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Oreva Electric Bike

April 21st, 2011

Oreva Electric Bike

The manufacturer of the electric battery imports to boost e-bikes

Union Budget this year is likely to pump in some steam in the sale of electric bikes in the country that use imported batteries to power them.

The country lacks a domestic manufacturer of batteries now and they are mostly imported from China. Sohinder Gill, Chief Executive Officer of Hero Electric, said: "Currently there is no manufacturer National batteries in the country. All batteries are imported. "

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Reading of the EU budget of 2011-12, the Finance Minister Pranab Mukherjee said that the total exemption from basic customs and a concessional rate of duty station by 4 percent for parts of electric vehicles has been announced in the budget would be extended batteries imported by manufacturers.

This would result in a reduction of about Rs 1500 in the cost of an electric battery which costs today about Rs 6500. A consumer needs to replace the battery on his bike once a year. As Gill says, reducing the cost of the battery is equivalent reducing fuel costs for an electric vehicle. "At the current rate of 22 per cent of heavy imports, manufacturers can pass on the benefit for consumers and reduce the cost of the battery gw240 Dell Latitude E6500 battery. "

If you drive your bike for 40 miles a day on average, given the cost of gasoline at about Rs 60, and the consumer using his bike for 300 days a year, the cost of fuel amounts to around Rs 18,000. "In the case of an electric bike, the major cost is replacing the battery, and the cost of recharge is minimal. We can save about Rs 12,000 per year on an e-bike. "Said Gill.

Most buyers are concerned about the cost of replacing the battery when they buy an e-bike, he adds. Bicycle manufacturers expect a resurgence of request through e-bikes to budget support, however, also believe that the resumption of the sale would be a slow start.

At current e-bike sales is less than one per cent of two-wheeled gasoline sold in India. Around 90,000 e-bikes sold each year.

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Jaisukh Patel, promoter of Ajanta group that makes the brand of electric bikes OREV felt that moving would certainly stimulate demand for e-bikes. However, he felt that the transition to long-term must be oriented towards indigenous manufacture of electric batteries. Currently, no manufacturer of the battery segment looks at the volumes are low. Industry insiders noted that, once volumes reach about 300,000 units per year, investment in technology specializing in the manufacture of batteries becomes profitable for battery manufacturers.

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