disinfecting
outdoor areas like public places,
slums, large industrial campuses,
hospitals, factories, and
PG 10
 r e s i d e n t i a l t o wn s h i p s ; a p o r t a b l e UV S i mi l a r l y , s t a r t i n g wi t h t h e s i mp l e r The impact of COVID -19 virus
Sanitizer, suitable for disinfecting l o we r s p e e d E V s , we h a v e n o w has been unthinkable in its
i n d o o r a r e a s l i k e h o s p i t a l r o o ms , d e v e l o p e d a wi d e r a n g e i n c l u d i n g scope. The pandemic has
o f f i c e s e t c . T h e c o mp a n y h a s a l s o me d i u m s p e e d E V s a n d n o w a Hi g h caused a significant economic
l a u n c h e d a n e - c y c l e . Th e s e n e w s p e e d E V p l a t f o r m. T h i s n e w p l a t f o r m impact on financial markets.
offerings are in addition to our core wi l l h a v e E V s wi t h a d v a n c e d There is an adverse impact on
b u s i n e s s b u t a r e mo r e r e l e v a n t i n t h e technology such as independent the introduction of this green
current social context. suspension, hydraulic brakes and technology in the country’s EV
s p e e d s o f a r o u n d 5 5 - 6 0 k mp h . We sector due to factors such as
wi l l l a u n c h b o t h p a s s e n g e r a s we l l a s reduction in demand for
Battery swapping model can work automobiles, higher risk
cargo solution range on this platform
really well for 3 wheelers, a Pilot shortly. aversion among customers
model on battery swapping was towards new technology,
being conducted by your company disruption in supply chain, and
with Ola last year, how has the Any plan on supporting Last mile uncertainty in oil prices due to
same shaped up? delivery solutions as the same play COVID-19.
an important role in today's times
K i n e t i c Gr e e n a n d B P CL f o r g e d a There is a reduction in demand
of E-commerce and E-business?
partnership to revolutionize Electric for shared mobility leading to
Ve h i c l e s e c t o r wi t h a n a t i o n wi d e reduced demand for E3W and
E Vs f o r l a s t mi l e d e l i v e r y a r e a n
Ba t t e r y S wa p p i n g Ne t wo r k . Un d e r t h e postponement of investments
i mp o r t a n t p a r t o f K i n e t i c Gr e e n ’ s in EV technology by local
alliance, a range of Electric three business strategy.
wh e e l e r s , s p e c i a l l y d e s i g n e d f o r component makers. Thus, there
f a c i l i t a t i n g s wa p p a b l e b a t t e r y a n d a 2 - is an urgent need for support
I n t h e c o mi n g mo n t h s t h e r e ma y b e a by the Government in
mi n u t e b a t t e r y s wa p wi l l b e d e p l o y e d d i p i n p a s s e n g e r d e ma n d b u t c a r g o accelerating demand creation
b y K i n e t i c Gr e e n a n d BP CL , wi t h v e h i c l e s wi l l g i v e a b o o s t t o o u r for EVs so that the momentum
s u p p o r t f r o m I I T Ma d r a s , wi l l p r o v i d e b u s i n e s s , d u e t o i n c r e a s i n g d e ma n d can be continued. This can be
s ma r t L i t h i u m – i o n b a t t e r i e s a n d s e t f o r “ h o me d e l i v e r y ” i n t h e n e w done by way of booster
u p b a t t e r y s wa p p i n g s t a t i o n s a c r o s s n o r ma l . incentive under the Fame 2
t h e c o u n t r y . T h e K i n e t i c - BP CL
scheme for a short period of
solution has already been As p a r t o f o u r s t r a t e g y t o t a p t h e time, say one year, while
i mp l e me n t e d o n a f l e e t o f K i n e t i c opportunities in the cargo carrier keeping total budgets the same
Gr e e n E 3 W a t K o c h i a n d L u c k n o w. ma r k e t , K i n e t i c Gr e e n wi l l l a u n c h a over the scheme period.
T h e v e h i c l e s u n d e r t h e s wa p p a b l e mo d e l wi t h a p a y l o a d c a p a c i t y o f 5 0 0
platform are deployed near the high k i l o g r a ms . Th e v e h i c l e wi l l a l s o b e To ensure sustainability of EV
t r a f f i c me t r o s t a t i o n s a n d o f f e r l a s t t h e mo s t p o we r f u l , i n t e r ms o f off-take in the country as well
mi l e c o n n e c t i v i t y t o p a s s e n g e r s a t p e r f o r ma n c e . Th e mo d e l , wi t h a t o p as possible measures to attract
just Rs. 10! The operation runs from 6 s p e e d o f 5 5 k mp h wi l l b e l a u n c h e d investment for EV parts
am to 10 pm and drivers can opt for 1 s h o r t l y . I t wi l l h a v e a d r i v i n g r a n g e o f manufacturing especially in the
o r mu l t i p l e s wa p s p e r d a y . Th e a r o u n d 1 1 0 k i l o me t r e s i n a s i n g l e wake of global development.
p a r t n e r s wi l l n o w e x p a n d t h e a l l i a n c e c h a r g e . We a r e i n v e s t i n g a r o u n d Rs . We should pitch to encourage
t o c o v e r ma n y mo r e c i t i e s a c r o s s t h e 20 crore in the ground-up project existing auto component
c o u n t r y o v e r n e x t f e w mo n t h s . Th i s wh i c h wi l l f e a t u r e i n d e p e n d e n t makers to invest in EV
mo d e l i s d e s i g n e d t o a d d r e s s s o me o f components and also to attract
suspension, hydraulic brakes, and a
the critical concerns and deterrents investment in India for EV and
n e w p o we r t r a i n .
f a c e d b y t h e d r i v e r s f o r o wn i n g a n d EV components. Emphasis
o p e r a t i n g e l e c t r i c t h r e e wh e e l e r s . Du e should be especially on
Gi v e n t h e c u r r e n t s c e n a r i o , i t ’ s q u i t e
t o s e p a r a t i o n o f b a t t e r y f r o m t h e E V, battery, powertrain
likely that the cargo carrier version
initial EV cost is halved and brought components like electric
wi l l t a k e t h e l e a d f o r s a l e s o f K i n e t i c
b e l o w p r i c e o f I CE c o u n t e r p a r t s . motors, controllers, chargers,
Gr e e n ’ s n e x t o f f e r i n g . We a r e h o p i n g converters etc. For this to
to get very good orders for this happen, it is critical that steps
You currently have vehicles mo d e l f r o m l e a d i n g e c o mme r c e are taken urgently for demand
ranging from low- to medium- c o mp a n i e s a n d t h e i r l o g i s t i c s creation for EVs in India is
speed, any new products lined up p a r t n e r s i n c o mi n g mo n t h s . created, otherwise we will
in the high speed segment? suffer a chicken and egg
situation.
Kinetic Green has been making Besides the measures being taken
significant strides in innovation in the by the Government for
EV space. We are proud to have a EV encouraging and promoting
R&D center that is recognized and electric vehicles, what more do
certified by Department of Science you think the government should
and Industrial Research. We have do in this regard especially for
focused on creating Make in India recovering from the current
technology and supply chain with pandemic which has hit the Auto
over 90% localization levels in our industry severely?
EVs.

| SEPTEMBER ISSUE 2020 PG 11

INCONVERSATION
SANKARI SIVA
MANAGING DIRECTOR,
EMF
Pls Tell us about your Product
and Services ?
E MF I n n o v a t i o n s d e s i g n s a n d
ma n u f a c t u r e s a wi d e r a n g e o f DC
Mo t o r s f o r v a r i o u s a p p l i c a t i o n s
s u c h a s e l e c t r i c mo b i l i t y , s o l a r
i r r i g a t i o n p u mp s , a g r i c u l t u r a l
e q u i p me n t a n d s o o n . We
ma n u f a c t u r e b o t h o u t e r r o t o r a n d
i n n e r r o t o r mo t o r s . T h e o u t e r
r o t o r mo t o r s a r e wi d e l y u s e d i n
e - c y c l e s a n d e - t wo wh e e l e r s a s
h u b Mo t o r s a n d i n n e r r o t o r
mo t o r s a r e ma i n l y u s e d i n e -
t h r e e wh e e l e r s , s o l a r i r r i g a t i o n
p u mp s a n d o t h e r a p p l i c a t i o n s .
How has been the journey so
far? How do you see your
company evolving over the
years?
We s t a r t e d o u t d e v e l o p i n g
ma g n e t - l e s s DC mo t o r s ,
e s p e c i a l l y S wi t c h e d Re l u c t a n c e
Mo t o r s ( S R Ms ) . Al o n g t h e wa y we
r e a l i z e d t h a t i t wo u l d t a k e s o me
t i me f o r ma r k e t a c c e p t a n c e o f
S R Ms a s c o mp a r e d t o t h e
u b i q u i t o u s B r u s h l e s s DC ( BL DC)
mo t o r s , s o we s t a r t e d d e s i g n i n g
a n d ma n u f a c t u r i n g B L DC mo t o r s
in parallel to our SRM
d e v e l o p me n t .
T h e BL DC mo t o r b u s i n e s s
b r o u g h t u s f a c e t o f a c e wi t h
t o u g h p r i c i n g c o mp e t i t i o n f r o m
Ch i n e s e - ma n u f a c t u r e d p r o d u c t s .
T o o v e r c o me t h a t , we h a v e s e t u p
a s e mi - a u t o ma t e d p r o d u c t i o n
facility to get the productivity of
Ch i n e s e ma n u f a c t u r e r s , a n d a l s o
s t r e a ml i n e d o u r p r o d u c t i o n
| SEPTEMBER ISSUE 2020
"OUR CURRENT FOCUS IS ON
CONTINUOUSLY IMPROVING
ON TORQUE DENSITY AND
POWER DENSITY."
process to substantially reduce . What will be Post-Covid impact
ma t e r i a l wa s t e . Cu r r e n t l y we a r e on the industry?
a b l e t o p r o d u c e B L DC mo t o r s
s l i g h t l y c h e a p e r t h a n i mp o r t e d Co v i d - 1 9 h a s l e d t o a s u r g e i n
mo t o r s f o r h i g h v o l u me o r d e r s i n t e r e s t i n p e r s o n a l mo b i l i t y
d e v i c e s . T h e s e c o n s u me r s wa n t
a stylish, convenient and
What are the technological accessible alternative to public
advancements that will t r a n s p o r t wi t h i n c i t i e s , a n d we
happen over the time? expect this trend to continue to
g r o w e v e n P o s t - Co v i d . L o w
s p e e d , l o w p o we r E Vs s u c h a s e -
We d e f i n i t e l y b e l i e v e i n f o c u s i n g
Cy c l e s a n d e - S c o o t e r s a r e a
o n ma g n e t - l e s s mo t o r s . Ou r
t e r r i f i c f i t f o r t h i s n e e d . Th i s
current focus is on continuously
s e g me n t o f E V s p r e s e n t s
i mp r o v i n g o n t o r q u e d e n s i t y a n d
abundant opportunity to
p o we r d e n s i t y . T o r q u e d e n s i t y i s
e n t r e p r e n e u r s t o o f f e r wi d e
a c h i e v i n g h i g h e r t o r q u e wi t h l e s s
ranging solutions to disrupt the
p o we r , a n d p o we r d e n s i t y i s
c u r r e n t wa y o f i n t r a - c i t y p e r s o n a l
achieving higher torque by
travel.
r e d u c i n g t h e we i g h t o f t h e
mo t o r s . I n o u r S R Ms , c o n t r o l l e r
technology is also a key area of
a d v a n c e me n t . We wi l l b e
wo r k i n g o n i mp r o v i n g t h e
EMF Innovations designs
controllers to not only reduce
and manufactures a wide range of
costs but also increase the
DC Motors for various
s mo o t h n e s s a n d r e l i a b i l i t y o f
applications such as electric
operation.
mobility, solar irrigation pumps,
agricultural equipment and so on.
PG 12
How does EMF support
Aatmanirbhar Bharat?
We started out developing magnet-less
E MF i h a s t a k e n t h e i n i t i a t i v e t o DC motors, especially Switched Reluctance
b u i l d o n e o f I n d i a ’ s f i r s t BL DC Motors (SRMs). Along the way we realized that it
h u b mo t o r ma n u f a c t u r i n g would take some time for market acceptance of
f a c i l i t i e s , a n d t h e ma j o r i t y o f o u r SRMs as compared to the ubiquitous Brushless
c o mp o n e n t s a r e a l r e a d y DC (BLDC) motors, so we started designing and
i n d i g e n o u s l y p r o d u c e d wi t h i n manufacturing BLDC motors in parallel
I n d i a . Ou r t e a m wo r k s t i r e l e s s l y to our SRM development.
t o n u r t u r e l o c a l c o mp o n e n t
s u p p l i e r s t o me e t wo r l d c l a s s
price and quality standards, and
we a r e p r o u d t o s a y t h a t o u r
S R Ms a r e a l r e a d y 1 0 0 % ma d e i n
I n d i a wi t h o u t ma g n e t s t h a t wi l l
enhance the local eco system
s e l f - r e l i a n t o n mo t o r t e c h n o l o g y .
We a r e a l s o wo r k i n g o n
d e v e l o p i n g mo t o r s wh i c h h a v e
h i g h e r p o we r d e n s i t y a n d t o r q u e
d e n s i t y u s i n g f e r r i t e ma g n e t s
t h a t a r e a v a i l a b l e l o c a l l y . Ou r
Idea is to grow local eco system
wi t h t h e c o mp l e t e l o c a l
ma n u f a c t u r e d c o mp o n e n t s .
I n a d d i t i o n , we a l s o b e l i e v e t h a t
e n t r e p r e n e u r s c a n a n d wi l l b e
the engines of social change,
and there are abundant
opportunities in the EV space.
T h u s we a r e wo r k i n g o n a p r o j e c t
t o s u p p o r t a n d e mp o we r y o u n g
people to create and launch their
o wn e n t e r p r i s e s , a n d t h r o u g h
these enterprises, to take greater
responsibility for their lives and
c o mmu n i t i e s .

It is our hope that through these

a c t i v i t i e s we wi l l c o n t r i b u t e
t o wa r d s Aa t ma n i r b h a r Bh a r a t .

| SEPTEMBER ISSUE 2020 PG 13

 PERSPECTIVE

WILL BATTERY- LEASING

BE THE NEXT GAME CHANGER FOR
INDIAN ELECTRIC MOBILITY?
India' s Ministry of Road Transport and Highways allowed the sale and registration of electric two and
three wheelers without batteries. Hence, customers will have the freedom regarding how to procure
batteries, which presents new business opportunities to OEMs, energy companies as well as other
stakeholders in the battery charging and swapping infrastructure.

The absence of batteries in EVs will proliferate new business models such as battery leasing and
renting and help in creating a dedicated ecosystem for battery supply, charging/swapping and
servicing. Shared mobility, logistics and delivery companies which are leading the transition to EVs
in India will gain significant cost-benefits if the new business models for batteries kick in. We asked
some of our experts to throw light on whether the battery leasing model is a gamechanger for the EV
industry and here is what they had to say....
 DR.RASHI GUPTA
FOUNDER & MANAGING DIRECTOR,
VISION MECHATRONICS PVT LTD
Re c e n t l y a g r e a t mo me n t u m i s s e e n i n I n d i a
f o r e l e c t r i c mo b i l i t y a n d i s s t r o n g l y p r o mo t e d
a n d s u p p o r t e d b y I n d i a n g o v e r n me n t .
Ho we v e r , e l e c t r i c v e h i c l e a d o p t i o n h a s b e e n
s l o w i n I n d i a . Al t h o u g h , t h e t o t a l c o s t o f
o wn e r s h i p ( TCO) o f E V i s l e s s t h a n t h e i r
c o n v e n t i o n a l c o u n t e r p a r t s i n mo s t c a s e s . T h e
high upfront cost of Electric vehicles has
b e e n a ma j o r d e t e r r e n t f o r c o n s u me r s wh e n i t
c o me s t o b u y i n g e l e c t r i c v e h i c l e s . P r e s e n t l y ,
battery packs account for around 30 to 40
percent of the cost of electric vehicles in
I n d i a . Ba t t e r y - L e a s i n g h a s t h e p o t e n t i a l o f
o v e r c o mi n g t h i s b o t t l e n e c k b y r e d u c i n g t h e
i n i t i a l c o s t o f E V. Re d u c i n g t h e c o s t o f b a t t e r y
f r o m t h e i n i t i a l i n v e s t me n t o f a n E V wi l l l e a d
t o a c q u i s i t i o n c o s t p a r i t y o f E V wi t h
conventional cars.
Wi t h i n c r e a s e i n ma n u f a c t u r i n g o r b y
a d v a n c e me n t i n b a t t e r y t e c h n o l o g y , b a t t e r y
c o s t i s e x p e c t e d t o r e d u c e b u t i t wi l l t a k e a
f e w mo r e y e a r s . Ba t t e r y - l e a s i n g wi l l r e d u c e
the initial price of EV, thereby increasing their
d e ma n d a n d p r o v i d i n g t h e mu c h - n e e d e d
mo me n t u m f o r t h e E V s e c t o r . Al s o , c o n c e r n s
a mo n g u s e r s o v e r d e p l e t i n g b a t t e r y l i f e a n d
c a p a c i t y d e g r a d a t i o n wi l l b e t a k e n c a r e o f b y
t h e b a t t e r y l e a s i n g c o mp a n y . As b a t t e r y
technology is changing rapidly, battery-
l e a s i n g wo u l d a l l o w t h e c o n s u me r s t o u s e t h e
l a t e s t b a t t e r y t e c h n o l o g y . Th e p e r f o r ma n c e o f
b a t t e r i e s i s a l s o i mp r o v i n g wi t h c o n t i n u o u s
r e s e a r c h i n b a t t e r y t e c h n o l o g y . Ba t t e r y
l e a s i n g wo u l d a l l o w t h e u s e r t o e a s i l y o p t f o r
a b a t t e r y p a c k wi t h e n h a n c e d p e r f o r ma n c e .
Al t h o u g h b a t t e r y - l e a s i n g wi l l i n c r e a s e t h e
TOC o f E V, i t ma k e s E V a f f o r d a b l e i n t h e
i n i t i a l s t a g e . Mo s t E V ma n u f a c t u r e r s h a v e
avoided battery leasing, and have gone
a h e a d wi t h s e l l i n g b a t t e r i e s a l o n g wi t h E V.
Ho we v e r , ma n u f a c t u r e r s l i k e Re n a u l t h a v e
t r i e d b a t t e r y l e a s i n g a n d ma n a g e d t o t o p t h e
E V s e l l i n g l i s t . Th u s , b a t t e r y r e n t i n g c a n b o o s t
t h e s a l e s o f E V a n d p r o t e c t c u s t o me r s f r o m
the rapidly changing technology of batteries.
| SEPTEMBER ISSUE 2020
Re c e n t l y , t h e Mi n i s t r y o f Ro a d Tr a n s p o r t
a n d Hi g h wa y s h a s r e l e a s e d a s t a t e me n t
t h a t e l e c t r i c t wo - wh e e l e r s a n d t h r e e -
wh e e l e r s c a n b e s o l d a n d r e g i s t e r e d
wi t h o u t b a t t e r i e s b a s e d o n t h e t y p e
a p p r o v a l c e r t i f i c a t e i s s u e d b y t h e Te s t
Ag e n c y . F u r t h e r , s t a n d a r d s a r e b e i n g
d e v e l o p e d f o r v a r i o u s c o mp o n e n t s o f t h e
EV ecosystem in India by several original
e q u i p me n t ma n u f a c t u r e r s ( OE Ms ) , b a t t e r y
ma n u f a c t u r e r s a n d o t h e r s t a k e h o l d e r s .
Th i s i s e x p e c t e d t o p r o mo t e
i n t e r o p e r a b i l i t y b e t we e n c o mp o n e n t s o f
the EV sector including energy providers,
v e h i c l e s , b a t t e r i e s a n d c h a r g e r s . Th i s
wo u l d a l s o e n a b l e u s e r s t o a c q u i r e o r
exchange batteries and other
c o mp o n e n t s f r o m d i f f e r e n t s u p p l i e r s .
S t a n d a r d i z i n g a s s i s t s i n ma i n t a i n i n g
q u a l i t y a n d r e d u c i n g c o s t o f c o mp o n e n t s .
Th i s i s a i me d a t c r e a t i n g a s u s t a i n a b l e
e n v i r o n me n t f o r b a t t e r y - l e a s i n g a n d
b a t t e r y s wa p p i n g i n I n d i a .
Ba t t e r y - l e a s i n g p r o t e c t s c u s t o me r s f r o m
b a t t e r y p r i c e d e p r e c i a t i o n . Ba t t e r y o n c e
p u r c h a s e d b e c o me s u n e c o n o mi c a l t o b e
r e p l a c e d e s p e c i a l l y i f i t i s o u t o f wa r r a n t y .
E v e n i f a b a t t e r y f a i l s , t h e c u s t o me r d o e s
n o t n e e d t o wo r r y a b o u t i t , a s i t wo u l d b e
taken care of by the battery leasing
c o mp a n y . S o b a t t e r y - l e a s i n g e n c o u r a g e s
a n d i n c r e a s e s c o n f i d e n c e i n c u s t o me r s t o
b u y E V. I t i s t i me n o w t o s e e h o w t h e
f i n a n c i a l mo d e l e v o l v e s b o t h f o r t h e
b a t t e r y l e a s i n g c o mp a n y a n d t h e
c o n s u me r s .
As b a t t e r y t e c h n o l o g y ma t u r e s , t h e
p e r f o r ma n c e o f b a t t e r i e s mi g h t n o t
c h a n g e mu c h a n d c o n c e r n a b o u t b a t t e r y
l i f e a n d d e g r a d a t i o n wi l l b e r e d u c e d .
Th e n , b u y i n g a b a t t e r y ma y b e a s u i t a b l e
o p t i o n . Ti l l t h e n , Ba t t e r y - l e a s i n g i s i n d e e d
a better option in the initial adoption
p h a s e s o f E V a n d c a n b e t h e n e x t g a me
c h a n g e r f o r E l e c t r i c Mo b i l i t y i n I n d i a .
PG 15
 SACHIN KUMAR
CEO,
PANINE
Wh e n l o o k i n g f r o m a Us e r ’ s p e r s p e c t i v e a b o u t E l e c t r i c
Ve h i c l e , i r r e s p e c t i v e o f wh e t h e r p e r s o n a l mo b i l i t y o r
c o mme r c i a l u s a g e , t wo ma j o r c o n c e r n s t h a t c o me u p -
Range and Battery life, if you look deeper into it are the
p r o b l e ms o f o p e r a t i n g e x p e n d i t u r e a n d c a p i t a l
expenditure. To counter the problem of range anxiety, the
g o v e r n me n t a n d i n d u s t r y h a s d o n e s u b s t a n t i a l wo r k a n d
i s i mp r o v i n g t h e a c c e s s t o c h a r g i n g n e t wo r k s b y t h e
mi n u t e . Bu t , wh a t a b o u t t h e b a t t e r y l i f e a n d c a p i t a l c o s t s
a s s o c i a t e d wi t h i t ? To l o o k a t t h e p a r a l l e l s f r o m t h e
p e t r o l e u m v e h i c l e s , a ma j o r wo r k o n t h e e n g i n e wo u l d n ’ t
c o s t mo r e t h a n 1 0 % o f t h e v e h i c l e c o s t , t h a t t o o i n 5 - 8
y e a r s . Bu t wh a t a b o u t t h e E l e c t r i c Ve h i c l e wh e r e t h i s
r e p l a c e me n t c o s t c o u l d b e b e t we e n 4 0 % t o 5 0 % o f t h e
v e h i c l e a n d t h a t t o o i n h o w ma n y y e a r s ? No o n e i s 1 0 0 %
c e r t a i n a b o u t t h e a n s we r s t o t h e s e q u e s t i o n s i r r e s p e c t i v e
o f t h e s i z e o r s c a l e o f t h e o r g a n i z a t i o n . Th i s g a p p r i ma r i l y
c o me s , b e c a u s e a s a c o u n t r y , I n d i a h a s n ’ t s e e n a 1 0 y e a r s
ma s s u t i l i z a t i o n c y c l e o f E Vs a n d t h u s l a c k t h e o n - g r o u n d
u s a g e d a t a . Ac r o s s t h e g l o b e , E V b a t t e r i e s h a v e s h o wn a
v e r y d i f f e r e n t p e r f o r ma n c e o n t h e r o a d s wh e n c o mp a r e d
to labs and controlled test facilities.
To t a c k l e t h i s p r o b l e m o f l a c k o f t r u s t i n Ba t t e r y l i f e t h e r e
a r e t wo ma j o r a p p r o a c h e s – Ba t t e r y S wa p p i n g a n d F a s t
Ch a r g i n g Ba t t e r y l e a s i n g .
F r o m Be t t e r P l a c e ( a $ 1 Bn d i s a s t e r ) t o Te s l a ’ s s h o r t s t i n t
wi t h b a t t e r y s wa p p i n g , t i me a n d a g a i n , i t h a s s h o wn t h a t
b a t t e r y s wa p p i n g i s n e i t h e r o p e r a t i o n a l l y f e a s i b l e n o r
financially viable. The biggest selling point of EVs is low
o p e r a t i n g c o s t b u t s wa p p i n g t a k e s t h e o p e r a t i n g c o s t s t o
a n o t h e r l e v e l . S wa p p i n g i s p o o r g r a d e Te c h n o l o g y ’ s f o r a y
i n t o E Vs . S wa p p i n g i s c a p e x a s we l l a s Op e x h e a v y ,
| SEPTEMBER ISSUE 2020
that's what makes their pricing astronomically high.
That’s the reason that organizations with 100s of Crore
rupees in their Bank Account haven't been able to
reach a scale to boast about.
The Alternate is Fast Charging Battery Leasing. Battery
leasing is everything that puts User’s to ease and its
capital and operationally efficient. It takes care of the
Battery replacement cost anxiety, Users don’t have to
roam around swapping stations. A true freedom from
high operating costs as well as particular infrastructure
requirements. In fact, most of the residential electricity
connection can take care of EV charging. What Battery
leasing wouldn’t do is 5 minutes turn around, but the
bigger question is, does everybody need a 5 minutes
turn around. With constant upgrades in fast charging,
Battery leasing is the true elixir that EVs need and is
the only viable solution at mass scale. Battery leasing
is the only solution that is infinitely scalable at a rapid
pace and can reach far and wide and can still remain
economically viable. The only fundamental
requirement is, high end Battery technology which can
support charging time reduction upgrades with time.
Under 30 minutes of full charge is the time parity
where EVs will beat petroleum Vehicles both in terms
of financial and utility conform ie. Capex/Opex and
Range/time.
With each passing day, the battle is turning interesting
between Battery swapping and Battery leasing and
battery leasing has all the advantage to win this battle
and wage the war against the petroleum vehicles.
Interesting times ahead, fingers crossed.
PG 16
 SIDDHARTH SREENIVASAN,
COFOUNDER, CMO NUMOCITY
TECHNOLOGIES

I n d i a n Go v e r n me n t , mi n i s t r y o f r o a d t r a n s p o r t a n d
h i g h wa y s ma d e a n a n n o u n c e me n t t h a t a l l o ws t h e
s a l e a n d r e g i s t r a t i o n o f E Vs wi t h o u t b a t t e r i e s . T h i s
a n n o u n c e me n t h a s r e c e i v e d mi x e d r e s p o n s e f r o m
t h e i n d u s t r y , s o me s e e t h i s a s a n o p p o r t u n i t y t o
u n b u n d l e t h e c o s t s a n d o p e n n e w b u s i n e s s mo d e l s .
T h e o t h e r a l t e r n a t e v i e w c o me s f r o m t h e c h a l l e n g e s
t h i s b r i n g s i n b y mo v i n g t h e r e v e n u e t o l o n g t e r m
subscriptions.

We s e e t h i s a s a mi x e d b a g , a n d t o me n t i o n s o me o f
t h e p o t e n t i a l b e n e f i t s ; Th i s r e d u c e s t h e u p f r o n t c o s t
o f a c q u i s i t i o n f o r E V s wh i c h s h o u l d mo t i v a t e e a r l y
a d o p t e r s t o mo v e t o wa r d s E l e c t r i c v e h i c l e s . T h e
n e w p o l i c y p r o v i d e s f l e x i b i l i t y i n a s s e t p r i c i n g wh e n
v e h i c l e o wn e r s h i p mo d e l s a r e c h a n g i n g t o wa r d s
r e n t a l , o n d e ma n d , v e h i c l e p o o l i n g , s u b s c r i p t i o n s
a n d f r a c t i o n a l o wn e r s h i p . S e p a r a t i o n o f t h e
o wn e r s h i p o f B a t t e r y a n d Ve h i c l e e n a b l e s n e w
b u s i n e s s mo d e l s a r o u n d s e c o n d l i f e a n d n o n
mo b i l i t y a p p l i c a t i o n o f b a t t e r i e s . Th i s a n n o u n c e me n t
i s a l s o s e e n a s a ma j o r b o o s t f o r b a t t e r y s wa p p i n g
a n d b a t t e r y r e n t a l s u b s c r i p t i o n mo d e l s . Th e
c o n s u me r b e n e f i t s t o o b y t h e s e p a r a t i o n o f r i s k o f
b a t t e r y d e g r a d a t i o n f r o m t h e v e h i c l e wa r r a n t y . Mo r e
i mp o r t a n t l y , we s e e t h i s p o l i c y wi l l a l l o w
p a r t i c i p a t i o n o f p l a y e r s o t h e r t h a n Au t o mo t i v e OE MS
/ Ba t t e r y OE MS i n t o t h e Va l u e c h a i n o f E V b a t t e r i e s
Th e r e a r e a l o t o f g r e y a r e a s a n d p o s s i b l e
c h a l l e n g e s i n t h e ma r k e t ; Th e t a x a t i o n s t r u c t u r e f o r
Ba t t e r i e s i s l a n d f o r t h e v e h i c l e wi l l b e d i f f e r e n t a n d
n e e d s t o b e h a r mo n i s e d . Th e v e h i c l e OE Ms h a v e
t i g h t l y c o u p l e d t h e B a t t e r y d e s i g n a n d Ve h i c l e
d e s i g n t o g e t b e t t e r e f f i c i e n c i e s b u t t h i s wi l l a l s o
c h a l l e n g e t h e p o s s i b i l i t y o f s wa p p i n g t o a l i mi t e d
n u mb e r o f E V mo d e l s i n a g i v e n s e g me n t . B a t t e r y
s wa p a s a mo d e l o f e n e r g y s u b s c r i p t i o n i s n o t f u l l y
p r o v e n i n t h e ma r k e t , f o r i n s t a n c e t h e c a p e x o f
r u n n i n g Ba t t e r y f l e e t i n v e n t o r y i s a f i n a n c i a l r i s k i n
l i g h t o f u n k n o wn r e a l wo r l d a n d l o n g t e r m
p e r f o r ma n c e o f b a t t e r i e s . Th e r e i s a l s o l a c k o f c l a r i t y
o n t h e l i a b i l i t i e s t h a t wi l l a r i s e i n c a s e o f a c c i d e n t s
o r p r o b l e ms a r i s i n g o u t o f Ba t t e r y s wa p p i n g n o t
clearly established.

On e t h i n g i s f o r s u r e , t h i s a n n o u n c e me n t wh e n
r o l l e d o u t wi l l h e l p i n a c c e l e r a t i n g a d o p t i o n o f
e l e c t r i c v e h i c l e s i n p r i v a t e a n d f l e e t s e g me n t s b y
r e d u c i n g t h e i n i t i a l c o s t o f o wn e r s h i p .

| SEPTEMBER ISSUE 2020 PG 17

 PERSPECTIVE

Going Long And Strong:

WHAT ARE THE LATEST BREAKTHROUGH IN ELECTRIC CAR
BATTERY TECHNOLOGY?

Battery is the fundamental part of an electric car and currently Lithium Ion batteries are in use predominantly. In the
pursuit of a rechargeable battery that can power electric vehicles (EVs) for hundreds of miles on a single charge,
scientists have endeavored to replace the graphite anodes currently used in EV batteries with lithium metal anodes.
But while lithium metal extends an EV’s driving range by 30–50%, it also shortens the battery’s useful life due to lithium
dendrites, tiny treelike defects that form on the lithium anode over the course of many charge and discharge cycles.
What’s worse, dendrites short-circuit the cells in the battery if they make contact with the cathode. Big technology and
car companies are all too aware of these limitations of lithium-ion batteries.

Hence, they are of the opinion that there’s still plenty of room for improvement in the battery technology that powers
electric cars. So, do we have better alternatives? And if we do, then what are they? Find it out here as our industry
specialists give us a glimpse of these alternatives

Elon Musk’s (Tesla) announcement of Battery Day in

September 2020 re-kindled interest in breakthrough
battery technologies being pursued globally.

Battery manufacturers are targeting the following

RAVINDRA MOHAN,
aspects of EV batteries:
DIRECTOR - BUSINESS & STRATEGY,
CHARGE+ZONE
Lower costs – achieving a tipping point where EV
can better the price of equivalent ICE.

Some Change comes slowly but they are game changers, Faster charging time – make the customer
whenever they occur. Battery price breaching $100/kWh experience with EV akin to fuel filling of an ICE, thus
will be one such change. mitigating wait anxiety at fuelling / charging station.

Bloomberg : Demand for lithium-ion batteries is forecast Higher power and energy density – leading to more
to surge after a virus-linked stumble in 2020 range of EVs, equalling and surpassing the ICE to
mitigate range anxiety.

| SEPTEMBER ISSUE 2020 PG 18

 Battery life – increase in number of charging cycles,
thus giving a second life to batteries, and reducing
TCO
An 87% plunge in the past 10 years in battery prices,
possible through technological innovations.
Today’s batteries cost about $147/kWh, down from
about $1,000 in 2010 and $381 in 2015 and the effort
of all players is to breach $100/kWh threshold.
We will peek into a few initiatives by – Tesla, IBM,
Samsung, VW, CATL and others as what all is on table
to give credence to talk of technological
breakthroughs.
Innovations in battery chemistry will rely on usage of
low-cobalt / nickel and cobalt-free battery, use of solid
electrolyte, use of sea as source of raw materials etc.
Promise of a million miles from a given battery pack,
could spur EV sales the same way the first 100,000-mile
warranties on gas cars once did. Mitigating fears of
short range and high battery replacement cost.
Most interesting cases belong to stable of Tesla. Musk
has shared on Twitter, that batteries with 400 watt
hours per kilogram and long lifecycles, are highly likely
in the next three to four years and will be mass
produced. The difference made by a single letter: R, Li-
ion to Li-iron is at centre of Tesla’s push in China.
Tesla is planning to disrupt EV battery market, by
using lithium iron, not the lithium ion, which is the main
stay of NCA or NCM batteries used to date by it.
The replacement or reduction in use of expensive and
controversial element cobalt from batteries will drive
down the price and will be hailed as environmentally
sustainable too. Further, by eliminating Nickel too,
which is priced in the range of one third to as much as
one half the price of cobalt, lab research shows there is
a possible pathway to drive pricing down to as low as
$80/kWh. Some of these technical advances made in
battery chemistry trace their origin to a small research
lab at Dalhousie University in Halifax, Nova Scotia.
Contemporary Amperex Technology (CATL), plans to
supply Tesla in China next year with an improved long-
life nickel-manganese-cobalt (NMC) battery whose
cathode is 50% nickel and only 20% cobalt.
CATL also claims to have developed a simpler and less
expensive way of packaging battery cells, called cell-
to-pack, which will eliminate the middle step of
bundling cells. Tesla is expected to use this technology
to help reduce battery weight and cost.
GM is targeting to reduce cobalt content to about 4.5%
of the battery, down from present 18%, with more
manganese and nickel, plus some aluminium, making
up the difference. It is opined that this may help GM to
breach the $100/kWh threshold.
| SEPTEMBER ISSUE 2020
The Volkswagen AG on June 16, 2020 announced an
additional investment of $200 million in QuantumScape
Corp., a battery technology start-up founded by former
Stanford University researchers, after committing $100
million in 2018.
Another disruptive technology announcement has been
made by IBM Research lab (innovation arm of tech
company IBM). This type of batteries lends themselves
to rapid charging rates, by achieving an 80 percent
charge within five minutes, which is similar to filling
tank of ICE at fuel station. IBM claims, a power density
in excess of 10,000 W/L, and energy density more than
800 Wh/L, based on lab trials. These either match /
exceed standard lithium-ion batteries. The battery is
made from three materials that can be extracted from
seawater, a much less invasive sourcing method than
mining (lithium iodide, a cobalt- and nickel-free
cathode material and a new and proprietary electrolyte
formulation etc.).
IBM has partnered with Mercedes-Benz Research and
Development, North America battery companies Central
Glass and Sidus to take next steps from exploratory
research level phase to mass production phase.
Samsung is piloting solid-state batteries innovations at
Samsung Advanced Institute of Technology (SAIT) and
the Samsung R&D Institute Japan (SRJ). They have
experimented by removing the lithium metal anodes
found in solid-state batteries. In its place used a silver-
carbon composite layer (five micro-meters thick). This
gave the battery a larger capacity, longer life cycle,
faster charging time than present Li-ion batteries and
improved overall safety. These can give an EV a range
of about 500 miles and have a lifecycle of more than
1,000 recharges. In other words, an EV with a battery
that lasts for up to 500,000 miles.
Assuming further testing and development continue
smoothly, Samsung' s discovery could be a turning point
in battery and EV history.
Switzerland’s Innolith has claimed a major battery
breakthrough by replacing the organic (and highly
flammable) solvent containing the electrolytes with an
inorganic substance that’s more stable and less
flammable. This battery would be capable of powering
an electric car for 1,000 KMs (621 miles) on a single
charge. They are likely to bring this new battery to
market via an initial pilot production in Germany,
followed by licensing partnerships with major battery
and automotive companies. Company representatives
has cited India as one country that could be interested
in Innolith’s technology.
PG 19
 Na-ion vs LFP battery
JAMES QUINN
CEO,
FARADION LIMITED

Lithium-ion batteries have revolutionized our lives

since they first entered the market in 1991. Owing to
their high energy density and long driving range per
charge, they are currently the go-to batteries for
electric vehicles (EVs). However, lithium-ion batteries
are unlikely to be a sustainable, long-term solution for
our future energy needs.

The key constituents of these batteries are lithium,

cobalt, manganese and nickel. Lithium is a scarce
Na-ion vs Pb-A battery
element and most of the reserves are controlled by
*
China, whose lithium reserves are 30 times those of the
USA. India continues to rely heavily on China for this
purpose. The other components like cobalt are
associated with humanitarian issues in the mining
process such as child labor. Additionally, almost 72% of
the world’s reserves of cobalt are in the Democratic
Republic of Congo, and largely owned by China.
Manganese and nickel are rare minerals and difficult to
mine.

In contrast to lithium-ion, lead-acid batteries offer lower

performance and contain lead, a toxic material.
Although these are much cheaper and more prevalent,
they are bulky, possess very poor energy density and
*On Total Cost Of Ownership
therefore not as suitable for EVs.
The technology benefits of sodium-ion batteries are
Sodium-ion (Na-ion) batteries offer a sustainable, safe
also notable. These batteries can be discharged to zero
and secure alternative to lithium-ion and lead-acid
volts like a capacitor and therefore, the risk of fire
batteries. The Na-ion battery works exactly in the same
hazards is low. Faradion’s prototype cells deliver
way as a lithium-ion battery, just with the lithium
energy density in excess of 150 Wh/kg, Sodium-ion
compounds swapped with sodium compounds. The
cells have demonstrated performance and excellent
main component sodium for these batteries is easily
capacity retention over the temperature range -30°C to
available in the form of sea water, especially in a
+60°C. The (round trip) energy efficiency of sodium-ion
country like India, which has a long coastline. It is
batteries is > 95 %, in contrast with a lead-acid battery
important to note that these batteries do not use
that has an energy efficiency of circa 70%. They are an
problematic components such as cobalt, lead or lithium
excellent drop-in replacement for lead-acid batteries for
and are a much cleaner and safer alternative. Their
low cost electric transport – in LSEVs, e-scooters or as
performance is far better when compared to lead-acid
batteries for e-rickshaws and e-bikes – offering much
and lithium-ion batteries, as shown in the images
greater range and carrying capacity for a similar price.
below.
At Faradion, we are in a unique position to have
developed sodium-ion batteries that can be
manufactured on existing lithium-ion lines. This means
In contrast to lithium-ion, lead-acid no additional asset investment is required from the
batteries offer lower performance and manufacturer to produce our batteries.
contain lead, a toxic material. Although these Sodium-ion batteries have the potential to become an
are much cheaper and more prevalent, they integral part of India’s future in clean transportation and
are bulky, possess very poor energy density could just prove to be the answer to a sustainable
battery technology.
and therefore not as suitable for EVs..."

| SEPTEMBER ISSUE 2020 PG 20


EV Charging Infrastructure
After COVID-19
With the COVID-19 pandemic, EV markets are expecting a drop in sales. For the EV charging industry, this will
inevitably lead to a slower market in coming years, with IHS Markit anticipates that this will last up to 5 years.
Obviously, a reduction in EV
production and adoption will be a
significant contributor to the
slowdown in EV charging
infrastructure development. This
will likely have a compounding
effect, as a lack of key
infrastructure is critical in purchase
decisions for people seeking to
switch from combustion engines to
EVs, and this hesitation by the
market may further delay the
establishment of new EV charging
infrastructure.
However, investment in EV
charging startups is showing some
growth, with the long-term view
that growth will pick up markedly in
the next 3 to 7 years. One key
investment area has been fast-
charging technologies, which, in
combination with the cost of EVs
being expected to drop below that
of vehicles that run on other
greener fuels such as gas, should
lead to an increase in EV adoption.
It is also likely that this chain of
events will see auto industries
become increasingly more
intertwined with the electric grid
sector.
Green Recovery Plan and
Investment Around the World
Governments around the world are
also implementing policies to
encourage the sale of EVs and
further development of EV charging
infrastructure. The European Green
Deal, which focuses on developing
green industries, has set out to see
nstallation of 1 million charging
ipoints across the continent. Draft
documents from the European
Union show that countries will be
further incentivizing EV
manufacturers to produce cleaner
| SEPTEMBER ISSUE 2020
INSIGHTS
cars and investors to put money
into EV charging infrastructure.
In addition to investing over
US$1.4 billion to expand EV
charging infrastructure by 50% in
2020 and exempting purchase tax
on new EVs, China’s government is
also making efforts to stimulate the
EV market and establish itself as a
world leader in greener vehicles by
extending subsidies on new EV
purchases until 2022.
In the United States, state and
local governments in New York
alone have announced an
investment of US$750 million
dollars into the development of EV
charging infrastructure by 2025.
Given that EV charging
infrastructure is set to grow from
US$2.5 billion in 2019 to US$27
billion by 2027, it is clear that
government policy is aimed at
strengthening infrastructure so
that sufficient charging stations
are available so as to promote the
EV market and green energy use
as a whole.
Key Developments in Commercial
and Home EV Charging
Infrastructure
Regardless of whether predictions
surrounding an increase or
decrease of EV adoption are true,
the key point remains that EV
charging infrastructure must be
significantly developed to support
future EV adoption. The expected
slowdown in EV purchases over
the next few years just may well be
the perfect opportunity for
charging infrastructure to undergo
further development so that it can
provide better support any future
increase in EV adoption.
Providing EV owners with a faster
charge experience, lowering
power demand from the grid, and
establishing upgradable charging
equipment are central to future-
proofing EV charging
infrastructure. These
considerations ensure a smoother
customer experience, lower
operating costs for charge point
operators, and the ability to
upgrade equipment as new
technologies emerge.
While public charging
infrastructure is critical to the long-
term success of the EV market as a
whole, EV owners being able to
charge their vehicles at home is
also a consideration that will
stimulate market conditions and
overcome obstacles to positive
purchase decisions. Although the
same issues persist for home
charging, the obvious limit on the
number of vehicles requiring
charging means that infrastructure
requirements are much lower than
that of public charging stations.
A faster charging experience,
affordability, and the ability to
upgrade equipment as new
technologies develop will be
critical for the success of
manufacturers of EVs and EV
charging equipment. In the
immediate face of the COVID-19
pandemic, this approach to EV
charging is a solution that also
considers social distancing
measures.
Akshaye Barbuddhe
Business Head- Energy
Infra Solutions, Delta
Electronics India Pvt Ltd
PG 21
 INSIGHTS

WHY RIDE-HAILING IN INDIA

SHOULD GO ELECTRIC

RECENT POLICY
ADVANCEMENTS IN
FAVOUR OF FLEET
EVS OFFERS NEW
MARKET
OPPORTUNITIES:
Policy efforts at both the
national and state levels to
INTRODUCTION support electrification of
electric ride-hailing fleets are
intensifying, specially over
Over the past decade, among various forms of urban commute, the ride- the past two months. Some
hailing industry in India has grown significantly. Ride-hailing apps have of the long-awaited EV policy
provided a convenient, hassle free and accessible option for commute, and measures, relevant to ride-
have quickly become popular. Ride-hailing vehicles now represent a hailing, have come to fruition.
significant share of traffic in cities and their projected growth presents an A few of the key
even deeper complication – of rising urban air pollution. advancements include
recognition of battery
Fortunately, electric vehicles (EVs) have emerged as a viable alternative swapping as another form of
solution in ride-hailing services, and the benefits offered by EVs; from charging EVs; registration
environmental, financial and energy security perspectives; is shaping and sale of electric two-
consensus among mobility stakeholders in India, for the need to transition. wheelers (2Ws) and three-
Through working with India’s EV value chain, the World Business Council for wheelers (3Ws) without
Sustainable Development (WBCSD) has identified ride-hailing as a scalable batteries; and preferential
use case for EV adoption. This article looks at a few reasons why ride-hailing treatment through
has the potential to lead the electric mobility transition in India. legalization of electric two-
wheeler taxis in some states.

| SEPTEMBER ISSUE 2020 PG 22

 App-based ride hailing services is a large market and can create
significant impact: Ride-hailing is evolving into a preferred form of commute
in Indian cities. It has been proj ected to grow at a compound annual growth
rate of 19. 1% and a turnover of USD $ 52. 5 billion by 2024. As per WBCSD’ s
analysis, a 100% adoption of electric ride-hailing cars in India by 2030 would
avoid 51% of the CO2 emissions caused by their internal combustion engine
(ICE) counterparts.

Higher utilization levels in ride-hailing makes EV adoption economically

viable: The upfront cost of EVs are higher than ICE vehicles, i. e. , 30% more
expensive for cars. However, due to their lower running cost, most EVs are
already economically viable and achieve total cost of ownership (TCO)
parity to their ICE counterpart of their daily utilization is high enough, i. e. ,
above 100 for both two and three wheelers; and above 200 kms for cars.

Ride-hailing EVs should be ahead in adoption priority compared to

personal EVs: Electrification strategies should be focused more on
increasing the proportion of kms travelled in EVs than increasing the number
of EVs on road. Ride-hailing cars typically travel more than 50, 000 km a year,
compared to 12, 000 km per year for personal cars. Thus, electrification of a
ride-hailing car offers upwards of four times the environmental benefits
compared to a private vehicle.

Recent policy advancements in favour of fleet EVs offers new market

opportunities: Policy efforts at both the national and state levels to support
electrification of electric ride-hailing fleets are intensifying, specially over
the past two months. Some of the long-awaited EV policy measures, relevant
to ride-hailing, have come to fruition. A few of the key advancements include
recognition of battery swapping as another form of charging EVs; registration
and sale of electric two-wheelers (2Ws) and three-wheelers (3Ws) without
batteries; and preferential treatment through legalization of electric two-
wheeler taxis in some states. These policy advancements extend new
opportunities for ride-hailing companies to capture economically viable
options and take advantage of the developments, especially for 2W and 3W
vehicle segments.

Ride-hailing EVs can set the ball rolling for personal EV adoption: The
integration of EVs in ride-hailing operations is also a progressive way forward
to both catalyze EV’ s uptake and substantially enhance public awareness of
the technology, which could lead to personal adoption.

Several forward-looking ride-hailing businesses have adopted EVs

already: The application and scale of EVs are not limited to government
fleets or as e-rickshaws, as it was a few years ago. The technology has
started to find its place across various vehicle segments and use-cases,
including ride-hailing. Numerous companies such as BluSmart (4Ws), Smart-
e (3Ws) and Bounce (2Ws) have deployed electrified ride-hailing services
and having tested the waters, corroborates the business viability argument
for EVs.

The ride-hailing boom and acceleration of electrification efforts are among

some of the key transitions that have occurred in the Indian urban mobility
space in the past decade. As we enter the next decade, it is time that the
convergence of these two transitions must happen. It is highly unlikely that a
single stakeholder, business model or city pilot breakthrough will bring about
this transformation. Extensive collaboration with various stakeholders will be
required to create impact at scale.

APPURVA APPAN
ASSOCIATE,
REMOBILITY,
WBCSD

| SEPTEMBER ISSUE 2020 PG 23

 INSIGHTS

AND, IF I DO MEET MR. JULES VERNE, I WILL REQUEST HIM TO REWRITE HIS
FANTASY BY CHRISTENING IT “AROUND THE WORLD IN EIGHT MINUTES.”

Mobility
I had read this masterpiece as a child (gifted to me by my
grandfather). According to Phileas Fogg, the protagonist in Jules
Verne’s epic “Around the world in 80 days” he says that the world
could be toured in 80 days. He mentions rail and steamers as the
main modes. I would imagine that there would have been some horse-
drawn carriages for the intra city commutes, as well as some hand
DRIVEN BY pulled rickshaws in Calcutta and the Far East. That brings me to the
point that mobility was and always will be multi-modal.
#TECHNOLOGY,
INSPIRED BY A LOT OF CONNECTED VEHICLES OFF LATE

#SUSTAINABILITY. From Maruti to MG Motors (Hector); from Hyundai (Venue) to Kia

MOBILITY COULD TAKE YOU
AROUND THE WORLD IN 80
DAYS.
(Seltos), we have seen a flurry of market making vehicles launch in
India; which have captured the imagination of the digital generation
and that is evidenced by the reported volume sales statistics. This is a
great precursor to what might become the conduit for more
sustainable mobility. We can unplug, refactor, repurpose any
technology today and make it work for us - our Planet.

In a recent report published by Microsoft, Sanjay Ravi who is General

Manager Microsoft says, “The vehicle is becoming more and more
software-defined, as automakers rebuild architectures to meet
tomorrow’s new connected experiences and mobility services. The
industry is adopting new business models built on a comprehensive
connected digital infrastructure.”

| SEPTEMBER ISSUE 2020 PG 24

He also adds that, “However, we must not forget
that along with this innovation comes the
responsibility for our industry to ensure
sustainability and safety in everything we do.”.
The full report can be accessed at
https://psfk.com/report/reimagining-automotive
MOBILITY NEEDS AN ECOSYSTEM TO FULFILL
ITS PROMISE
As I alluded to earlier, that mobility is complete
only when it is multimodal. That means the
commuter should be able to have a frictionless
experience going from point A to B which may
involve personal and shared vehicle, human
powered vehicles like cycles; bus, rail, water, air.
While technology providers are providing mobility
platforms, it will require a whole lot of actors to
come in and connect their microservices e.g.
1. Location Intelligence that enables “green”
commutes
2. Public Transit Data and Intelligent insights for
commuters
3. Multimodal Transport – Car, 2-wheeler
(motorized and non-motorized), Rail, Road, Air,
Sea and how can technology bring it all
together.
4. PAYD Insurance and technologies that enable
it.
5. In Vehicle Digital Assistants – Example “Hello
Hector” from MG Motors
6. The In-Vehicle-Infotainment unit has the 3rd
screen that has the potential to augment
human productivity on the go as well as
extend her digital life. If Alexa manages the
home, then a smart digital assistant should
manage her boss’s commute and work. I
presume if both are friendly to each other, life
will be better.
SUSTAINABILITY IS THE X-FACTOR FOR
MOBILITY
With enhanced emission norms for vehicles, it still
raises a lot of questions on the carbon trail that
these vehicles generate. We know for a fact that
the pathogens we perpetrate in our ecosystem is
partly caused by irresponsible emissions.
| SEPTEMBER ISSUE 2020
At the end, sustainability is common sense. Why
do we need multiple cars per family (especially
the big ones)? Why can’t we instead improve
our shared mobility’s safety and health aspects?
Why should we not tax multiple cars in families?
(just like you have Pay-as-you-Drive Insurance
premiums, should not there be Pay-as-you-Own
Tax?).
There’s lots to be done on our own sense of
“affluence” and the “consumption” that goes
with it.
WHAT IF WORK FROM HOME OR ANYWHERE,
BECAME AN ACCEPTED NORMAL?
With path breaking innovations happening in
communication and collaboration
technologies, we are all getting used to
working smarter and better and our
customers/consumers are doing so as well.
If we talk about in person meetings, then it is
quite likely we will be able to holoport our
digital twins to our meeting place on the
other side of the planet in some time, in the
not so distant future.
90% of our requirements are today coming to
our doorstep.
And, if I do meet Mr. Jules Verne, I will request
him to rewrite his fantasy by christening it
“Around the World in Eight Minutes.”
R R DASGUPTA
Is an industry professional who
currently works with
MICROSOFT CORPORATION
The views expressed in this
article are personal and does
not in any way represent the
views of the companies he is
associated with
PG 25
 PERSPECTIVE

AUTOMOBILE
SUBSCRIPTIONS
BUSINESS MODEL FOR EV FUTURE?

The automotive industry is responding to the subscription based model by developing its own unique,
customized subscription offerings. In addition to being highly flexible, automobile subscription
programs are perceived as being more cost-effective than traditional car leases, rentals, or outright
purchases. They seem tailor-made for groups like new immigrants, expats, and millennials who want
simple, economical, hassle-free temporary mobility solutions with easy cancellation and return policies.
They appear made-to-order for vehicle enthusiasts who are keen on trying out a new car every month,
without necessarily burning a hole in their pockets. And, finally, they seem ideal for the average
customer who would, one imagines, be pleased to avoid dealing with cumbersome car
ownership/rental/lease processes. With leading automobile players launching subscription plans, it is
time to understand if this is a sustainable model for enhancing the EV future. Let' s find out…

| SEPTEMBER ISSUE 2020 PG 26

 AKASH GUPTA
CEO & CO-FOUNDER, ZYPP ELECTRIC
MOBILITY
Subscription models have become the new normal
even for the automobile industry, especially in metro
cities. People are now more inclined towards renting a
vehicle over buying one. The flexibility of plans and
options have contributed profoundly to the growth of
automobile subscriptions.
With global auto sales declining owing to the onset of
the pandemic, COVID-19, 2020 is all set to see a steep
rise in the adoption of vehicle rentals or subscription
models, especially in the two-wheeler segment. The UK,
the USA, India, and Australia continue to be the focal
points in the automobile subscription landscape. India,
unlike other business sectors, has been very agile and
prominent in proving its might in the automobile
subscription model.
RISE OF AUTO RENTAL AND SUBSCRIPTION
MODELS DURING COVID-19 ERA
Owing to the drastic change in how people and
businesses are working ever since the pandemic has hit
geographies, a shift in mobility practices has also been
noticed across the globe, and India is no exception.
Due to the negative impact of the pandemic on
economies, auto sales are projected to decline by as
much as 20% in the current fiscal. People who earlier
had plans to buy new cars or two-wheelers have put a
hold on their actions and shared mobility, on the other
hand, is also facing a stern blow due to the growing
fear of contamination. To top all this, restrictions on
public transport have led people to look for alternatives
that are easy to avail and at the same time affordable to
opt for. And all these factors have created a better
ground for more people leaning towards rental mobility
from other forms of mobility options.
The Indian middle-class population has turned towards
renting automobiles owing to flexible and affordable
subscription packages, perks, and switching models
seamlessly as and when he/she wants to, which aren’t
available in the case of vehicle ownership. The rent-to-
own model has also become extremely popular owing
to lower initial investment and fewer liabilities.
When scrutinizing the auto rental and subscription
space, two-wheelers are seen to capture a higher
ground over four-wheelers owing to safety concerns,
lower subscription rates, and the ever-growing demand
for on-demand last-mile and hyperlocal delivery. Auto
rental businesses are increasing their two-wheeler fleet
to match the overwhelming demands of the market.
| SEPTEMBER ISSUE 2020
EVS AND SUBSCRIPTION-BASED BUSINESS MODEL
With the burgeoning adoption and popularity of Electric
Vehicles (EVs) and the current elevation in the
automobile subscription model, EV subscriptions have
gone up tremendously in India in the past few months.
More and more rental mobility startups are vouching for
EVs. The recent push by Governments both at the
center and states, like FAME-II and the most recent
Delhi EV Policy financing has become easier. The fact
that EVs are more sustainable and eco-friendly apart
from being economical, has further contributed in favor
of EV adoption.
Last-mile delivery, on-demand, and hyperlocal delivery
scopes have flourished manifolds during the COVID-era
starting early 2020. This has also resulted in a steep
rise in demand for two-wheeler EV rentals, owing to
better financing options, ease of mobility, and
ecological merit. The recent EV policy announced by
the Delhi government where lucrative incentives are
promised on EVs, starting from scrapping benefits to
easing road taxes, and more, has spurted the adoption
of EVs among delivery boys, on-demand, and
hyperlocal delivery start-ups, etc. Given the fact that
renting an EV is way more cost-effective as compared
to ICE vehicles, as refuelling with petrol or diesel isn’t a
necessity, adoption rates are expected to surge further,
especially among Indian middle-class and delivery
executives.
With India’s aim to be an EV-led mobility nation in the
imminent years, the rental or subscription-based
mobility is all set to involve a larger share of EVs
starting now. Rental or subscription-based mobility is
sure to gain more adoption among middle-class
Indians, especially now that public transportation and
shared mobility is under heavy scrutiny. Flexible rental
options and the provision to own a vehicle after a
certain subscription period has changed the way
people perceived the whole rental mobility practice in
yesteryears. If the provisions declared in the blueprints
of the EV policies are implemented appropriately across
the nation with a fair center-state collaboration in terms
of implementing the EV initiatives, an EV-led future is
not far away for the Indian roads.
PG 27
 SUNIL GUPTA
MD & CEO,
AVIS INDIA
Until recently, the electric car sector in India was one
without much of a success story. The bottleneck for
electric vehicles to dominate the automobile market
was due to its fiscally daunting acquisition. The cost of
an EV was twice that of its non-electronic counterparts.
However, of late, we have seen some green shoots in
this segment with tailwinds in favor of EVs.
Almost all the auto manufacturers are now eyeing an EV
lineup for their global portfolio. This may not make EVs
less expensive anytime soon, as they are powered by
expensive lithium-ion batteries.
However, there is one business model in discussion
now, which might make having an EV more feasible.
That is the availability of EVs on a subscription basis for
private as well as commercial customers.
WHAT IS THE PLAN?
Subscription model for EVs, however, an embryonic
concept, this wind of change has started to blow
everywhere including India. The automakers are now
creating a new patchwork of novel subscription models
and convenience for interested users of EVs to
experience their myriad of benefits. For instance, Tata
Motors recently launched a subscription scheme for its
Nexon EV making electric SUVs more affordable for
customers.
A recent report also suggests that the Indian electric
car market is projected to reach $707.4 million by 2025.
On the other hand, with the market size projected to
grow at a CAGR of 15-20%, subscription-based car
rentals are swiftly gaining traction with a significant
percentage of people opting for it. Realizing that EVs
are the future, and that vehicle manufacturers are
enthusiastic about the possibilities in subscription
model for EVs, this may turn out to be a lucrative market
for India’s automobile industry.
WHY GO FOR A SUBSCRIPTION MODEL?
Car subscriptions offer a hybrid leasing and renting
alternative to ownership, which is still considered a
status symbol in India. These models are more flexible
and short-term than a traditional lease. Its upfront cost
is usually lower, thus making it more cost-effective than
outright purchases.
These subscription models are tailor-made for groups
like new immigrants, expats, and millennial' s who want
simple, economical, hassle-free and temporary mobility
solutions with easy cancellation and return policies.
| SEPTEMBER ISSUE 2020
Car subscriptions are also suitable for those who like to
experiment and prefer variety rather than sticking with
one car for a long time. In many cases, they swap out
one model of car for another, without affecting the
underlying subscription.
Besides this, subscription models are convenient for
those in transferable jobs, as it eliminates the need to
transport their car from one place to another as they
move. Thus, you pay for access to transportation that
accommodates your specific, ever-changing needs.
Furthermore, subscriptions usually offer comprehensive
insurance coverage, on-call roadside assistance plus
free maintenance and periodic servicing. Doorstep
delivery and collection of vehicles as needed is another
added benefit. Additionally, customers can have their
own EV charger installed at their home or office, as
convenient. The subscription models seems to take
care of every practical expenditure related to owning a
car.
Another key reason for subscription-based models is
that brands are using new-age technologies to make
the experience seamless for customers. Powered by
Artificial Intelligence and Machine Learning Algorithms,
car rental brands are leveraging best-in-class
technology to ensure the safety and hygiene of
customers. The user experience goal is to present a
simple, streamlined continuity, with programs that add
value, using just a mobile app.
Conclusion
In times to come, the electric vehicle market will bloom.
And one area that can be explored is how used EVs can
find their way into the vehicle subscription universe in
the near future. For EV manufacturers, it would present
an opportunity to boost the utilization rate of EVs, both
in premium and mass market categories. If backed by
smart EV infrastructure, and other advanced
technological solutions that ensure the EVs are always
charged and ready-to-go, then the result could be a
match made in subscription heaven. Together the
automakers as well as car rental service providers can
popularize EV access and use in India providing
customers experience ‘usership’ over ‘ownership’ in the
rapidly growing era of shared economy.
PG 28
 AMIT KAUSHIK
EXECUTIVE DIRECTOR (GROWTH),
ENERGY EFFICIENCY SERVICES
LIMITED
Mobility is one of the fundamental building blocks of
modern-day society. The ability to commute swiftly has
enabled a metamorphosis and true to the perpetually
mutable nature of our world, mobility itself is now
undergoing a transition. The internal combustion
engines are giving way to more efficient and eco-
friendly electric powertrains. The underlying drivers for
this shift is the need for increased energy security,
lowering carbon emissions and a consideration for
public health. Electric vehicles have emerged as a
viable solution to meet these goals and have been in
spotlight in the last few years.
EVs offer an array of advantages over their ICE
counterparts. With zero tail pipe emissions, there is a
significant reduction in GHG emissions. EVs also have
considerably lower running costs of INR 0.90 per km, as
compared to INR 5-6 per km for ICE vehicles. They are
also remarkably cost effective to maintain because of
less number of components. They also offer a much
more tranquil driving experience, with less noise
pollution because of the nature of electric powertrains,
which doesn’t depend on combustion. Consequently,
the government too has been working towards
increasing the proliferation of EVs and has made
significant headway with multiple favourable polices
and incentives. The Faster Adoption and Manufacturing
of Hybrid and Electric Vehicles (FAME)- II scheme plans
to support the deployment of 10 lakh electric two
wheelers, five lakh three wheelers, 55,000 four
wheelers and 7,000 buses. Furthermore, several states
have drafted strategies for transforming their mobility
systems and a host of them have formulated or are in
the process of formulating their EV policies. Targeted
measures have also been taken by the government to
bring down the cost of EVs. Vehicles without pre-fitted
batteries are now allowed to register and EVs have
been completely exempted from registration fees in
many states. The GST reduction and the large scale
establishment of charging infrastructure are also steps
in the right direction.
The mobility transformation however, goes beyond
technology and mechanical parts. Asset based
ownership is slowly fading away to the annals of
history, as we witness the emergence of a new
subscription based model. This new innovation in
mobility solutions has found synergy with the rising
urban population that is conscious of factors like
affordability and time. Consumers are also beginning to
prefer user ship over ownership in the dynamic world of
shared economy. While the subscription model has
garnered great interest, it still remains in a nascent
phase with tremendous untapped potential, especially
for E-Mobility.
| SEPTEMBER ISSUE 2020
The current model of upfront ownership of cars needs
to evolve, for electric mobility to proliferate. To
increase customer confidence in EVs and convince
them to switch from ICE vehicles, the value proposition
must be perceived as better and simpler for them
personally. The subscription model, offers a myriad of
benefits. First and perhaps the most important benefit is
the mitigation of risk. As consumers adopt a new
technology such as an EV, opting for a subscription
model obviates the risk of high upfront investment. If
for some reason, an electric vehicle is not a good fit,
the consumer is able to opt out, which makes the
subscription model highly attractive. It also means that
more and more consumers can experience the benefits
of EVs, without a prohibitive capital investment. This
translates into increased consumer confidence and
word of mouth spread of the superior value proposition
of EVs.
Rapid adoption of EVs is critical for enabling an
alternate mobility future for India and while EVs are
unlocking opportunities in product development and
service delivery, it will be important to address the
short-term and long-term barriers for mass adoption of
EVs. Issues like range anxiety, high upfront costs and
lack of charging infrastructure have to be obviated, with
new and innovative solutions. There is also a need to
make the consumers aware of the merits of eMobility,
which will require proactive outreach and a compelling
narrative. Conducive policies and new business models
such as subscription, which can bring down the cost of
using EVs, will be pivotal to enable a large scale and
rapid adoption of eMobility.
The Faster Adoption and
Manufacturing of Hybrid and
Electric Vehicles (FAME)- II
scheme plans to support the
deployment of 10 lakh
electric two wheelers,
five lakh three
wheelers, 55,000
four wheelers
and 7,000
buses."
PG 29
 PRAJYOT SATHE
INDUSTRY MANAGER - MOBILITY,
FROST & SULIVAN
In 2019, the global EV market experienced a modest
8.8% y-o-y growth, slowest in the decade with
sales of 2,281,355 units. This was mainly due to the
sales slowdown in China following the phase out
of nearly 60% of incentives. The market in Europe grew
by 68% y-o-y in the year, registering the
highest jump ever. China remained the market leader
with over 52.5% market share (or 1,195,606
units), followed by Europe (591,303 units) and the
United States (320,062 units) with 26.0% and 14%
shares respectively. A total of 345 models—221 BEVs
and 124 PHEVs—was available for sale in 2019.
Over 320,000 public charging stations, including both
AC and DC charging stations, were installed
globally.
Government subsidies, growing charging infrastructure,
OEM interest in introducing exciting models, emerging
electric mobility business models have acted as key
drivers in this market. The uptake ofelectric vehicles is
highly dependent on emerging business models which
is the main factor that influences the buyer’s decision.
All the key OEMs are working on developing business
models as a service provider in the form of “integrated
mobility service provider”. The biggest challenge for
the acceptance of EVs is its limited range, charging
infrastructure, high cost and resale value of the car.
Considering the major challenges, the industry is
moving towards adoption of following business
models which will help increase the EV penetration in
the coming 3-5 years.
ALL-INCLUSIVE EV PERIODIC SUBSCRIPTION
(INCLUDING SERVICE, MAINTENANCE AND
REPAIR)
OEMs are likely offer periodic subscription (identical to
a lease) for users to drive EV for a specific time period
which will not require the user to pay any type of
upfront cost at the time of acquisition.
A monthly fee would be applicable depending on the
time period of usage the kilometres that are
driven. The period may vary from 3-5 year which would
be sufficient to cover 70-80% of the cost of
the vehicle.
MILLION MILE WARRANTY
Electric vehicle buyers are sceptical about the life of a
battery which is the main component on the vehicle
that decides value and usage. OEMs are therefore
proposing “million mile warranty” which
| SEPTEMBER ISSUE 2020
will offer warranty on battery packs up to a maximum of
million miles. Currently the cost of battery varies
between $100-$150/kWh which is likely to reduce by
40-50% in next 3-4 years which has given OEMs the
confidence to sell such type of a warranty.
ASSURED BUYBACK VALUE
EV buyers are uncertain about the resale value which
makes it difficult for the buyer to make a
decision considering its end of life. Therefore, OEMs
will offer assured buy back value at the time of
purchase which is likely to be between 30-35% of the
cost for a period of 4 years and 60,000 Kms for
C segment mass market vehicle.'
ADDITIONAL SERVICE PACKAGES
OEMs are offering additional service packages that
include services such as free charging, loaner
vehicles, interoperable charging network and
associated services. OEMs are working on establishing
their network across different geographies
predominantly to offer add-on service to its buyers by
installing charging stations at every dealership. The
package also offers a loaner vehicle which will enable
the EV driver to travel long distances to meet long
range requirements.
The Faster Adoption and
Manufacturing of Hybrid and
Electric Vehicles (FAME)- II
scheme plans to support the
deployment of 10 lakh
electric two wheelers,
five lakh three
wheelers, 55,000
four wheelers
and 7,000
buses."
PG 30
 PERSPECTIVE
SALE OF ELECTRIC VEHICLES
WITHOUT BATTERIES:
WHAT ARE THE MISSING PIECES THAT
PUZZLED THE MANUFACTURERS?

Batteries account for almost half the cost of an EV, making them vastly more expensive than a combustion
engine vehicle of similar performance. If the cost of batteries is delinked from that of the vehicle, electric two-
and three-wheelers could cost less than fossil-fuel-powered vehicles. The price of an EV with a battery deters
it from becoming a mass product.

Recently, The road transport and highways ministry allowed the sale of electric two- and three-wheelers
without a pre-fitted battery to bring down the upfront cost of the cleaner vehicles making them more
affordable. However, EV makers were left puzzled by this announcement as this brings forth the question that
if EVs were sold without batteries how the subsidies under the Centre' s EV adoption policy would be
determined. Under its Faster Adoption and Manufacture of Electric Vehicles (FAME) Policy, the government
incentivises the purchase of EVs by giving direct purchase subsidies linked to the capacity of the battery on
the vehicle. Read on to find what our experts have to say

| SEPTEMBER ISSUE 2020 PG 31


ASHISH MODANI
VICE PRESIDENT CORPORATE
RATINGS, ICRA LIMITED
I n d i a n ma r k e t i s a p r i c e s e n s i t i v e ma r k e t a n d “ e c o n o mi e s
o f s c a l e ” i s c r u c i a l f o r a n a u t o mo t i v e OE M t o p r i c e i t s
mo d e l c o mp e t i t i v e l y . At p r e s e n t , p r i c e s o f e l e c t r i c
v e h i c l e ( E V) r e ma i n s s i g n i f i c a n t l y h i g h e r t h a n t h e i r I CE
c o u n t e r p a r t s wh i c h a l o n g wi t h l i mi t e d r a n g e a n d l a c k o f
p u b l i c c h a r g i n g i n f r a s t r u c t u r e r e s u l t e d i n mi n i ma l E V
p e n e t r a t i o n i n t h e c o u n t r y . Go v e r n me n t s u p p o r t i n t h e
f o r m o f d i r e c t / i n d i r e c t f i n a n c i a l i n c e n t i v e a s we l l a s
r e g u l a t i o n wi l l b e c r u c i a l f o r E Vs t o g a i n t r a c t i o n i n t h e
I n d i a n ma r k e t . I CRA e x p e c t s c e r t a i n a u t o mo t i v e
s u b s e g me n t s l i k e t h r e e - wh e e l e r s ( 3 W) , t wo - wh e e l e r s
( 2 W, e s p e c i a l l y s c o o t e r s ) , i n t r a c i t y b u s e s a n d s ma l l
c o mme r c i a l v e h i c l e s ( S CVs ) wi l l e me r g e a s e a r l y
a d o p t e r s d u e t o c o mp a r a b l e t o t a l c o s t o f o wn e r s h i p wi t h
I CE c o u n t e r p a r t s . Ho we v e r , E V p e n e t r a t i o n i s l i k e l y t o
r e ma i n l o w i n t h e p a s s e n g e r v e h i c l e ( P V) a n d h e a v y
t r u c k s s e g me n t . Ov e r t h e n e x t f i v e y e a r s , E V s wi l l
account for 8-10% of new vehicle sales in 2W and intra-
c i t y b u s e s , wh e r e a s i t s s h a r e wi l l r e ma i n a b o u t 3 - 5 % i n
t h e P V s e g me n t .
E a r l i e r , we h a d a n t i c i p a t e d t h a t h y b r i d v e h i c l e t o g a i n
s t r o n g e r t r a c t i o n i n t h e d o me s t i c ma r k e t , t h a n k s t o l o we r
t a x e s a n d a d d i t i o n a l F AME s u b s i d y . Ho we v e r , wi t h
r e v i s e d t a x a t i o n s t r u c t u r e u n d e r GS T wh e r e E V a t t r a c t s
5 % d u t y a s c o mp a r e d t o 4 3 % f o r h y b r i d c o u n t e r p a r t s ,
a l o n g wi t h s u b s t a n t i a l r e d u c t i o n i n s u b s i d y u n d e r F AME
II for hybrids - hybrid vehicles have lost their
attractiveness.
I n t h e n o t i f i c a t i o n d a t e d Au g u s t 1 2 , 2 0 2 0 – Mi n i s t r y o f
Ro a d Tr a n s p o r t & Hi g h wa y s ( Mo RTH) h a s a l l o we d
r e g i s t r a t i o n o f e l e c t r i c v e h i c l e s wi t h o u t b a t t e r y . T h e i d e a
wa s t o a d d r e s s o n e o f t h e k e y b a r r i e r s f o r E V a d o p t i o n
i . e . h i g h u p f r o n t c o s t b y s e g r e g a t i n g b a t t e r y c o s t ( wh i c h
accounts for about 40% of vehicle cost) thereby
l o we r i n g p r i c e o f E Vs b e l o w I CE c o u n t e r p a r t s i n f e w
c a s e s . Ba t t e r y s wa p p i n g a l s o s o l v e s t h e p r o b l e m o f
r a n g e a n x i e t y , i f t h e r e a r e a d e q u a t e b a t t e r y s wa p p i n g
s t a t i o n s i n a r e g i o n . B a t t e r y s wa p p i n g i s p r i ma r i l y
t a r g e t e d a t t h e c o mme r c i a l s e g me n t , e s p e c i a l l y i n t h e
t h r e e - wh e e l e r s , s ma l l c o mme r c i a l v e h i c l e s a n d d e l i v e r y
b i k e s ( 2 w) . Th i s d i r e c t i v e h a s p a v e d t h e wa y f o r
a d o p t i o n o f t h e b a t t e r y s wa p p i n g mo d e l , wh e r e b a t t e r i e s
c a n b e p r o v i d e d o n r e n t / l e a s e a n d c a n b e s wa p p e d a t
a u t h o r i z e d o u t l e t s . Wh i l e t h e i n t e n t i s a p p r e c i a b l e , i t a l s o
r a i s e s c o n c e r n s r e g a r d i n g v i a b i l i t y o f b a t t e r y s wa p p i n g
mo d e l b e c a u s e o f c h a l l e n g e s r e g a r d i n g s t a n d a r d i z a t i o n
o f b a t t e r y s p e c i f i c a t i o n s , t e c h n o l o g y s h a r i n g b e t we e n
OE Ms , f i n a n c i n g a v a i l a b i l i t y , s u b s i d y s h a r i n g me c h a n i s m
and tax structure.
E c o n o mi e s o f s c a l e i s a k e y d e t e r mi n a n t t o p r i c e a
p r o d u c t c o mp e t i t i v e l y , a n d i n c o n t e x t o f b a t t e r y
s wa p p i n g , i t c a n o n l y b e a c h i e v e d b y c o l l a b o r a t i o n
| SEPTEMBER ISSUE 2020
b e t we e n OE Ms f o r s t a n d a r d i z i n g b a t t e r y s p e c i f i c a t i o n s .
S t a n d a r d i z a t i o n o f b a t t e r y s p e c i f i c a t i o n s f o r s wa p p i n g i s
akin to the standardization of EV charger specifications.
Un l e s s t h e r e i s s t a n d a r d i z a t i o n o f b a t t e r y s p e c i f i c a t i o n
a c r o s s OE Ms , me a n i n g f u l s u c c e s s i n t h e b a t t e r y s wa p p i n g
a d o p t i o n i s u n l i k e l y . F o r e x a mp l e , i n J a p a n , f o u r p r o mi n e n t
t wo - wh e e l e r OE Ms h a v e c o l l a b o r a t e d t o d e v e l o p a
s t a n d a r d s wa p p a b l e b a t t e r y p l a t f o r m f o r t wo - wh e e l e r s .
I CR A b e l i e v e s t h a t b a t t e r y d e s i g n a l o n g wi t h b a t t e r y
ma n a g e me n t s y s t e m ( BMS ) i s c o r e t e c h n o l o g y o f a n y
OE M/ p l a t f o r m a n d h e n c e i t ma y b e d i f f i c u l t f o r OE Ms t o
s h a r e t h e m wi t h c o mp e t i t o r s , wh i c h ma y l i mi t t h e s u c c e s s
o f b a t t e r y s wa p p i n g i n I n d i a . Mo r e o v e r , i n t h e b a t t e r y
s wa p p i n g mo d e l , a s i z a b l e s h a r e o f o v e r a l l v a l u e a d d i t i o n
( d u e t o b a t t e r y ) wi l l b e o u t s i d e s c o p e o f OE Ms wh i c h wi l l
i mp a c t t h e i r p r i c i n g f l e x i b i l i t y a n d h e n c e p r o f i t a b i l i t y i n t h e
l o n g r u n . Gi v e n t h e i mp o r t a n c e o f b a t t e r y h a r d wa r e a n d
s o f t wa r e i n o v e r a l l p e r f o r ma n c e o f a n E V, b a t t e r y
s wa p p i n g wi l l f a c e s t r o n g r e s i s t a n c e i n t e c h n o l o g i c a l
c o mp l e x p r o d u c t s l i k e c a r s o r p e r f o r ma n c e t wo - wh e e l e r s .
Go g o r o , a Ta i wa n b a s e d 2 W OE M a n d o n e o f t h e mo s t
s u c c e s s f u l b a t t e r y s wa p p i n g s o l u t i o n p r o v i d e r s a l s o h a s
p r o p r i e t a r y b a t t e r y s p e c i f i c a t i o n s wh i c h c a n ’ t b e d i r e c t l y
u s e d i n c o mp e t i t o r mo d e l s . I n t h e 3 W s e g me n t , d u e t o
r e l a t i v e l y l e s s c o mp l e x i t y o f v e h i c l e d e s i g n , b a t t e r y
s wa p p i n g ma y g a i n a c c e p t a n c e b u t i t s s u c c e s s i n o t h e r
a u t o mo t i v e s e g me n t s i s d o u b t f u l .
F i n a n c i n g i s o n e o f t h e k e y d r i v e r s o f a u t o mo b i l e s a l e s ,
and residual value of a vehicle after 3-4 years is a key
d r i v e r o f f i n a n c i n g p e n e t r a t i o n . E Vs a r e g e n e r a l l y p r i c e d a t
p r e mi u m, a n d t h e i r r e s a l e v a l u e t a k e s c o n s i d e r a b l e h i t
a f t e r g e t t i n g o u t o f t h e s h o wr o o m a s c o mp a r e d t o I CE
c o u n t e r p a r t s . Mo d a l i t y o f v e h i c l e f i n a n c i n g i n a b a t t e r y
s wa p p a b l e mo d e l , wh e r e c o r e b a t t e r y i s o wn e d / l e a s e d b y
third parties and financiers only have control over residual
vehicles is another challenge for the industry. In France,
Re n a u l t h a d e a r l i e r wo r k e d o n a b u s i n e s s mo d e l wh e r e i n
t h e i r E V mo d e l ‘ Z o e ’ c a n b e s o l d wi t h o u t b a t t e r y wh e r e a s
b a t t e r y wa s g i v e n o n a mo n t h l y l e a s e . Ho we v e r , R e n a u l t
also subsequently shifted to outright sales of vehicles by
d i t c h i n g t h e mo n t h l y l e a s i n g mo d e l . E v e n Ch i n e s e OE Ms
l i k e Xp e n g a n d Ni o h a v e s t a r t e d o f f e r i n g b a t t e r i e s o n
l e a s e , b u t s u c c e s s o f t h a t r e ma i n s t o b e s e e n . I n I n d i a , I CE
vehicle financing is currently available at sub 9% and
g e t t i n g s i mi l a r f i n e r a t e s f o r E V c o u n t e r p a r t s r e ma i n s a
c h a l l e n g e i n t h e me d i u m t e r m. Gi v e n l i q u i d i t y c r u n c h a n d
r i s k a v e r s i o n i n NBF C s e c t o r , I CRA b e l i e v e s t h a t r e t a i l
f u n d i n g wi l l b e c o me a n o t h e r b i g r o a d b l o c k f o r b a t t e r y
s wa p p i n g t o g a i n a n y me a n i n g f u l t r a c t i o n i n t h e n o n -
c o mme r c i a l s e g me n t o f t h e I n d i a n ma r k e t .
Th e r e a r e o t h e r c o n c e r n s l i k e t h e me c h a n i s m o f s u b s i d y
s h a r i n g a n d i n v e r t e d d u t y s t r u c t u r e , wh e n b a t t e r i e s a r e
s o l d s e p a r a t e l y . At p r e s e n t t h e r e i s n o c l a r i t y r e g a r d i n g
b i f u r c a t i o n o f F AME I I s u b s i d y b e t we e n a v e h i c l e
ma n u f a c t u r e r a n d b a t t e r y p r o v i d e r . Al s o , GS T o f E V
v e h i c l e s i s 5 % a s c o mp a r e d t o 1 8 % f o r E V b a t t e r i e s a n d
t h i s c o u l d r e s u l t i n c o s t e s c a l a t i o n . Mo r e o v e r , i n c a s e o f
f i r e mi s h a p d u e t o s h o r t - c i r c u i t i n b a t t e r y , p r o d u c t l i a b i l i t y
a n d i n s u r a n c e c o u l d b e c o me a n o t h e r a r e a o f c o n f l i c t .
I CR A b e l i e v e s t h a t wh i l e s o me o f t h e s e i s s u e s c a n b e
r e s o l v e d b y c l a r i f i c a t i o n f r o m t h e g o v e r n me n t ; b u t ,
financing and battery standardization are big roadblocks
f o r i n d u s t r y wh i c h s h o u l d b e a d d r e s s e d a p p r o p r i a t e l y f o r
b a t t e r y s wa p p i n g t o g a i n a n y me a n i n g f u l t r a c t i o n i n t h e
me d i u m t e r m.
PG 32

N.MOHAN,
DEPUTY GENERAL MANAGER - (HEAD-
EV CHARGING INFRASTRUCTURE),
ENERGY EFFICIENCY SERVICES
LIMITED
I n Au g u s t , Th e Mi n i s t r y o f Ro a d Tr a n s p o r t a n d Hi g h wa y s
( Mo RTH) c l a r i f i e d t h a t a u t o mo b i l e f i r ms c o u l d a t t h e i r
d i s c r e t i o n s e l l e l e c t r i c v e h i c l e s wi t h o u t t h e b a t t e r i e s ,
and that such vehicles can be registered by the buyer.
Th i s c l a r i f i c a t i o n wa s a i me d a t “ t h e p r o mo t i o n o f e l e c t r i c
t wo a n d t h r e e - wh e e l e r s t o d e l i n k t h e b a t t e r y c o s t f r o m
t h e v e h i c l e c o s t ” . I t i s a we l l - k n o wn f a c t t h a t t h e h i g h
u p f r o n t c o s t o f E Vs i s d u e t o t h e h i g h p r i c e o f t h e b a t t e r y
p a c k , wh i c h c o n s t i t u t e s 4 0 - 6 0 p e r c e n t o f t h e v a l u e o f a n
E V. Th i s wi l l i n t u r n g i v e a b o o s t t o b a t t e r y s wa p p i n g a n d
t h e ma r k e t wi d e i n t e r o p e r a b i l i t y o f b a t t e r i e s .
Th i s n o t i f i c a t i o n c o me s 2 mo n t h s a f t e r t h e a me n d me n t
d a t e d 0 8 t h J u n e 2 0 2 0 i s s u e d b y t h e Mi n i s t r y o f P o we r t o
the guidelines and standards for charging electric
v e h i c l e s r e c o g n i z e s “ Ba t t e r y Ch a r g i n g S t a t i o n s ” a n d
“ Ba t t e r y S wa p p i n g S t a t i o n s ” . Th e s e a r e d e f i n e d a s a
s t a t i o n wh e r e a n y e l e c t r i c v e h i c l e c a n g e t i t s d i s c h a r g e d
battery or partially charged battery replaced by a
charged battery.
I t i s a we l c o me mo v e t o b r i n g i n b a t t e r y s wa p p i n g , wh i c h
wi l l a l l o w E Vs t o c o s t c o mp e t e wi t h I CE v e h i c l e s . Mo s t o f
t h e d e ma n d f o r E Vs wi t h o u t b a t t e r i e s c o u l d c o me f r o m 2
a n d 3 Wh e e l e r s f o l l o we d b y u r b a n f r e i g h t s d e l i v e r y
v e h i c l e s , wh e r e a s h o r t e r t u r n a r o u n d t i me p r e s e n t e d b y
b a t t e r y s wa p p i n g c a n p r o v e t o b e a s i g n i f i c a n t
advantage.
3 Mo s t c i t i e s i n I n d i a h a v e t h e a d v a n t a g e o f c o mp a c t
urban designs that have helped reduce travel distances.
Ho we v e r , c o n g e s t e d s t r e e t s a n d f i n d i n g p a r k i n g a t t h e i r
d e s t i n a t i o n s c o u l d r e ma i n a ma j o r c h a l l e n g e f o r E V
c h a r g i n g . Wi t h s wa p p a b l e b a t t e r i e s , E V u s e r s ma y p a r k
t h e i r v e h i c l e ( 2 W a n d 3 W) a wa y f r o m t h e s wa p p i n g
s t a t i o n a n d t h u s r e c h a r g e o r s wa p t h e i r b a t t e r i e s a s p e r
t h e i r c o n v e n i e n c e . Th e y ma y e v e n c a r r y t h e b a t t e r i e s t o
wo r k / h o me t o r e c h a r g e t h e m. Al s o , i n c a s e o f s wa p p a b l e
b a t t e r i e s , c h a r g i n g a t a s wa p p i n g s t a t i o n c a n b e d o n e i n
a c o n t r o l l e d e n v i r o n me n t t h u s a v o i d i n g a d v e r s e i mp a c t
of charging on battery life.
Wh i l e mo s t o f t h e b a t t e r y t e c h n o l o g i e s a r e
c o mme r c i a l i z e d c u r r e n t l y , ma n y o f t h e c h e mi s t r i e s a r e
s t i l l u n d e r R&D s t a g e . F o r i n s t a n c e , l e a d a c i d , L i t h i u m
| SEPTEMBER ISSUE 2020
i o n b a t t e r i e s , Ni c k e l c a d mi u m b a t t e r i e s , e t c . h a v e b e e n
u s e d f o r q u i t e s o me t i me n o w a n d h a v e ma t u r e d .
Te c h n o l o g i e s l i k e NMC, NCA, L MO, L TO, e t c . b e l o n g i n g t o
t h e L i t h i u m i o n f a mi l y , a l t h o u g h c o mme r c i a l i z e d , a r e s t i l l
u n d e r R&D f o r i mp r o v i n g t h e i r p e r f o r ma n c e , e n e r g y
d e n s i t i e s a n d o t h e r s p e c i f i c a t i o n s . Wh i l e t h e e x a c t
p a t h wa y t o p r i c e r e d u c t i o n c a n n o t b e a s c e r t a i n e d wi t h
c e r t a i n t y , h o we v e r , r e s e a r c h a n d i n t e r a c t i o n wi t h i n d u s t r y
e x p e r t ’ s p o i n t s t o t h e f a c t t h a t b a t t e r y p r i c e s wo u l d r e d u c e
c o n s i d e r a b l y a n d mo s t o f t h e L i t h i u m i o n c h e mi s t r i e s
wo u l d r e a c h t o ~ $ 8 0 - 9 0 / k Wh a t a CAGR o f ~ 8 - 1 0 % b y 2 0 3 0
f u e l e d b y t e c h n o l o g i c a l i mp r o v e me n t s . T h i s wo u l d a l s o
c a u s e t h e p r i c e s o f E Vs t o p o s s i b l y d r o p f u r t h e r . S o ,
p r e s u ma b l y OE Ms c o u l d d r i v e t h i s t r a n s i t i o n i n b a t t e r y
t e c h n o l o g i e s t o d e v e l o p h i g h s p e e d a n d h i g h p e r f o r ma n c e
E Vs t o me e t t h e u s e r r e q u i r e me n t s . S o , s wa p p a b l e
b a t t e r i e s mo d e l o f r e c h a r g i n g wo u l d h a v e t o r e ma i n h i g h l y
c o s t c o mp e t i t i v e , a s b a t t e r y s t a t i o n o p e r a t o r s t h a t i n v e s t i n
b a t t e r i e s t o d a y , wo u l d b e c o mp e t i n g wi t h l e s s c o s t l y
b a t t e r i e s i n t h e l o n g t e r m, ma k i n g t h e i r b a t t e r i e s mo r e
e x p e n s i v e t h a n t h e ma r k e t .
To ma k e c o s t e c o n o mi c s v i a b l e t h e r e n e e d s t o b e a f l e e t
d r i v e n a p p r o a c h t o b a t t e r y s wa p p i n g , wi t h p r e d i c t a b l e r u n
t i me s a n d a r e d u c t i o n o f b a t t e r y c o s t o n c u s t o me r s .
An o t h e r b u s i n e s s mo d e l t h a t c a n b e e x p l o r e d wi t h d e -
linking the battery is providing the battery on deferred
p a y me n t s t h r o u g h OE Ms a n d E n e r g y Op e r a t o r s t o
c o n s u me r s wi t h a n a s s u r e d a v e r a g e r e s i d u a l v a l u e f o r
s wa p p a b l e b a t t e r i e s .
P r e s e n t l y , t h e mo v e t o d e - l i n k t h e b a t t e r y f r o m t h e e l e c t r i c
v e h i c l e h a s r a i s e d ma n y q u e s t i o n s f r o m t h e i n d u s t r y . T h e
ma j o r c o n c e r n i s t h e v e h i c l e ’ s e l i g i b i l i t y u n d e r F AME I I a s
the subsidy is directly linked to the battery size. The other
concern is warranty and safety of the products that are
difficult for the OEMs to provide without the battery.
These concerns are valid as per this new notification,
and clarifications will be required to overcome these
challenges.
Battery swapping could be scaled up by having modular
batteries that can be compatible with both 2W and 3W
segments and can make battery swapping feasible and
convenient in India. Looking at the stage in which EV
and battery technology is in India, standardization of
batteries may turn out to be counterproductive, as it may
stifle developments in battery design. Standardization for
any technology generally happens after a technology or
design has matured and received market wide
PG 33
acceptance. That is not the case with electric vehicle
batteries yet. The energy density, shape, size, mounting
of the battery and its communication with the battery
management system are still evolving. Moreover,
different manufacturers approach the battery design LOOKING AT THE STAGE IN WHICH
differently. Their vehicle platforms, powertrains, and
target markets are important factors in deciding battery
EV AND BATTERY TECHNOLOGY IS
performance expectations. However, endorsements by IN INDIA, STANDARDIZATION OF
OEMs for batteries that are compatible with their EVs can BATTERIES MAY TURN OUT TO BE
bring in confidence in consumers to adopt battery
swapping. Additionally, even ARAI certification can
COUNTERPRODUCTIVE, AS IT MAY
assure consumers that the batteries are meeting basic STIFLE DEVELOPMENTS IN
safety requirements. It must be made clear that battery BATTERY DESIGN.."
swapping as a model has its advantages, however, till
the battery technology matures, it makes sense for the
government to promote it in a manner where individual
OEMs drive it.

BHARATH DEVANATHAN
SVP EV & GROWTH, BOUNCE
Th e r e c e n t n o t i f i c a t i o n b y t h e Mi n i s t r y o f R o a d T r a n s p o r t
a n d Hi g h wa y s ( Mo RT H) t o a l l o w t h e s e l l i n g o f E l e c t r i c 2 -
W & 3 - W c a n f u r t h e r c a t a l y z e t h e t r a n s i t i o n t o wa r d s e -
mo b i l i t y , a n d s u p p o r t I n d i a t o b e c o me t r u l y s e l f - r e l i a n t i n
t h e e n t i r e v a l u e c h a i n o f E V ma n u f a c t u r i n g i n c l u d i n g
c h a r g i n g a n d s wa p p i n g s e r v i c e s . Th i s wi l l e l i mi n a t e t h e
c o s t o f b a t t e r i e s wh i c h c o n s t i t u t e a b o u t 3 0 %- 4 0 % o f t h e
electric vehicle cost.
On t h e o t h e r h a n d , t o p r o v i d e e f f i c i e n t s wa p p i n g s e r v i c e s
e n e r g y s e r v i c e p r o v i d e r s / s wa p p i n g s t a t i o n s n e e d t o
ma i n t a i n a s t o c k o f b a t t e r i e s , a n d b a t t e r i e s a t t r a c t 1 8 % o f
GS T wh i l e E l e c t r i c Ve h i c l e s , c h a r g e r s a n d c h a r g i n g
s t a t i o n s a t t r a c t o n l y 5 %. Al t h o u g h b a t t e r i e s a r e s e p a r a t e d
f r o m v e h i c l e s , a h i g h GS T r a t e o f 1 8 % o n c h a r g i n g a n d
s wa p p i n g s e r v i c e s wi l l i n c r e a s e t h e o p e r a t i o n a l c o s t o f
E Vs f o r t h e e n d - u s e r s .
Th e r e f o r e , s t a n d a r d i z a t i o n o f b a s i c a t t r i b u t e s , r e d u c t i o n o f
t h e r a t e o f GS T o n E V c h a r g i n g a n d b a t t e r y s wa p p i n g
s e r v i c e t o 5 % f r o m t h e c u r r e n t r a t e o f 1 8 %, a n d r e d u c t i o n
o f GS T t o 5 % o n L i - I o n b a t t e r i e s u s e d f o r s wa p p i n g c a n
i mp r o v e b a t t e r y s wa p p i n g s e r v i c e s a n d a c c e l e r a t e E V
adoption.

Th o u g h t h e n o t i f i c a t i o n i n p r i n c i p l e b e n e f i t s t h e e n e r g y
service providers and fleet operators, it has troubled
ma n u f a c t u r e r s wi t h a c e r t a i n l e v e l o f u n c e r t a i n t y . Wi t h 7 2
e - 2 W mo d e l s a n d 2 3 e - 3 W L i - I o n mo d e l s i n t h e I n d i a n
ma r k e t c u r r e n t l y , t h e l a c k o f a n y f o r m o f r e g u l a t i o n s o n
t h e s t a n d a r d i z a t i o n o f b a t t e r y a n d mo d e o f c h a r g i n g h a s
c r e a t e d c o n f u s i o n a mo n g s t ma n u f a c t u r e r s , e n e r g y
s e r v i c e p r o v i d e r s a n d c o n s u me r s . Ho we v e r , t e c h n o l o g y
s t a n d a r d i z a t i o n mi g h t a c t a s a r o a d b l o c k o n i n n o v a t i o n
and standardization on basic attributes like size and
we i g h t c a n s o l v e a f e w a s p e c t s o f t h e p r o b l e m.

| SEPTEMBER ISSUE 2020 PG 34

PG 23

RAHUL GOYAL
FOUNDER, REPUBLIC MOTORS
Th e g o v e r n me n t i s e f f o r t l e s s l y t r y i n g i t s mo v e i n a b i d t o
p u s h f o r wa r d t h e e l e c t r i c v e h i c l e e c o s y s t e m. B y p o l i c y
c h a n g e s , r e d u c i n g GS T r a t e s a n d s u b s i d i e s .
On Au g u s t 1 2 , 2 0 2 0 , Th e Mi n i s t r y o f Ro a d T r a n s p o r t a n d
Hi g h wa y s ( Mo RTH) a l l o we d r e g i s t r a t i o n o f e l e c t r i c
v e h i c l e s wi t h o u t p r e - f i t t e d b a t t e r i e s . I n a l e t t e r t o
Tr a n s p o r t S e c r e t a r i e s o f a l l t h e S t a t e s a n d UT s , t h e
mi n i s t r y h a s c l a r i f i e d t h a t v e h i c l e s wi t h o u t b a t t e r i e s c a n
be sold and registered based on the type approval
c e r t i f i c a t e i s s u e d b y t h e Te s t Ag e n c y .
F o l l o wi n g t h i s mo v e o f t h e g o v e r n me n t , o u r i n d u s t r y
c o l l e a g u e s g a v e a mi x e d r e a c t i o n a s ma n y o f t h e m
we l c o me d i t a s a s a l e s b o o s t e r wh i l e s o me d i d n o t f i n d i t
c o n v i n c i n g . Th e No t i f i c a t i o n h a s t wo ma j o r s t a t e me n t s .
Th e p r o t o t y p e o f t h e e l e c t r i c a l v e h i c l e a n d t h e b a t t e r y
( r e g u l a r b a t t e r y o r t h e s wa p p a b l e b a t t e r y ) i s r e q u i r e d t o
b e t y p e a p p r o v e d b y t h e t e s t Ag e n c i e s s p e c i f i e d u n d e r
Ru l e 1 2 6 o f t h e Ce n t r a l Mo t o r Ve h i c l e s Ru l e s , 1 9 8 9 .
Note : Which is the same as earlier
Ve h i c l e s wi t h o u t b a t t e r i e s c a n b e s o l d , t h a t t h e r e i s n o
n e e d t o s p e c i f y t h e Ma k e / Ty p e o r a n y o t h e r d e t a i l s o f t h e
Ba t t e r y f o r t h e p u r p o s e o f Re g i s t r a t i o n .
Note : Which is not even required now.
To u n d e r s t a n d i t wi t h c l a r i t y f o l l o wi n g a r e t h e d o c u me n t s
r e q u i r e d t o r e g i s t e r e l e c t r i c t h r e e - wh e e l e r s o r g e n e r a l
any other vehicle.
Co p y o f I n v o i c e o f v e h i c l e .
Co p y o f I n s u r a n c e
Aa d h a r Ca r d
Form 20
Form 21
Form 22
Ba n k Ac c o u n t De t a i l s ( S t a t e s wh e r e S u b s i d i e s a r e
g i v e n e x a mp l e De l h i )
No n e o f t h e s e f o r ms r e q u i r e s p e c i f i c a t i o n a b o u t t h e t y p e
of battery.
S o wh a t d o e s t h i s l e t t e r t o s t a t e RTO me a n s f o r i n d u s t r y
b e s i d e s p r o v i d i n g a l e g a l d o c u me n t t o d e l i n k b a t t e r i e s
f r o m E l e c t r i c Ve h i c l e s , We s e e i t a s a n I n i t i a l p o l i c y
c h a n g e wh i c h wi l l a l s o p a v e t h e wa y f o r p l a y e r s c o mi n g
u p i n n e w i n n o v a t i v e b u s i n e s s mo d e l s , s u c h a s b a t t e r y
l e a s i n g a n d b a t t e r y s wa p p i n g . I t wi l l e n c o u r a g e a n a r r a y
o f e n e r g y s e r v i c e p r o v i d e r s t o b e p a r t o f t h e ma i n s t r e a m
E V e c o s y s t e m.
Th i s n o t i f i c a t i o n s h o u l d h a v e b e e n a c c o mp a n i e d wi t h
c l a r i t y o n t h e f o l l o wi n g p o i n t s .
| SEPTEMBER ISSUE 2020
WHAT HAPPENS TO FAME I I SUBSI DY?
A c u s t o me r g e t s a s u b s i d y o f Rs 1 0 0 0 0 / K Wh f o r a l l E V s
( p o we r e d b y l i t h i u m- i o n b a t t e r i e s ) a n d Rs 2 0 0 0 0 / K Wh f o r
b u s e s . Th e c u s t o me r g e t s t h e s u b s i d y i n t h e f o r m o f a
reduced upfront cost of the vehicle, including the
b a t t e r y . Bu t i f t h e b a t t e r y i s b o u g h t s e p a r a t e l y t h e n wh a t
h a p p e n s t o F AME I I S u b s i d y .
S u g g e s t i o n s : F AME I I c a n b e d i s t r i b u t e d b e t we e n E V
ma k e r a n d b a t t e r y p r o v i d e r e v e n i n c a s e o f b a t t e r y
s wa p p i n g a s i t wi l l h e l p s e r v i c e p r o v i d e r s t o c h a r g e t h e
c u s t o me r l e s s o n p e r s wa p .
WHAT HAPPENS TO GST RATES?
An e l e c t r i c v e h i c l e a t t r a c t s a GS T o f 5 p e r c e n t , a n d a n
e l e c t r i c b a t t e r y b o u g h t s e p a r a t e l y wo u l d a t t r a c t a GS T o f
1 8 p e r c e n t f o r l i t h i u m- i o n a n d 2 8 p e r c e n t f o r L e a d - Ac i d
b a t t e r y . S o i t d o e s n ’ t ma k e s e n s e f o r a c u s t o me r t o b u y a
battery separately.
F o r E x a mp l e i f E 3 w c o s t a r o u n d Rs 1 3 5 0 0 0 ( Wi t h L e a d
Ac i d Ba t t e r y ) o n r o a d p r i c e wi t h b a t t e r y a n d wi t h o u t
b a t t e r y i t s c o s t wo u l d b e a r o u n d Rs 1 0 7 7 0 0 a n d b a t t e r y
wo u l d c o s t Rs 3 3 5 0 0 i f b o u g h t s e p a r a t e l y f r o m v e h i c l e
ma k i n g a s u m o f Rs 1 4 0 9 8 0 .
Suggestions : The GST rates for batteries must be
reduced to 5 percent. Similarly, GST for chargers is at 5
percent and GST for charging and battery swapping
services is at 18 percent—this needs to be reduced to 5
percent as well. Such changes can significantly benefit
the end customer and increase adoption.
Th i s s t e p i s r i g h t t h o u g h t t o ma k e e l e c t r i c v e h i c l e s mo r e
a f f o r d a b l e a s t h e b a t t e r y c o s t a mo u n t s t o 3 0 - 4 0 p e r c e n t
o f t h e t o t a l c o s t o f t h e v e h i c l e a n d t h i s wi l l ma k e t h e
upfront cost of the electric vehicle lesser than an
i n t e r n a t i o n a l c o mb u s t i o n e n g i n e v e h i c l e a n d wi l l a l s o
a l i g n t o p r e s e n t c o n s u me r b e h a v i o r o f b u y i n g e n e r g y
e v e r y d a y f o r mo b i l i t y . Th i s wi l l d e f i n i t e l y e n c o u r a g e
b a t t e r y s wa p p i n g a n d r e n t a l b u s i n e s s mo d e l s a n d wi l l
ma k e TCO ( To t a l Co s t o f Own e r s h i p ) c a l c u l a t i o n s
s i mp l e r f o r a v e r a g e c u s t o me r s t o u n d e r s t a n d a n d
a p p r e c i a t e t h e b e n e f i t s o f E Vs . I t wi l l a l s o a d d r e s s
v a r i o u s c u s t o me r p a i n p o i n t s i n t h e a d o p t i o n o f E V s a n d
address range anxiety issues but these things can only
h a p p e n wi t h a n e x t e n s i v e i n f r a s t r u c t u r e n e t wo r k o f
s wa p p i n g a n d r e n t a l f a c i l i t i e s . To e n c o u r a g e i t a n d ma k e
i t a s u c c e s s f u l mo v e a b o v e t wo p o i n t s n e e d s d e e p
consideration.
Re g a r d l e s s o f t h i s , we wo u l d l i k e t o d i s c a r d p o i n t s ma d e
by our fellow colleagues in the industry regarding
wa r r a n t y i s s u e s a r i s i n g d u e t o i t , e t c . As t h i s n o t i f i c a t i o n
o n l y p r o v i d e s y o u l e v e r a g e i t i s a l wa y s t h e E V ma k e r ’ s
d e c i s i o n t o a d o p t t h e b u s i n e s s mo d e l . Th i s n o t i f i c a t i o n
d o e s n ’ t c o mp e l a n y c o mp a n y t o o f f e r a v e h i c l e wi t h o u t a
battery but encourages it to join hands to offer better
s e r v i c e s t o c u s t o me r s .
PG 35
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