M&M to steer Bhutan’s electric mobility  

Mahindra & Mahindra has offered to work with the Government of Bhutan on a complete shift to electric vehicles (EVs) across user segments.

“We have given a proposal on how we can work jointly beginning with the e20 for Government and personal vehicles and then moving into the taxi fleet by the end of the year. The next step will be to get into SUVs and buses,” Pawan Goenka, Executive Director and President (Automotive & Farm Equipment Sectors) of M&M, told a select team of journalists here on Thursday.

If Bhutan decides to go completely electric with the company’s mobility proposal, there could be nearly 8,000 EVs operating in this hilly kingdom over the next three years. They will be part of the personal segment as well as taxis and intra-city uses. These will involve setting up over 3,500 charging stations at reasonable investments.

“We can do project management and set up the infrastructure with fairly cost-effective charging stations,” Goenka said. Effectively, this will be a joint effort between M&M and Bhutan.

The last three months have seen teams from the company drive 700 km “up and down” to understand Bhutan’s roads. “The Government is keen on promoting EVs and this is a major attraction for us,” he added.

Bhutan had banned import of cars for two years keeping in mind environmental concerns. This was lifted last November and only EVs will now be allowed to be imported devoid of any duty. That Bhutan is a power-surplus nation which makes electricity cheap and easily available will substantially support the cause.

Naturally, the move to EVs has attracted the interest of other automakers which will see Bhutan as a potential market for their products. Nissan was here last week with its electric Leaf and today it is M&M with the e20, which was first launched in India nearly a year ago.

Goenka, however, believes M&M is well-equipped to take on competition in Bhutan’s EV space. “The main value we will bring here is a suite of products. The Maxximo is ideal for the cab segment while the Verito is a good bet for private and taxi uses, too. Proximity to Bhutan is yet another advantage,” he said.

Goenka is also well aware that EVs are not large volume options across the world. M&M has been selling its e20 in Nepal for four months and will kick off the exercise in Sri Lanka next month. The numbers could only be a few hundred units each month, but from Goenka’s point of view, it is an opportunity to take the EV journey to countries receptive to the idea. “Towards the end of the year, we will launch our vehicles in the West and have identified four countries in Europe,” he said.

M&M believes EVs are just not a business proposition but something which can redefine the future of mobility. “Therefore, to take this forward and make them acceptable, in terms of creating the infrastructure with our technicians and service teams, we will do all that and more,” Goenka said.

That the e20 has not taken off in India could be a bit of a sore point, but M&M is not deterred. The issue here boils down to an absence of fiscal incentives from the Centre but that could change going forward. “Hopefully, other countries will realise from Bhutan that EVs are making a difference and could follow its example,” Goenka said.

(The writer is in Bhutan on an invitation from M&M)

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