EKA Mobility - Thrust on Electric Commercial Vehicle Industry

At the prime period of the Commercial Vehicles Industry, EKA team is thriving towards electrification of the passenger transportation and last mile connectivity.

In an exclusive interview with Mr. Arihant Mehta, President of Pinnacle Industries, (a parent organization of Pinnacle mobility Solutions Pvt ltd) our RACE team discussed the market progress, plans, challenges, manufacturing, safety standards, service/ distribution networks, AI involvment and new initiatives. Mr. Mehta also highlighted safety standards and EvolutioNARI, an initiative aimed at empowering women in the industry. 

As the new entrant in the e-bus market, how do you see the e-bus market progress and what is the target for 2025? 

At EKA, we are passionately committed to addressing the multifaceted challenges of public transportation and advancing electric mobility in India. 

Looking ahead to 2025, EKA aims to firmly establish itself as a leader in the e-bus segment, driven by our commitment to technological advancement and customer satisfaction. Our goal is not just to meet but to exceed industry standards, offering state-of-the-art e-buses that are not only eco-friendly but also economically viable for city administrations and transport operators across India. 

We recognize the daily challenges faced by commuters, drivers, and operators alike, and we are committed to addressing these issues through our innovative approach to e-bus design and operation. 

India faces significant challenges in public transport infrastructure, including overcrowding, pollution, and inadequate maintenance of traditional buses. Our electric buses produce zero tailpipe emissions, contributing to cleaner air in cities and reducing overall carbon footprint. 

Additionally, our maintenance-light design and efficient energy management systems help lower operational costs, making e-buses a viable long-term investment for transport operators. 

Through strategic partnerships and continuous innovation in battery technology and vehicle design, EKA plans to expand its market presence nationwide, serving major metropolitan areas as well as smaller cities and towns with tailored e-bus solutions. 

We envision a future where EKA e-buses are synonymous with reliability, comfort, and sustainability, contributing to international markets as well. 

What is the current capacity of Pinnacle and plan for the expansion? 

At Pinnacle Industries, currently, we operate 3 production units in Pithampur, Madhya Pradesh each playing a crucial role in our overall production capacity and enabling us to effectively meet market demands. In addition to our existing facilities, Pinnacle Industries is also in the process of acquiring land from the Madhya Pradesh Government for a larger facility in Pithampur. 

Furthermore, we are excited to announce the establishment of our 4th plant in Pithampur, Madhya Pradesh. This new production unit is set to be one of India's few sustainable manufacturing facilities, integrating eco-friendly practices to minimize environmental impact. Beyond its operational benefits, the new plant is expected to create over 500 employment opportunities, with a strong commitment to diversity by allocating 30% of positions to women. 

For EKA, we are set to launch our Chakan facility in Pune by the end of this year. We are also setting up micro-factories in Pune, Maharashtra, and a manufacturing unit is also in process in Pithampur, Madhya Pradesh. 

Can you provide the insights on sales and orders? 

EKA has an order book of over 1000 e-buses and more than 5000+ light commercial vehicles (LCVs). The sales and orders of electric buses are driven by a combination of regulatory policies, technological advancements, cost considerations, and environmental factors. As these factors evolve, the market for electric buses is poised for further expansion in the coming years. 

How is the OPEX model convenient for the operation of EV buses? What are the major challenges in operation and maintenance? 

The OPEX (Operational Expenditure) model offers several conveniences for the operation of Electric Vehicle (EV) buses, particularly in contrast to the traditional CAPEX (Capital Expenditure) model. One of the primary advantages of the OPEX model is that it minimizes the initial investment required to acquire EV buses. Instead of purchasing buses outright, operators can opt for leasing or long-term rental arrangements under the OPEX model. This reduces the financial burden and allows operators to deploy more buses without tying up significant capital. 

OPEX arrangements often include fixed monthly payments covering not just the lease or rental of the buses but also maintenance and operational costs. This predictable cash flow helps operators manage their budgets more effectively and plan for long-term sustainability. 

The OPEX model can mitigate risks associated with owning assets, such as depreciation and technological obsolescence. Operators can focus on their core business of providing transportation services while leaving asset management and lifecycle planning to the leasing or rental company. 

One of the major challenges for electric buses is the establishment of adequate and reliable charging infrastructure. Operators need to ensure that charging stations are strategically located, capable of fast charging to minimize downtime, and compatible with the buses in their fleet. Electric buses must have sufficient range to operate throughout their scheduled routes without requiring frequent recharging. Addressing range anxiety involves careful route planning, and considering factors such as traffic conditions, weather, and passenger load. 

Operating and maintaining electric buses may require specialized skills and training for drivers, maintenance technicians, and support staff. Training programs are essential to ensure that personnel are proficient in handling EV-specific technologies and safety protocols. 

Although the OPEX model mitigates upfront costs, the overall cost of electric buses, including batteries and charging infrastructure, can still be higher than traditional diesel or CNG buses. This initial cost barrier can be a deterrent for some operators, despite long-term operational savings. 

Could you explain the plans in terms of partnerships and investment? 

We are the only Indian OEM/EV company with 2 of the world’s largest conglomerates as strategic and equity partners. In December 2023, EKA, Mitsui & VDL Groep entered into a strategic long-term partnership that included joint investments of USD 100 million (~ INR 850 crores) in phases, equity, and technology cooperation to create a leading global OEM in India. 

This is one of the largest and most significant partnerships in the new mobility segment bringing together the strengths and expertise of three leading automotive conglomerates in Asia & Europe to accelerate the development and adoption of innovative electric mobility solutions globally. 

The alliance is firmly aligned with the Indian government's 'Make in India' initiative, aimed at promoting local manufacturing and job creation. Recently we also announced the next phase of our journey with Mitsui & Co’s second tranche investment at EKA. 

Building upon an initially phased investment plan, this highlights Mitsui & Co’s confidence in EKA’s continued expansion and innovation in the electric vehicle (EV) sector. In addition to the infusion of financial capital, this collaboration brings valuable technological support from VDL Groep, enhancing our capabilities to deliver cutting-edge EV solutions. 

These partnerships represent a significant step toward making India a global hub for electric vehicle manufacturing. At EKA Mobility, we are excited to leverage these resources to drive forward our vision of sustainable mobility, making significant strides toward a cleaner and more efficient future. 

What are the R&D efforts specific to comfort and technology? 

At EKA, our focus on electric vehicles (EVs) is driven by one of the largest and most specialized R&D teams in the industry. We have a fully-fledged R&D center with integrated functions from industrial design to simulation to Testing & Prototyping under one roof. 

As one of the only Indian companies with proprietary software and localized manufacturing capabilities, we are dedicated to democratizing EVs through accessible technology. 

By offering sharable technologies and employing low-investment production methods, we strive to minimize the Total Cost of Ownership (TCO) and pave the way for widespread adoption of electric vehicles.

Key features such as below-floor battery packaging for superior vehicle stability, proprietary vehicle software, Level 2 Advanced Driver Assistance System (ADAS), and a tilt & telescopic steering system are among the innovations incorporated to elevate user comfort and driving experience.

In addition to comfort enhancements, EKA integrates a range of safety features into their buses. These include an Advanced Driver Assist System (ADAS), Electronic Brake System (EBS), Tyre Pressure Monitoring System (TPMS), surveillance camera system, High Voltage Interlock Loop (HVIL), Short Circuit Protection, Over Temperature Protection, Lightning Protection, GPS-based Vehicle Tracking System (VTS), and a Remote Vehicle Monitoring System. 

These safety technologies collectively ensure optimal safety standards and operational reliability across EKA's vehicle lineup. 

At EKA, we take pride in being the sole Indian company to provide comprehensive end-to-end solutions for new energy vehicles, right from initial design to manufacturing and advanced technology integration, all within India.

What are the initiatives / plans on AI integration to enhance the vehicle performance? 

At EKA, we've assembled a dedicated team focused on integrating AI into our electric vehicle technology. This specialized group harnesses the power of artificial intelligence to enhance various aspects of our vehicles, from optimizing performance and efficiency to enabling advanced driver assistance systems and intelligent connectivity solutions. 

By leveraging AI, we aim to push the boundaries of innovation in the electric vehicle sector, delivering smarter, more intuitive driving experiences while advancing the future of sustainable mobility. 

We have one of the strongest senior leadership teams of Nindustry veterans, bringing decades of experience and expertise to guide our strategic direction. 

Complementing this strong foundation is our global management team, which includes representatives from our offices in Japan and Europe. 

EKA will have software-defined vehicles and will be integrated with AI features like consumption analysis, range prediction & DTE, DOE reduction for range optimization, battery life prediction, battery life enhancement, battery safety alerts, and a take-me-home mode. 

As FAME II is not extended, what is the current push in the market to buy the Electric buses? 

Governments at various levels are increasingly prioritizing sustainable transportation solutions as part of broader environmental and economic strategies. 

In response to the expiration of national incentives like FAME II, state governments have taken it upon themselves to sweeten the deal further with their plans to stimulate the growth of this new industry. 

While some have offered add-on subsidies, others are wooing manufacturers to set up their electric vehicle manufacturing factories within their jurisdictions. 

These incentives may include financial subsidies, exemptions from road tax or registration fees, and preferential tariffs for electricity used in charging infrastructure.

Furthermore, states are investing in the development of robust charging infrastructure networks to support the widespread deployment of electric buses. Strategic placement of charging stations along key transit routes and in urban centers ensures seamless operations and addresses concerns about range anxiety among operators.

Electric buses offer lower operating costs as compared to diesel or CNG buses, despite the upfront cost being higher than conventional buses. 

Operators are increasingly drawn to the significantly lower operating expenses of electric buses, driven by the lower cost of electricity compared to fossil fuels and reduced maintenance requirements. This cost-effectiveness over the vehicle's lifetime makes electric buses an attractive investment, especially as energy-efficient technologies continue to improve. 

Electric buses offer smoother acceleration, better torque, and lower center of gravity compared to conventional buses. This translates to improved ride quality, enhanced passenger comfort, and better handling on city streets and highways. 

What are all the safety features integrated in the current EKA buses? 

Comfort and safety are paramount in our design philosophy. EKA e-buses are equipped with ergonomic seating, climate control systems, and advanced suspension for a smooth ride.  

EKA buses prioritize both passenger comfort and safety through a range of advanced features integrated into their design. For passenger safety, each bus is equipped with 4 EBS (Electronic Braking System) disc brakes at the front and rear, ensuring responsive braking performance and control. 

The monocoque chassis enhances structural integrity, providing robust protection in case of impacts. 

For drivers, we focus on creating ergonomic driver cabins equipped with intuitive controls and comprehensive visibility, ensuring a comfortable and stress-free operating environment. 

Additionally, EKA buses incorporate an advanced vehicle tracking system for real-time monitoring and operational security. Electrical safety measures such as short circuit and over-temperature protection systems are also in place to ensure reliable performance under diverse circumstances. Moreover, lightning protection features safeguard both passengers and onboard electronics during adverse weather events. 

As EKA Mobility unveiled EKA K1.5 at the Bharat Mobility Global Expo, what is the plan for commercial launch? 

As we introduced the EKA K1.5 at the Bharat Mobility Global Expo, the plan for its commercial launch is already in motion. Currently available in the market, the EKA K1.5 has generated significant interest with a prospective order pipeline exceeding 5000+ units. Notably, nearly 100 units are already operational, with some vehicles proudly achieving over 40,000 kilometers in service. 

We have also partnered with the Pune Municipal Corporation (PMC) to electrify a fleet of garbage collection vehicles for the city. 

These milestones highlight the vehicle's robust performance and reliability under real-world conditions, reinforcing EKA's readiness to expand its market presence and fulfill growing customer demand for advanced electric mobility solutions. 

As you are approved in the PLI scheme, how does it benefit the company?

The PLI-Auto Scheme, which was approved by the Centre in 2021 with an outlay of Rs 25,938 crore over a five-year period, aims to boost domestic manufacturing of Advanced Automotive Technology products, including electric vehicles and their components. 

The scheme provides financial incentives of up to 18% of eligible eligible sales for electric vehicles and their components. 

Under this scheme, GST on electric vehicles has been reduced from 12% to 5%; GST on chargers/ charging stations for electric vehicles has been reduced from 18% to 5%. 

The Ministry of Road Transport and Highways (MoRTH) also announced that battery-operated Vehicles will be given green license plates and be exempted from permit requirements for carrying passengers or goods. 

MoRTH has also issued a notification advising states to waive road tax on EVs, which in turn will help reduce the initial cost of EVs. 

Can you highlight the percentage of inhouse manufacturing and who you partnered with for the motors and batteries. 

EKA Mobility collaborates with reputable suppliers, harnessing their global resources to procure high-quality components while advancing its localization objectives efficiently. This strategic approach ensures EKA's commitment to enhancing the quality and reliability of its products while supporting local economies. 

Can you provide details on after sales support and dealerships? 

EKA ensures robust after-sales support through comprehensive Annual Maintenance Contracts (AMCs) covering essential components such as tyres, high-voltage (HV) batteries, vehicle body, and all aggregates. These AMCs are tailored to meet specific customer needs, providing flexibility and ensuring optimal vehicle performance and longevity. 

Presently, EKA operates through authorized dealerships located in key cities including Delhi, Mumbai, and Pune. These dealerships serve as vital touchpoints for customers, offering sales support, service, and maintenance solutions. 

EKA Mobility has partnered with M/s PPS Group for distribution. The PPS Group is a reputable entity in the automotive industry, specializing in sales, service, parts, and distribution. This partnership strengthens EKA's distribution capabilities and enhances its ability to deliver comprehensive customer support.

To meet the increasing demand and enhance customer satisfaction further, EKA is actively planning to expand its dealership network. This expansion aims to extend the reach of quality service and support across new regions, ensuring a seamless ownership experience for all customers. 

Success and development of ‘EvolutioNARI’ where the company hires female employees on a career break. 

We recently organized a successful recruitment drive named "EvolutioNARI," which is aimed at empowering women who are looking to restart their careers. The initiative drew a significant amount of interest, with hundreds of candidates registering from Pune and various parts of Maharashtra. 

Launched in 2023 by Pinnacle Industries group, EvolutioNari is a multi-faceted initiative that focuses on three key areas: promoting gender diversity at the workplace, creating a more inclusive organization, and women empowerment. The program aims to support women employees at every stage of their career journey, from entry-level positions to leadership roles. 

Women from various professional backgrounds who had taken time off for personal reasons, such as raising a family or caring for loved ones, were invited to join this career restart drive to explore available positions across multiple departments. The selection process was thorough and rigorous, resulting in the successful placement of numerous talented women. This achievement marks a significant step towards promoting gender diversity and inclusion in the workplace. 

Through the EvolutioNARI initiative, EKA Mobility has shown its dedication to supporting women's careers, making it an inspiring model for other organizations to follow. The drive not only helped these women to relaunch their professional journeys but also reinforced EKA Mobility's commitment to creating a diverse and inclusive work environment.