In India, state-run Energy Efficiency Services Limited (EESL) plans to invest around Rs 2,400 crore ($3.7million) in 20,000 electric vehicles (EVs) for government use by March next year.
The company is likely to sign memorandum of understandings (MoUs) with the governments of Maharashtra and Gujarat this month to supply 1,000 and 8,000 EVs, respectively.
According to EESL managing director Saurabh Kumar: “We have got a good response for this project, already 100 electric vehicles are operational in Delhi. In total, we will be procuring 20,000 electric vehicles by March 2019 and we are investing around Rs 2,400 crore for buying them".
The initiative is based on government’s vision to switch to 100% electric mobility by 2030.
EESL floated a global tender for 10,000 EVs in 2017 to replace the government's fleet.
The tender, which comprised 500 vehicles to be procured in phase one and the rest in the second phase, was won by Tata Motors and Mahindra & Mahindra.
Kumar said the firm has signed a MoU with the Andhra Pradesh government to supply 10,000 cars last month and has already floated another tender of an equal number for this.
"The tender process is progressing well and we would be soon entering into agreements with Maharashtra and Gujarat governments," he added.
With these 20,000 electric cars, EESL expects to save over 5 crore (50 million) litres of fuel every year, leading to a reduction of over 5.6 lakh (+-500,000) tonnes of annual carbon dioxide emissions.