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Old 29th September 2017, 20:27   #1
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Default Tata Motors gets government order for 10,000 Electric Vehicles (beating Mahindra & Nissan)!

http://www.moneycontrol.com/news/aut...l-2401443.html

Tata Motors, Mahindra & Mahindra (M&M) and Japanese carmaker Nissan had all bid for the EESL contract to provide 10,000 electric vehicles over the next 12 months.
Tata Motors quoted the lowest price of Rs 10.16 lakh, exclusive of GST, in the bidding process. The vehicle will be provided to EESL for Rs 11.2 lakh, which will be inclusive of GST and a comprehensive 5-year warranty. At this price, the car will cost 25% less than the current retail price of a similar e-car with a 3-year warranty.

https://www.autocarindia.com/car-new...ernment-406138

Our sister magazine Autocar Professional learns the electric vehicle will most likely be an electric Tigor sedan. Recently, Tata Motors revealed an EV variant of the Tiago, the hatchback iteration of the Tigor, in concept form. Using a liquid cooled 85kW electric motor, the hatch develops 200Nm of torque and Tata claims a range of around 100 km.

What an irony, the company that hasn't sold a single EV till date beats the two who have!

Last edited by anandpadhye : 29th September 2017 at 20:39.
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Old 30th September 2017, 00:57   #2
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Thumbs up Tata Motors to supply 10,000 electric cars to Govt. Energy Efficiency Services Limited (EESL)

Probably the biggest news towards electrified mobility in this part of the world. Tata Motors is going to provide 10,000 electric vehicles to an Indian government entity Energy Efficiency Services Limited (EESL) which is a joint venture company of PSUs of Ministry of Power, Govt. of India.

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What makes the news astounding is the below brief shared to the media:-

“All these 10,000 electric cars will be procured within nine months period from the date of issue of letter of intent,” EESL managing director Saurabh Kumar told PTI.

9 months! to develop manufacturing capability to build 10,000 vehicles and supply them within strict budgeted costs by a company which has not even 1 running model in the electric space let aside a hybrid! This feat will be a Force majeure kick-starting an entire eco-system of electric suppliers, ancillaries, battery makers and other key required infrastructures.

Few excerpts in the media till this time are
  • EESL claimed that its tender was for the world’s largest single electric vehicle procurement.
  • First 500 e-cars will be supplied to EESL in November 2017 and the rest 9,500 EVs will be delivered in the second phase
  • Three leading manufacturers – Tata Motors Limited, Mahindra & Mahindra (M&M) and Nissan participated in the tender and the bids for Tata Motors Limited and Mahindra and Mahindra (M&M) were opened
  • Tata Motor Limited quoted the lowest price of Rs. 10.16 Lakh exclusive of GST in the competitive bidding. The vehicle will be provided to EESL for Rs. 11.2 lakh which will be inclusive of GST and comprehensive 5-year warranty which is 25% below the current retail price of a similar e-car with 3-year warranty.
  • Order value is estimated to be Rs. 1120 crores. August'17 revenue of Tata Motors passenger vehicle division was estimated 785 crores.
  • 250 cars to be provided by 15th Nov 2017 and the remaining 250 by 30th Nov 2017
  • Includes cost for AMC and Extended warranty for 5-year or 1-lac kms

So, the million dollar question remains is, which EV are we talking about exactly?

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Edit : Mods kindly merge to relevant thread if required.

Last edited by Moto$apien : 30th September 2017 at 01:06.
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Old 30th September 2017, 06:22   #3
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Default Re: Tata Motors to supply 10,000 electric cars to Govt. Energy Efficiency Services Limited (EESL)

Should be a Tigor EV (developed and delivered), as per the requirements put forth.

Last edited by GTO : 2nd October 2017 at 12:57. Reason: Poorly typed post
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Old 30th September 2017, 09:06   #4
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Default Re: Tata Motors to supply 10,000 electric cars to Govt. Energy Efficiency Services Limited (EESL)

This is incredible. 10,000 is a huge number esp. for a car that doesn't exist in the market. M&M top management must be scratching their head wondering where things went wrong. But my guess is they only need to look at the pricing of their existing EV models, which I believe is way too high, almost taking the early adopters for a ride. But if Tiago EV is what we are talking about, then Tata have a much better looking car at their hand.

What a turnaround performance from Tata.
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Old 30th September 2017, 10:17   #5
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Default Re: Tata Motors to supply 10,000 electric cars to Govt. Energy Efficiency Services Limited (EESL)

Quote:
Originally Posted by prakash_ajp View Post
M&M top management must be scratching their head wondering where things went wrong.
Well, all is not lost for M&M just yet, Tata being the lowest bidder has got 60% of the order as of now.

source : http://economictimes.indiatimes.com/...w/60884492.cms

The second lower party (here M&M) has the option to match Tata's price of Rs. 11.2 lacs from its earlier quote of Rs. 13 lacs to get 40% of the order.
In all probability, they will surely fight for the same.

Interesting thing to note is that EESL also requires a service provider for providing Drivers / Basic technicians / Electric charging infrastructure which seems a fair ask. But, when you multiply with the cars in question, finding 10,000 drivers and laying up a charging network, in 9 months is a herculean task.

Last edited by Moto$apien : 30th September 2017 at 10:19.
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Old 30th September 2017, 10:29   #6
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Default Re: Tata Motors to supply 10,000 electric cars to Govt. Energy Efficiency Services Limited (EESL)

10000 units of electric cars is a huge number. The E2o would have sold 2000-3000 units while the original Reva managed a total of 4600 units in its lifetime.

This will surely improve economies of scale and build an ecosystem of suppliers.

Hope Tata launches the car for public as well at a cost 1 - 1.5 lakhs lesser than this after the economies of scale have been achieved. A Tiago electric at 9.99 lakhs would find a lot of takers.

One more advantage of an EV, road taxes in my state in battery operated cars is half of normal cars.
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Old 30th September 2017, 10:45   #7
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Default Re: Tata Motors to supply 10,000 electric cars to Govt. Energy Efficiency Services Limited (EESL)

As per Carwale, Mahindra E-Verito has an ex showroom price of ₹9.21 Lac including GST in Delhi. That's almost 2 lac less than the price Tata has quoted for the Electric Tigor.

This price includes dealer margins too, which need not be paid for a direct order of such a size. I wonder how they missed this bus.

For sure Mahindra can match the price even after adding additional batteries to increase the range to the required number.
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Old 30th September 2017, 11:03   #8
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Tiago EV and Zest EV are already under testing and homologation at present. CMVR approvals expected by Diwali AFAIK.
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Old 30th September 2017, 13:02   #9
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Default Re: Tata Motors to supply 10,000 electric cars to Govt. Energy Efficiency Services Limited (EESL)

Quote:
Originally Posted by Moto$apien View Post
“All these 10,000 electric cars will be procured within nine months period from the date of issue of letter of intent,” EESL managing director Saurabh Kumar told PTI.

9 months! to develop manufacturing capability to build 10,000 vehicles and supply them within strict budgeted costs by a company which has not even 1 running model in the electric space let aside a hybrid! This feat will be a Force majeure kick-starting an entire eco-system of electric suppliers, ancillaries, battery makers and other key required infrastructures.
This is indeed a little hard to believe. The timelines seem impossible. Unless Tata Motors have managed to keep under wraps a major developmental effort. If this can be achieved, this may well mark the beginning of the electric vehicles era in India.

It will be interesting to see if the vehicle enters the public market. Factors in favor are:
1. If existing platforms (Eg XO) are used, cost of development may be less
2. Major cost of development would probably be recovered by the contract, easing the pressure on Tata Motors to achieve high volumes for it's product if and when it decides to offer it to the public
3. The experience in developing / managing infrastructure for EVs as part of this contract could be of help in extending it to the general market

Last edited by cogWheel : 30th September 2017 at 13:16.
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Old 30th September 2017, 13:48   #10
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Default Re: Tata Motors to supply 10,000 electric cars to Govt. Energy Efficiency Services Limited (EESL)

This may turn out to be NDA's Aakash tablet ...
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Old 30th September 2017, 20:14   #11
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Default Re: Tata Motors to supply 10,000 electric cars to Govt. Energy Efficiency Services Limited (EESL)

Anand Mahindra congratulates Tata Motors for winning the EV bid.

Quote:
Congratulations @TataMotors ! A terrific price.Delighted the revolution in the EV market has begun.With more players,the market will expand
https://auto.ndtv.com/news/what-anan...-order-1757094
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Old 30th September 2017, 20:35   #12
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Default Re: Tata Motors to supply 10,000 electric cars to Govt. Energy Efficiency Services Limited (EESL)

Which car did Mahindra offer? The Verito sedan is bigger, wider and more spacious than Tigor which is essentially a 4 seater. Was price the only consideration? Vertigo is better suited than Tigor for the role of chauffeur-driving govt. officials to work.
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Old 30th September 2017, 21:38   #13
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Default Re: Tata Motors to supply 10,000 electric cars to Govt. Energy Efficiency Services Limited (EESL)

Quote:
Originally Posted by Moto$apien View Post

So, the million dollar question remains is, which EV are we talking about exactly?

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Edit : Mods kindly merge to relevant thread if required.
I think you missed the grand daddy of them all ... the Indica EV.

It was first shown at the Bologna Motor Show in Dec 2008 with the Indica Electric decal on the side.

Source : http://en.greenbusiness.no/focus/tat...B8bil-grenland and https://indianautosblog.com/2008/12/...gna-motor-show

And then it was shown again at the SAE Show in Apr 2009 with the TM4 decal on the side.

Source : https://www.autoblog.com/2009/04/21/...or-norway-the/

Cheers,

FourWheelDrift
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Tata Motors gets government order for 10,000 Electric Vehicles (beating Mahindra & Nissan)!-indicaevsae1.jpg  

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Old 30th September 2017, 21:44   #14
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Default Re: Tata Motors to supply 10,000 electric cars to Govt. Energy Efficiency Services Limited (EESL)

Quote:
Originally Posted by antz.bin View Post
As per Carwale, Mahindra E-Verito has an ex showroom price of ₹9.21 Lac including GST in Delhi. That's almost 2 lac less than the price Tata has quoted for the Electric Tigor.
Well as per information available the quote price includes
  • Cost of a pure electric powered 4-wheeled AC Car with basic amenities,
  • On-site extended warranty for 5 Years / 1 lac kms,
  • AMC to replace / repair and upkeep of vehicle for the same duration,
  • Replace batteries as soon as charge capacity drops below 75%,
  • Service level agreement to service the vehicle within 8 hours for non-accidental repairs, 3 days for accidental repairs or else face penalty.
  • Transportation costs for delivery location as Delhi NCR

Quote:
Originally Posted by directinjection View Post
Which car did Mahindra offer? The Verito sedan is bigger, wider and more spacious than Tigor which is essentially a 4 seater. Was price the only consideration? Vertigo is better suited than Tigor for the role of chauffeur-driving govt. officials to work.
Probably they spelled the Verito just as you typed above

But, seriously Govt. babus are rarely seen carpooling and often travel solo, so i think the Tigor would be just fine.

and the price difference is a good 28%, totaling nearly 284 crores for the order, sufficient to overlook other short-comings.

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Appreciating competition is truly a hallmark of a leader! hat's off sir.

Let's decode whether M&M would drop is prices to compete.
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Old 1st October 2017, 05:48   #15
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Default Re: Tata Motors to supply 10,000 electric cars to Govt. Energy Efficiency Services Limited (EESL)

Quote:
Originally Posted by Moto$apien View Post
  • Service level agreement to service the vehicle within 8 hours for non-accidental repairs, 3 days for accidental repairs or else face penalty.
That's a really optimistic turnaround time. I am guessing that existing cars in the Tata workshop would be tossed away, to make sufficient space and labour available for solving issues (which I think shall be a lot) of the EVs.

I am thinking that Tata in overall will face a huge loss for the specific project, but this loss would be considered a cost for the mass market implementation and give them bragging rights about they being the kickstarter to mass market EV adoption in India.

I have a certain doubt, whether the EESL will sell the cars pan-India, like their LED bulbs, or is this purchase more for govt. purposes than for the public?
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