Government Plans To Issue Tender To Procure 3500 EV Powertrain Vehicles Central and state governments have a combined fleet of about six lakh petrol and diesel cars

By Teena Jose

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The Central government, reportedly, plans to replace the government fleet of petrol and diesel cars with electric powertrain vehicles. The plan will come into action with the issue of a tender to procure 3500 EV units shortly.

According to a statement by convergence energy services (CESL), a state-run company which handles the acquisition of EVs for central and state government departments, said that the size of the program could expand as more electric vehicles are launched by automakers at the affordable end of the market. Central and state governments have a combined fleet of about six lakh petrol and diesel cars.

Mahua Acharya, chief executive of CESL, in a news report was quoted as saying, "The company has received a qualified demand for 3500 electric vehicles, a tender for which may be floated shortly. Additionally, there is an opportunity to increase penetration of electric vehicles in the fleet segment. Given the usage patterns and economics, fleet is one area where EV 4W sales can take off with more options being introduced in the mass market. While the qualified demand is 3500, very quickly the number could go up to 10,000 vehicles within two years."

"The sweet spot of EVs for government employees is around INR 15 to 17 lakh. We only have few models on the road. When we offer options, only few are accessible," added Acharya.

As per reports, nearly 20 EVs are expected to hit Indian roads in the next three years.

Teena Jose

News Desk Reporter with Entrepreneur India

Teena is a post graduate in financial journalism. She has an avid interest in content creation, digital media and fashion.
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