Tata Motors and Hyundai Win Bid to Supply 250 EVs to EESL

Tata Motors and Hyundai Win Bid to Supply 250 EVs to EESL

EESL will procure 250 EVs from Tata Motors and Hyundai Motor India after the two firms were selected through an international competitive bidding process

Tata Hyundai EVs to EESL

Energy Efficiency Services Limited (EESL), a Super Energy Service Company (ESCO) under the administrative control of the Ministry of Power, has announced that it will procure 250 electric vehicles (EVs) from Tata Motors and Hyundai Motor India. The two leading manufacturers were selected through an international competitive bidding process, which was aimed at increased participation.

The two auto majors have won the tender and now will supply 150 Nexon electric compact SUVs (Tata) and 100 Kona electric premium SUVs (Hyundai) respectively for government use.

The letter of award for the procurement was presented to the two companies, in the presence of Guenter Butschek, CEO & MD, Tata Motors, Shailesh Chandra, President, Passenger Vehicle Business Unit, Tata Motors, and Tarun Garg, Director – Sales, Marketing & Service, Hyundai Motor India.

Seon Seob Kim, MD & CEO, Hyundai Motor India Ltd, said, “Guided by our vision ‘Progress For Humanity’, we have been developing eco-friendly and human-centric technologies that provide the best experience for our customers. As a caring and responsible brand, it is our privilege to align with the government’s goal for clean energy and collaborate with all stakeholders to create a sustainable ecosystem for electric mobility. Hyundai will continue to bring world-class eco-friendly products and technologies for the Indian market contributing towards the cleaner and greener environment”

This procurement will utilise 5 Million USD from the recent grant provided by the Asian Development Bank (ADB). EESL has received financing from ADB towards the cost of scaling up and financing high priority areas like Demand-Side Energy Efficiency Sector Projects.

Saurabh Kumar, Executive Vice Chairperson, EESL said, “A shift to EVs, facilitated by our e-mobility programme will reduce dependence on oil imports and promote power capacity addition in India. This will greatly enhance the energy security of the country and will also lead to a reduction in GHG emissions from the transport sector. Furthermore, we’re also working on the rapid establishment of EV charging stations, which will give a fillip to the electric vehicle sales, going forward”

EESL will procure Tata Nexon at Rs 14.86 lakh each, Rs 13,000 cheaper than its ex-showroom price of Rs 14.99 lakh whereas, Hyundai Kona, which offers a higher range, will be procured at an 11 percent lower price band of Rs 21.36 lakh and with a standard three-year warranty. These electric vehicles will replace the existing fleet of petrol and diesel vehicles of the Central and State Governments.

EESL has already received an order for 300 Long Range EVs from The Agency for Non-Conventional Energy and Rural Technology (ANERT), Kerala to be supplied in the initial phase.

Shailesh Chandra, President, Passenger Vehicle Business Unit, Tata Motors, said, “Electric mobility is gaining ground in the country and partnerships such as these are pivotal for building the requisite momentum. We have been partnering EESL and are pleased to provide more EVs to them for government use, enabling a smooth and sustainable transition to a future-oriented mobility solution. As the leader of the fast-growing EV segment, Tata Motors is committed to popularise their access and use across India”

In June, EESL had issued the tender for the procurement of 250 electric vehicles. It was stated that the vehicles will be procured in two categories the first lot will include 100 EVs with length more than four meters and range of at least 300 kms, and the second lot will consist of 150 vehicles with length less than four meters and range of at least 250 kms.

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Ayush Verma

Ayush is a staff writer at saurenergy.com and writes on renewable energy with a special focus on solar and wind. Prior to this, as an engineering graduate trying to find his niche in the energy journalism segment, he worked as a correspondent for iamrenew.com.