Tata's Drive Into The Future
Tata EVs intend to do what Tata as a company has always been doing. Be a visionary & bring about a revolution. The environment has been degrading, carbon levels increasing, fuel prices soaring high as well as the fuel reserve depleting at top speed has been a matter of serious concern for a long time now. This scenario, however, has made the use of traditional IC engines a very outdated idea in the automobile segment. The need of the hour was to introduce a motor which was efficient, free from the usage of fuel as well as being entirely Eco-friendly. With this, started the culture of a new kind of automobiles being introduced; Electric Vehicles. Being powered by a powerful battery set up which can be charged at the convenience of the owner’s homes, these new cars have been the apple of the eye for automobile enthusiasts.
The Indian Market still remains far behind compared to the world on adapting to Electric Vehicles however India has seen the dominance of one carmaker so far in the electric segment, which is, Tata Motors. The Indian EV market has seen a rise of 110% in just 1 year out of which Tata Motors has a grip of the market by being the manufacturers for 71% of electric cars on the roads and having sold more than 10,000 units across the country, Tata undoubtedly has ascertained how they’re very interested in having a monopoly in this market. Let’s take a look at the cars that Tata has on offer.
Tata's EV Lineup
Among other Indian carmakers, Tata has the largest share of EVs on the roads. Presently, Tata has the Nexon EV and the Tigor EV which are highly popular among Indian buyers. The Nexon is known as India’s safest electric compact SUV. Along with a host of safety features, the car also brings about a great feature list and styling which makes it a highly attractive option for buyers. Powered by a 30.2 kWh battery with a 0-100 kph speed in simply 9.9 seconds ensures a thrilling driving experience. The Nexon is known to have segment-leading features including the high 245 Nm of torque which is available on demand. Tata also offers the Battery and the motor with an IP67 rating making it water-resistant as well thus being a smart choice to buy especially for Indian roads.
The Tigor EV is Tata’s sedan offering in the EV range, again high on safety features, scoring 4 stars on the Global NCAP test. Housing a cabin with great features and a bold outer look, the Tata Tigor can make heads turn with ease and of course with its punchy electric motor bringing 170 Nm of torque it makes up for a very handy sedan in the electric segment.
Tata Motors dominance doesn’t just stop here. With these two cars capturing nearly 70% of the market, it is no mystery as to how Tata can establish supremacy in the segment with an estimated launch of nearly 10 more electric vehicles in just the next 5 years with the Tiago EV, Altroz EV, Punch EV and the refreshed Tata Sierra being brought in as an EV among others set to join Tata’s EV portfolio. They’ve also announced their own commercial EV brand XPRES which has an electric sedan named the Tata XPRES – T EV priced at Rs 9.54 Lakhs (ex-showroom). Hence, Tata Motors make for a formidable EV line-up making this segment a highly competitive one.
Not only has Tata ramped up its production of EVs, but they’ve also ensured that they improve India’s infrastructure for maintaining the EVs as well as producing the batteries and required parts from their own subsidiary companies to further lower the costs of production. Tata has launched the programme ‘Tata uniEVerse‘, under which Tata brings together its subsidiaries to make provision for an entire supply chain for producing electric vehicles. Tata Power is all set to be the leading company providing charging facilities for electric vehicles with over 700 charging stations already being set up across 120 cities in India as well as many more in the pipeline. They plan to furnish fast as well as super fast-charging facilities for all EV owners and make charging the cars an easy affair.
And with Tata Chemicals all set to produce the Lithium-ion batteries themselves, Tata saves up a high amount of funding by producing batteries from their own company. Tata chemicals have already begun construction of a massive 4300 crore battery plant at Dholera, Gujarat for manufacturing batteries for Tata’s Electric Vehicle range.
Tata Autocomp assumes the responsibility of managing the design and manufacture of essential elements of electric vehicles such as the battery pack, their charging ports, and the electric driveline. Alongside these, Tata also has their company Tata ELXSI undertaking the battery management system which also happens to be among the most crucial parts of an electric vehicle optimising the range, charging speed, etc. They’re also planning to develop an AI-based battery management system for the efficient functioning of their electric vehicles. However, execution of these brilliant ideas does require massive funding and yet, Tata has that section covered as well. Let’s find out how.
World Bets on Electric!
Tata has in itself been a massive company with a global presence and has never been short of funding. However, handling such a large shift into large scale boosting of EV infrastructure and production needed as much financial assistance as possible and for that, Tata has secured a deal with the US private equity firm TPG and Abu Dhabi based holding company ADQ for infusing funding of 1 Billion USD which is nearly 7500 crore INR. Both TPG and ADQ get 11% and 15% stake in Tata’s EV business respectively and which is projected to be valued at a whopping 9.1 Billion dollars.
Tata plans on bringing a further investment of nearly 2 Billion USD for this project as well to ensure superior infrastructure and facilitating proper production and launching of EVs as the government of India aims at making 30% of private cars belong to the electric segment. This kind of funding also encourages people to have faith in the capabilities of the Indian EV market and thus boosting growth all along for this segment. Developing an entire ecosystem and a supply chain for EV production removes all the obstacles along the path of electric vehicle development and its demand among the people.
China has a capacity of 9,50,000 charging points all around. With Tata’s plans to leverage their company’s abilities in setting up the unit for EVs as a fully self-made one, the TPG deal puts this milestone of having world-class charging infrastructure within reach. This, combined with Tata’s plans to utilize their companies abilities in setting up the unit for EVs as a fully self-made one, makes Tata one of the most formidable companies in the Indian EV market.
Owning a vehicle has become a necessity in almost every family. And with such a huge demand for cars, it will be an impossible task to sustain the environment with the pollution that IC engines bring nor will it be possible to replenish the supply of fuel at the pace at which it is being consumed. Electric vehicles are undoubtedly the need for the future. Also, with the government aiding EV buyers with beneficial subsidy options, having an efficient and effective electric vehicle industry is undoubtedly a must.
India needs to ramp up its charging infrastructure and electric vehicle production for which Tata has certainly taken giant leaps. Having two successful EVs already on offer and companies up and ready to not just produce more electric vehicles but also their major components, their batteries, and most importantly charging infrastructure they have an upper hand in the growing electric car industry.
Tata has secured the required funding, have their skilled team of engineers ready to set to work from the word go and has the vision of establishing dominance over the EV market in the country, in our opinion Tata is an emerging superpower in this segment. Do share your views about Tata’s advances in electric vehicles in the comment section below!