Tata Motors may Launch Electric Version of Indica by early 2011
Tata Motors may Launch Electric Version of Indica by early 2011 – Tata Motors may launch electric version of its small car Indica by the early 2011. The company is also planning to take initiative in manufacturing electric cars for the domestic market, just like many auto manufacturers are planning to do.
Tata Motors has been formulating the car with Norway based Miljøbil Grenland/Innovasjon, in which it has a 50.3 per cent stake. By the next year, the company has some plans to begin the feasibility study for this and might be it will release the car at the same time of European launch. The managing director at India Operations Tata Motor Mr. Prakash M Telang stated, “It will be available for India at around the same time as the global launch. It will be launched in Norway, Denmark and the UK in 12-14 months. We’re evaluating the option of an Indian launch, but are still not sure if the electric vehicles (EVs) are the best option for the country”.
In addition, the major problem is the high cost attached to EVs that is mainly due to expensive batteries. Mr. Prakash M Telang also commenced that, “It will be 70-150 per cent more expensive depending on batteries. While lead acid batteries are not good enough, lithium-ion is too expensive. We have to look into the cost equation”. As add- on, he said, “There is optimism – I see good sales in the fourth quarter. In commercial vehicles (CVs), there may be pre-buying because of the change in emission norms. Even passenger cars may see better volumes, but not as much as CVs since price escalation will not be as much in them. This has been the experience in most countries across the globe”.
Reacting to the sales outlook, for the staying half of the year, Mr. Prakash added that the shift from Bharat Stage III emission norms to Bharat Stage IV in the month of April, may extend to good sales in the fourth quarter of the year.
According to the company, this domestic launch of the electric version of Indica will depend upon the cost factor, as electric vehicles are usually 70-150% more expensive as of date, depending on batteries and as India is a price sensitive market, the company has to look after into the cost equation as it is going to be an expensive vehicle.
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