[prakhar1998]

Under the FAME (Faster Adoption and Manufacturing of Electric Vehicles) scheme by the Ministry of Heavy Industries and Enterprises in collaboration with SIAM, Mahindra has cut down the prices of its electric vehicle.

Under the FAME scheme, the Government of India has sanctioned Rs 795 crore for Phase 1 spanning the fiscal years 2015-16 and 2016-17. Under this scheme the government has introduced incentives for all categories of hybrid and electric vehicles with the major incentives being as follows:-

- Rs 1,800 to Rs 22,000 for scooters

- Rs 3,500 to Rs 29,000 for motorcycles

- Rs 13,000 to Rs 1,24,000 for sub-4-metre four-wheelers

- Rs 11,000 to Rs 1,38,000 for four-wheelers above 4 metres long

The prices of the e2o now start at Rs 4.99 lakh (ex-showroom, Mumbai) instead of Rs 6.76 lakh (ex-showroom, Mumbai) for the base T2 variant while the premium T2O Quick2Charge variant is now priced at Rs 5.38 lakh (ex-showroom, Mumbai) as opposed to Rs 7.12 lakh (ex-showroom, Mumbai) earlier.

We have to wait and see any price cuts on other hybrid vehicles such as Camry and Prius.

While this is a good step forward, the subsidy currently is too meagre to have a substantial impact on more expensive vehicles.

[techiecal]

Good to hear Reva has brought down the prices. Once eco friendly cars become affordable buyers will increase. There are many people who do care for the environment and can compromise on comfort if the price is reasonable. So far e2O was beyond reach for many.

[noopster]

While the move is welcome, I wonder why this fascination with the 4m length continues. In my opinion, the purpose of such legislation is to encourage someone buying a petrol (or diesel) vehicle to seriously consider the hybrid version of that vehicle (or at the very least a smaller vehicle that is priced closer to his budget). The maximum incentive here seems to be 1.38L which while good will hardly make up the difference between say the Camry petrol and its hybrid sibling.

Kudos to Mahindra though! I know someone who has been holding off his e2o purchase anticipating exactly this price cut.

[kisharchit]

I would really like the e2o as my daily driver but my daily drive is 100 kms almost on some days and mostly 85-90 kms so I would have to recharge it daily and I guess it would wear out the batteries much much sooner.

[IshaanIan]

Originally Posted by kisharchit

I would really like the e2o as my daily driver but my daily drive is 100 kms almost on some days and mostly 85-90 kms so I would have to recharge it daily and I guess it would wear out the batteries much much sooner.

The lithium-ion batteries have a claimed battery life of over 5 years so I'm assuming they ought to last atleast 4 years. The batteries come with a 3 year/60k kms warranty and cost about 1.8lacs to replace. If you are still not confident, Mahindra has a program where they lease the batteries to you for 2600 rupees a month and you don't have to worry about them at all.

At the new price, this car certainly seems to be a lucrative shift. I have seen several e2os in Bangalore, their tiny dimensions and butt loads of torque make them really nippy in traffic. If you really don't mind the lack of mechanical feel, I think you should consider the car if you are already thinking of it. We could all do our bit to save the planet so that we can continue using petrol powered beauties for many years to come atleast on weekends

[arnabchak]

Even though it is a smart move, the price still looks steep considering the limited charging options and moreover the limited driving range.

If we get more charging points, this can certainly be a big boost to the electric automobile market and the care for environment drive will bear its fruits.
A related post:
http://www.team-bhp.com/forum/indian...-stations.html

[prakash_ajp]

It's a shame that the ones willing to do their bit for the environment have to pay so much money than others, even though the 'environment friendly' bit is only an illusion in our country. Sure, the car itself doesn't emit all the greenhouse gases, but considering that only a portion of power generation in India is clean, this is not as good as it should be.

[VeluM]

Is this difference paid to the manufacturer by the government, or is it a reduction in some tax? Either way, what does an e2o now cost in Delhi where it was already far cheaper than the rest of the country?

[bharatbs]

Originally Posted by IshaanIan

The lithium-ion batteries have a claimed battery life of over 5 years so I'm assuming they ought to last atleast 4 years. The batteries come with a 3 year/60k kms warranty and cost about 1.8lacs to replace.
If you are still not confident, Mahindra has a program where they lease the batteries to you for 2600 rupees a month and you don't have to worry about them at all.

Thanks for sharing this.

In the best case scenario, you replace the batteries at the end of 5 years. The cost outlay of 1.8 lakhs translates to roughly 3,000 per month.

So it only makes sense to invest in Mahindra E20 if you monthly fuel + maintenance cost is more than 3,000.

I was thinking of E20 but the cost of the batteries will be the same as the monthly running cost of a petrol hatchback for my commute.

[GTO]

Good move. Will definitely make the e2o more accessible to its small + passionate fan base.

On the topic of subsidies, IMHO, electric vehicles will only really take off once they have a business model that works without subsidies. And of course, when battery technology improves. It will some day in the near future for sure. Electric cars will have a far longer driving range and we won't need to charge our cellphones every night either .

Originally Posted by bharatbs

the cost of the batteries will be the same as the monthly running cost of a petrol hatchback for my commute.

You can say that again. I was shocked when I got to know of the Rs. 1.8 lakh price! That's as much as the cost of a full engine for a hatchback .

Originally Posted by noopster

While the move is welcome, I wonder why this fascination with the 4m length continues.

Well, they have to be specific. No choice. If the government wants to promote small cars in this country, they can't be vague about what 'small' means. Think of it like our 2 smilies / post rule. What we really wanted was not too many smilies in proportion to textual content, but who would define short posts (where 2 are allowed) vs long posts (where 4 are allowed). Therefore, a blanket smiley policy.

[Rajeevraj]

This is a good move. It would be good if the price can fall to under 5L on Road. How much extra is the on road price? Is the tax, insurance etc in line with normal car? I really like the E2O and if I am in the market for a city run about car, this will certainly be a contender. It would be good if they can put an airbag into it (Although not sure if the body is strong enough for an airbag to make a difference).

[Voyager-1]

Originally Posted by Rajeevraj

How much extra is the on road price? Is the tax, insurance etc in line with normal car?

Road tax is 4.4% and Insurance is same as other cars at this price.

I did a quick calculation to replace my 2007 Santro (which is a 2nd car) with E2O (after this price reduction) and it still is not making financial sense, considering my <1000 kms running per month.

[Aditya]

The Mahindra Reva e2o is now priced at Rs. 4.79 lakh (on road, Delhi).

Link to Team-BHP News Article

[zenren]

Originally Posted by IshaanIan

If you are still not confident, Mahindra has a program where they lease the batteries to you for 2600 rupees a month and you don't have to worry about them at all.

Since we get a battery along with the car, I assume this leasing scheme is only after the first battery needs replacement. Or, do they have a scheme where the price of the car is further reduced by 1.8 lakhs if someone opts for the lease during the purchase?

If it is after the first battery needs replacement, I don't see anyone opting this lease scheme for at least another couple of years and no one can say what the offers/terms are at that point.

[Voyager-1]

Originally Posted by Aditya

The Mahindra Reva e2o is now priced at Rs. 4.79 lakh (on road, Delhi).

Are you sure, this is the on-road price? I think, insurance needs to be added to this price. Even in Bangalore, the ex-showroom is Rs.4.79L, but on-road is Rs.5.24L.

Originally Posted by zenren

Since we get a battery along with the car, I assume this leasing scheme is only after the first battery needs replacement. Or, do they have a scheme where the price of the car is further reduced by 1.8 lakhs if someone opts for the lease during the purchase?

The battery can be leased at the time of purchase itself. The 4.79L price is excluding the cost of battery and it has a monthly battery rental of Rs.2999 (for a 50K kms / 5 years running.). Check the further terms and conditions here - http://mahindrareva.com/buy/price-list