EESL, however, said it welcomes more players in this space. “We welcome the decision to have targets for government departments. There are many ways in which these vehicles can be procured. It is not necessary that EESL alone deals with bulk electric vehicle demand from government agencies. A single entity doing the procurement is not a good idea. There should be flexibility to the buyers,” said Saurabh Kumar, managing director, EESL.
The GeM has already listed e-car as a new product on its portal that sellers can list. GeM was launched by commerce ministry in August 2016 was a technology driven platform to facilitate procurement of goods and services by various ministries and agencies of the government. It claims to have processed orders valued at over Rs 48 billion since then.
Kumar estimates that the central and state government departments will purchase over a million e-cars over next few years and that is a big opportunity. EESL has recently tied up with the Andhra Pradesh state government to provide 10,000 e-cars by March 2019. However, these will not be outright sales to the state government.
EESL will lease out these vehicles at a monthly lease fee of Rs 20,000 per car without the driver. These 10,000 e-cars will be supplied to EESL by Tata Motors (e-Tigor) and M&M (e-Verito) with each priced at Rs 1.16 million. EESL has a three-pronged model for e-cars- a wet lease (car along with a driver) at Rs 40,000 a month, a dry lease (only e-car) and outright sales. Besides Andhra Pradesh, EESL is also leasing out e-cars to some government departments in the national capital.