Zoomcar and Other Self-driving Companies are Going Electric

Now it’s the time for self-driving cars to get into the race of being electric. Self-driving car rental
company Zoomcar is coming up with its own fleet of electric vehicles in the Indian market.
Sequoia Capital and Mahindra & Mahindra backed Zoomcar plans to add approximately around
3000 EV’s more on to its existing fleet of 500 EV’s and the company is aiming a year on year
growth of 400% on its EV capabilities.

Zoom car has a rental based subscription-based on an hourly, weekly and monthly basis. They
have EV vehicles from Mahindra and Tata with have an annual subscription fee of INR 15000-
20000 per month and is undertaking steps to incorporate the yet to be launched Tata Nexon SUV
on to the lot. According to the CEO of Zoomcar Mr. Greg Moran, electric cars are the future and
by looking at the current trend within 5-6 years of the time the entire set of available self-driving
rental cars would be running on electric energy.

Based on market research it has been estimated that only 5% of the total numbers of cars in this
segment are electrically powered whereas around 10-15% of the users are ready to shift to a
more environment-friendly alternative such as EV’s. Tata Power Delhi Distribution has already
created an alliance with Zoomcar to include EV on their daily operation and maintenance
activities. The project would kick off with the adoption of 12 EV powered Zoomcar vehicles. In
addition to Zoomcar, Ola is also planning the future ahead with its latest fleet transformation
program named as Ola Electric were more than 1 million electric vehicles would be touching the
road for daily commutation by the year 2021. So as to maintain a competitive advantage Uber
also has deployed 50 Electric Vehicles on to its service segment in the Hyderabad unit and is
currently undertaking the pilot testing and feasibility study on other cities.

Even the support from the government such as lower GST rates and exemption on loans have
boosted the current EV market, sales are not up to the expected mark since the sales were only
1500 units for private use in the past eight months. However the future seems to be much more
colourful as according to BIS research data as the EV market would be hitting a CAGR of 53.64
percent during the time period of 2019-2030.