Thank You , Shri Jaitleyji,
---------------------------
Extract
:
· The finance minister has asked all government departments to switch
over from petrol and diesel to electric vehicles while hiring cars…
· In recent years, to cut down on
manpower and maintenance costs, government departments
have opted to lease
vehicles….
· ….. and has a lower operating
cost, the expenditure department said in a note to
other government departments
· North Block has issued the circular and also attached a
revamped lease agreement ……….
· Government’s own experiment to lease 10,000 electric
vehicle from public sector Energy Efficiency Sevices Limited ( EESL ) has not fully
taken off
· In fact a second tender for vehicles from companies such as TATA and Mahindra has not been issued as the
manufacturers are yet to complete the first order
· Further, officials pointed out that the charging infrastructure is inadequate with only a few chargers in NITI Aayog and just one point in
Udyog Bhavan and a few other government offices
· Before cars are leased, a network of
chargers will have to be put in place ….
=========================================================
Since Aug 2017 , I have sent 16 e-mails to the Cabinet
Ministers / NITI Aayog / EESL etc, urging that,
· EESL itself should modify its first tender ( for 10,000
Electric Cars ) from outright “ purchase “ to “ Wet Lease “
Main advantages of wet-leasing :
· Saving of initial capital outlay of Rs 1200 crore ( for 10,000
cars )
Over the next
4 years, EESL plans to replace the entire govt fleet of 500,000 petrol / diesel cars with Electric
cars
· Big saving in operating cost ( Rs / km )
· No need to worry about setting up Charging Network
( - this will happen only if the lease rent
is stipulated in “ Rs
/ km “ and not “ Rs /
month “ . Under such terms , TATA / M&M will rush to set up a wide network
of
charging
stations to ensure that their leased cars do not run out of charge and
idle )
· No worry about driver absenteeism / leave replacement
The details of advantages are explained at length
in my last email :
EESL
: It is your move now ! …………………………………………………………..[ 12 Oct 2018
]
Now
Shri Jaitleyji is a highly cultured and polite person
He
will not say : “ EESL , I want you to opt for leasing “
He
is more likely to say : “ Saurabh Kumarji, I request you to examine
the leasing option “
=========================================================
26
Dec 2018
www.hemenparekh.in / blogs
From: Hemen Parekh
[mailto:hcp@recruitguru.com]
Sent: Friday, October 12, 2018 4:58 PM
To: 'Cabinet Ministers'; 'assocham@nic.in'; 'ficci@ficci.com'; 'BJP National Executive'; 'psfs@mea.gov.in'; 'Rajeev.kher@ris.org.in'; 'Sanjeev@sanjeevsanyal.com'; 'ashah@ncaer.org'; 'Pulak.ghosh@iimb.ac.in'; 'ictsd@ictsd.ch'; 'amb-indiawto@nic.in'; 'rajiv@luthra.com'; 'cb@cii.in'; 'Editors'; 'skumar@eesl.co.in'; vdwivedi@eesl.co.in; jsaujla@eesl.co.in
Cc: 'ssbhalla@gmail.com'; 'bibek.debroy@gov.in'; 'ashima@igidr.ac.in'; 'rr1@nipfp.org.in'; 'ratanp.watal@gov.in'; 'ceo-niti@nic.in'; 'Indian Think Tanks'; 'Gurudatt Kundapurkar'; 'Haridas Shenoy'; 'Pradeep Talpade'; 'amit.doshi@dbcorp.in'; 'amitabh.kant@nic.in'; 'admin@narendramodi.in'; 'BJP-Dept-Heads'; 'Indrajit Sethi'; 'vch-niti@gov.in'; 'blchangemakers@thehindu.co.in'
Subject: OWNING ELECTRIC CARS BY EESL ? TIME TO RETHINK
Sent: Friday, October 12, 2018 4:58 PM
To: 'Cabinet Ministers'; 'assocham@nic.in'; 'ficci@ficci.com'; 'BJP National Executive'; 'psfs@mea.gov.in'; 'Rajeev.kher@ris.org.in'; 'Sanjeev@sanjeevsanyal.com'; 'ashah@ncaer.org'; 'Pulak.ghosh@iimb.ac.in'; 'ictsd@ictsd.ch'; 'amb-indiawto@nic.in'; 'rajiv@luthra.com'; 'cb@cii.in'; 'Editors'; 'skumar@eesl.co.in'; vdwivedi@eesl.co.in; jsaujla@eesl.co.in
Cc: 'ssbhalla@gmail.com'; 'bibek.debroy@gov.in'; 'ashima@igidr.ac.in'; 'rr1@nipfp.org.in'; 'ratanp.watal@gov.in'; 'ceo-niti@nic.in'; 'Indian Think Tanks'; 'Gurudatt Kundapurkar'; 'Haridas Shenoy'; 'Pradeep Talpade'; 'amit.doshi@dbcorp.in'; 'amitabh.kant@nic.in'; 'admin@narendramodi.in'; 'BJP-Dept-Heads'; 'Indrajit Sethi'; 'vch-niti@gov.in'; 'blchangemakers@thehindu.co.in'
Subject: OWNING ELECTRIC CARS BY EESL ? TIME TO RETHINK
EESL : It is your move now !
For
over a year , I have been urging EESL to ,
· Scrap
it current purchase orders ( for a total of 10,000
Electric Cars ) on TATA and M&M
( Delayed deliveries – by over ONE YEAR –
is a sufficiently good reason )
· Convert
that order into a “ Wet Leasing “ ( driver /
maintenance / insurance included )
In
my following emails ( to Shri
Saurabh Kumarji – CEO , EESL ) , you will find detailed COST / BENEFIT
analysis of “ Buying vs Leasing “ and the
potential for saving of a huge INITIAL INVESTMENT , running into thousands of
crore of rupees
I
have no idea what internal deliberations held back EESL from implementing my
suggestion but , it seems , now they are left with no other option !
How
come ?
Highlights
:
· Lease
period …………………5 years
· Lease
Rent……………………Rs 13,499 pm for KUV 100 NXT / Rs 32,999 pm for XUV 500
· Furher
Details………http://www.mahindra.com/news-room/press-release/1293780398
If
we assume that a typical car runs 2000 km per month ,
then the amounts mentioned above , would translate as follows :
· For
KUV 100 NXT……………… Rs 7 per km
· For
XUV 500…………………… Rs 16.5 per km
To
this , add following additional costs :
· Petrol
……………………………… Rs 9 per km ( assuming 10 km per litre of petrol
)
· Driver
Salary……………………. Rs 10 per km ( assuming Rs 20,000 per month )
So
, the total cost for KUV 100 NXT would come to :
· Rs
7 + Rs 9 + Rs 10 = Rs 26 per km ( for a
petrol car )
But
EESL order is for an Electric
Car which does not need any petrol
And
battery charging cost would be around Re 1 per km only , taking the total
per km cost of an electric car to :
Rs
7 + Rs 1 + Rs 10 = Rs 18 per km
Of
course , both TATA and M&M would readily bring down this figure to , Rs 12 per km when EESL
floats a fresh tender for “ Wet Leasing “
I
strongly urge EESL to insist
on a “ Per Km “ , lease rent method only ( under no circumstance , “ per
month “ method )
This
has the following distinct advantages :
· Burden
of setting up a vast Battery Charging Infrastructure , all over the country
would fall on the EV supplier since he would not want his cars to stay parked (
idle ) if discharged
· EESL
do not need to worry about a “ fully charged km range “ – even if it is only 80
km !
· Car
supplier would ensure immediate replacement of any defective car
· Car
supplier would also ensure sufficient standby drivers to take care of
absenteeism
Dear Shri Saurabh Kumarji ,
This
is your golden move to “ check
mate “ the TATA and Mahindra !
#1
EESL
: Lease cars , do not Buy ! ………………………………………………………………[ 16 Aug 2017
]
#2
Waiting
to be proved wrong ! …………………………………………………………………….[ 30 Sept 2017
]
#3
To
Buy or not to Buy ? ……………………………………………………………………………….[ 11 Oct 2017
]
#4
Logical
to Lease ………………………………………………………………………………………… [ 06 Mar 2018
]
#5
Scam
? ………………………………………………………………………………………………………….[ 08 Mar 2018 ]
#6
Buy or Lease
? ………………………………………………………………………………………………[ 03 Apr 2018 ]
#7
Do
they have an option ? …………………………………………………………………………..[
14 Apr 2018 ]
#8
Evidence
is piling up ! …………………………………………………………………………….[ 13 May 2018
]
#9
EESL
: a wake up time
?
[ 27 June
2018 ]
#10
OK , TATA ! ………………………………………………………………………………………………….[
29 June 2018
]
#11
EESL
: Grab this chance ! ……………………………………………………………………………..[ 01 Aug 2018 ]
#12
EESL
: Put it off indefinitely ! ………………………………………………………………………[ 19 Aug 2018
]
#13
EESL
: Getting Away from Straitjacket ? ……………………………………………………….[ 26 Aug 2018 ]
#14
If
China can , so can
We
[ 27
Aug 2018 ]
#15
Cars
on Subscription ? Convenience Redefined ……………………………………
[ 10 Sept 2018
]
As in case
of my earlier emails , this blog too is being sent to :
=====================================================
In addition
, this time , I am also sending this email to the following :
===================================================
PM’s
Economic Advisory Council :
===========================
Some others
:
============================
Trade
Advisory Group :
Surjit
Bhalla………………………………….. ssbhalla@gmail.com
S
Jaishankar………………………………… psfs@mea.gov.in
Rajeev
Kher……………………………….. Rajeev.kher@ris.org.in
Sanjeev
Sanyal……………………… Sanjeev@sanjeevsanyal.com / contact@idfcinstitute.org
Shekhar
Shah……………………………. ashah@ncaer.org
Vijay
Chauthaiwale……………………. { Not sending since requested to opt out
}
Pulak
Ghosh……………………………….. Pulak.ghosh@iimb.ac.in
Jayant
Dasgupta………………………… ictsd@ictsd.ch
/ amb-indiawto@nic.in
Rajiv K
Luthra……………………………… rajiv@luthra.com
Chandrajit
Banerjee…………………… cb@cii.in
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