It is investing INR 350 crore in the first plant which is spread over 2 lakh square feet at Shoolagiri and has a capacity of 1 million units per annum
In one of the highest investment commitments made in the Indian EV industry till date, Bengaluru-based electric vehicle company Simple Energy has said that it will be spending Rs 2,500 crore over the next five years in setting up an electric vehicle manufacturing facility in Tamil Nadu.
The company signed a memorandum of understanding (MoU) with the Tamil Nadu government for constructing the largest electric two-wheeler plant in Dharmapuri with the investment, the company said.
“With the MoU, we commit to leading the Indian E2W market in India by setting up a resourceful ecosystem that will help the country’s vision to lower carbon footprints at a faster pace. Simple Energy will thus redefine electric mobility in India,” said Suhas Rajkumar, Founder and CEO of Simple Energy.
The company said in a statement that the proposed facility, spread across 600 acres of land, would be the company’s second such production unit and is expected to be functional by 2023.
It is investing INR 350 crore in the first plant which is spread over 2 lakh square feet at Shoolagiri and has a capacity of 1 million units per annum.
The Hosur unit is scheduled to commence operations from early next year, as per Simple Energy. This would put Simple Energy’s flagship scooter ‘Simple One’ into production, it said.
As per the initial pact, the company will make an initial investment of Rs 1,000 crore to build its second plant (as part of Phase 2) in 600 acres of land and intends to open the second factory by 2023.
By investing in the second plant, the company has established its intent to build an EV ecosystem in the state, that would also have a future-ready R&D centre, world-class testing facility, a vendor park under the Build in India initiative, Simple Energy said.
With the announcement of this MoU, the company would want to invest in world-class production capabilities not just for the Indian market, but also for exports to eventually create more than 12,000 direct and indirect jobs for those in need, according to the release.
“Simple Energy has taken a big step in taking the Indian EV industry forward. With this step, we hope to amplify the country’s efforts to promote the tech and auto industries to a global level and compete with global legacy players,” said Raghunath Subramanian, Simple Energy Board member and Chairman of UiPath India and Investor in UK battery maker, Britishvolt.
