The investment in Ola was made with the intent of testing these vehicles as electric mobility in India will gain traction in cab services rather than personal usage.
Hyundai Motor Group plans to make Ola Cabs, India’s largest cab aggregator, the test bed for a new range of affordable electric vehicles slated for introduction around 2021.
Two people aware of the development told Mint that Hyundai is developing the vehicles under its “Smart EV” platform. These “special purpose vehicles” will be designed and developed specifically for ride-hailing applications.
Ola betting big on EVs
One of the above-mentioned people informed Mint that the investment in Ola was made with the intent of testing these vehicles as electric mobility in India will gain traction in cab services rather than personal usage. The electric vehicles will be launched most likely in 2021, but with Hyundai’s capability, it can hit the market in 2020 as well.
The same person said Hyundai can supply the vehicles under the brand names of both Hyundai and Kia to Ola, or decide on only one. He, however, added that details such as production plans are still being finalized as the products are still under development.
ANI Technologies Pvt. Ltd-owned Ola, on its part, is scouting for various types of electric cars as part of its strategy to convert 20 per cent of its fleet to electric by 2021.
The plans received a boost with the Indian government earmarking ₹10,000 crore to promote electric mobility for three years till 2021 in the second phase of the Faster Adoption and Manufacturing of Electric and Hybrid Vehicles (FAME) scheme. Under the scheme, subsidies on vehicles, except two-wheelers, will be offered only to commercial fleet aggregators.
