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regular-article-logo Friday, 25 April 2025

Price of Rs 11 lakh-Rs 15 lakh and 400 km range is the 'sweet spot': Tatas map EV success route

Stating that 85 per cent of intercity drive is less than 400km, managing director Shailesh Chandra makes a case that mainstream EV adoption will happen when there is price parity between ICE vehicles and EVs

Anasuya Basu Published 17.02.25, 11:16 AM
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EV sales in India will take off when they offer a range of 400km on a single charge along with a prices in the range of 11-15 lakh.

This was stated by Tata Motors Passenger Vehicles and Tata Passenger Electric Mobility Ltd managing director Shailesh Chandra at the company's Open Collaboration 2.0 press conference last week.

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"The median price of vehicles sold in the Indian market is between 11 lakh and 15 lakh. And the most comfortable range that can allay customers' range anxiety is 400 km. If we can offer an EV at this sweet spot, EV adoption will exponentially increase," he said.

Stating that 85 per cent of intercity drive is less than 400km, Chandra makes a case that mainstream EV adoption will happen when there is price parity between ICE vehicles and EVs.

"The prices of EVs have to come closer to ICE segment vehicles. I am not talking of less than four-meter vehicles, but those ICE vehicles larger than four meters with a 28 per cent GST will have to be matched with EVs with similar price points and a range that will give peace of mind to buyers," said Chandra.

Apart from price points, EV sellers will also have to tackle the range anxiety of customers. EV adoption in India has so far been led by early adopters who were willing to go the extra mile to find charging stations and face the hassles inherent in charging infrastructure.

"Then there is another set of customers who are sitting on the fence. Even they will cross over to EVs soon. But the mainstream customers are looking for a seamless EV experience," said Chandra.

Tata Motors is focussing on the quality of charging infrastructure: Open Collaboration 2.0 will audit public chargers and issue Tata. ev verified chargers and rated them on a scale of one to five.

"We will ensure that charging guns have good connectivity and we will work to see that every charger is of adequate quality and reliability," said Balaje Rajan, chief strategic officer, Tata Motors Passenger Vehicles and Tata Passenger Electric Mobility Ltd.

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