major Honda Motor will start offering battery-swapping service to electric
three-wheelers in Bengaluru by the end of June.
Honda is seeking
to test the market in India’s tech capital before entering other cities and the
two-wheeler segment with the service. The company will begin with seven
stations before scaling up to 50 over the next 18 months, Karnataka’s
commissioner for industries, Gunjan Krishna, who led the talks with the
company, told ET.
Honda did its
proof-of-concept experiment in Mumbai, but has opted for Bengaluru to launch
the service, she said.
expansion in the Bengaluru city will happen in a phased manner. The company
hopes its battery-sharing service will accelerate the penetration of electric
vehicles (EVs) as it will address the issues of range anxiety, cost of vehicle
and waiting time for charging. The Japanese multinational will initially look
at the three-wheeler segment as e-autos are used for short-distance goods
transport as well.
Federation of Auto Dealers Association’s
Karnataka chapter chairman MP Shyam said without batteries, EVs will be much
more affordable as batteries account for about 40% of the cost. Karnataka has
been aggressively pursuing EV adoption, and even tweaked its electric vehicle
& storage policy a few months ago, to stay competitive with other states
about concessions and incentives to investors.
The Economic Times
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