Mahindra to supply 150 of 500 electric vehicles by November 30

Automobile major Mahindra & Mahindra (M&M) will supply 150 electric vehicles in phase I to State-run Energy Efficiency Services Limited (EESL) by November 30.

After emerging as the second lowest bidder in a mega tender process to procure 10,000 electric vehicles, Mahindra and Mahindra Chairman Anand Mahindra confirmed on social networking site Twitter that they will ensure delivery of 150 EVs to EESL in phase I.

And we will supply those 150 EVs by 30th November.. https://t.co/SisyHFbi5r

— anand mahindra (@anandmahindra) October 5, 2017

According to the state-run firm, post the tender opening, Tata Motors had emerged as the lowest bidder and M&M as the second lowest bidder.

The company under the Ministry of Power also confirmed that M&M has lowest bidding for phase II.

EESL to procure 10,000 Electric Vehicles from TATA Motors https://t.co/6Go0TSMNFs

— Ministry of Power (@MinOfPower) September 30, 2017

In a statement, it said that Mahindra has agreed to match the lowest bidding pricing for phase I and therefore qualify to supply 150 electric vehicles, as per the tender conditions. Both qualified parties, Tata Motors and Mahindra, will have the opportunity to supply their respective number of vehicles for phase II.

The purchase orders for supply of the rest of 9,500 electric vehicles is scheduled for the phase II.

As per the bidding, 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.

EESL's plans to replace the petrol and diesel cars used by government and its agencies over a 3-4 year period. The total number of vehicles used by the government and its agencies is estimated to be five lakh.

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Earlier, Tata Motors had won the government contract for supplying 10,000 electric cars, outbidding Mahindra and Mahindra in the contest for the Rs1,120 crore order. Tata Motors quoted the lowest price of Rs 10.16 lakh exclusive of the goods and services tax in the bidding. According to EESL, the vehicles will be provided for Rs 11.2 lakh, which will be inclusive of GST and a comprehensive 5-year warranty, which is 25% below the current retail price of a similar e-car with a three-year warranty.

The govt plans to make a shift towards electric by 2030. Transport Minister Nitin Gadkari has also expressed his desire to turn home-automakers into deshi Tesla.

As per the report published in May 2017 by Niti Aayog, making India’s passenger mobility shared, electric, and connected can cut its energy demand by 64% and carbon emissions by 37% in 2030.