Pure EV, incubated out of i-TIC IIT Hyderabad, is an electric vehicle start-up in the Indian market. Having a dedicated EV and battery manufacturing unit and a R&D centre for EV powertrain development, it retails a plethora of electric two-wheelers in the domestic market which includes scooters and motorcycles. Recently, we got the opportunity to speak with Rohit Vadera, CEO, Pure EV about the brand’s vision and expansion plan for India. Vadera also spoke about the company’s Ecodryft electric motorcycle which was launched last year in the country. He also spoke about the FAME II subsidy which is offered by the Union Govt on the purchase of electric vehicles. Below are the edited excerpts of the interview:
What is the vision of PURE EV?
PURE EV is an EV Two Wheeler (EV2W) manufacturer based out of Telangana. The company’s core DNA is R&D and the company has 100+ IP filings. One of the few EV2W OEMs that manufactures their battery packs in-house with proprietary technologies.
PURE EV currently only caters to the B2C segment via a dedicated dealership model across India and also exports to Nepal and Bhutan.
The company’s growth strategy is twofold, one via an aggressive dealership network expansion across domestic and export markets. Domestically expanding footprint across West, East and North India and replicate our strong South India presence across these regions as well. Exports expansion by reaching Africa, the Middle East and other South Asian countries in the coming years.
The other via driving incremental sales growth from the existing dealerships. Thanks to PURE’s unique sales and after sales experience, we have industry-leading vehicle sales per store amongst EV2W players. We are confident that this will further improve in the coming years.
What is the expansion plan of PURE EV for the next 5 years?
Both the central and the state governments are taking steps in the right direction to nurture the growth of a sustainable and a robust EV ecosystem. Buoyed by our past sales and future plans, we are in the midst of an expansion and doubling our capacity.
PURE is not part of the FAME subsidies so we have always strived to build a sustainable business model with prudent practices. This expansion is being met with internal accruals and some debt. In the future, we would like to raise funds via a mix of both debt and equity to ensure we can be in line with our aggressive expansion across geographies.
We have seen numerous scooter makers in the budget segment that ECODRYFT falls into. However, there are very few bike (conventionally styled motorcycles) makers in it. Could you please throw some light on that?
The budget segment of scooters has numerous manufacturers, but there are fewer makers of conventionally styled motorcycles in that category. This could be due to the higher production costs and relatively lower demand for budget motorcycles compared to scooters. Conventionally styled motorcycles often involve more complex engineering and manufacturing processes, which can result in higher production costs. This may make it challenging for manufacturers to offer competitively priced motorcycles in the budget segment. However, there are still a few manufacturers catering to customers seeking budget-friendly motorcycles in the conventional style. These manufacturers cater to customers who prioritise the traditional motorcycle experience, offering budget-friendly options without compromising on performance or design.
It depends on the electricity cost at the consumer level across the states. For example, if the unit cost of electricity is Rs 8/-, then the average cost per km would be around 25 paise which is less than 20% of the cost per km compared to a petrol commute motorcycle.
How is the ecoDryft doing in terms of sales? Any plans of expanding the e-motorcycle lineup?
Motorcycles have been our long term ambition and we have been working towards a vehicle that caters to the cost conscious Indian consumer for the last 5 years. All of our learnings and technological developments over this period has helped us to come up with the all-new ecoDryft.
Commute motorcycles are the preferred daily driver for an average Indian consumer. This is very clear with the consistent sales numbers of these motorcycles in the overall two wheeler sales landscape in India.
We have received tremendous response for ecoDryft with 10,000+ bookings and we have started the deliveries to customers from the month of March.
Apart from ecoDryft, we also have our premium electric motorcycle, eTryst 350 that was launched in Aug 2022. So our focus for the next few years is towards brand building with newer facelifts and upgrades and not expanding our line up.
What were some of the major challenges you endured while developing the ecoDryft? How did you address them?
All of our learnings and technological developments over this period has helped us to come up with the ecoDryft.
Developing a powertrain that is suited for the rugged Indian conditions like the terrain and the temperature has been the biggest challenge that we faced during this development phase. So, the most optimum and efficient power train is critical and crucial when it comes to these features as it needs to be reliable. We have tested ecoDryft extensively and rigorously across multiple conditions and are very happy with the results.
The entire product engineering has been done to provide a very stable and comfortable ride experience even at a speed of 75 kmph and to deliver a smooth ride.
This is also a demonstration of PURE EV’s significant learnings in the powertrain design and development at our R&D centre. The core R&D activities of the company are aligned keeping in mind the expectations of the average Indian customer who generally prefers a commuting vehicle that satisfies their daily requirements without compromising on comfort and reliability.
Can you share some insights on the upcoming product launches by PURE EV?
At present, our primary focus lies in diligently refining and updating our existing models to deliver enhanced versions to our discerning customers. By investing our efforts in continuous improvement and innovation, we are dedicated to providing cutting-edge advancements, incorporating the latest technologies, and optimising the features and design elements of our current lineup. We remain committed to upholding our reputation for excellence by consistently exceeding customer expectations through the evolution of our existing product offerings.
How many dealerships do you have?
We boast an extensive network of 130+ authorised dealerships, a testament to our widespread presence and commitment to customer satisfaction.
What are your thoughts on the FAME II subsidy?
The government has demonstrated a commendable commitment to fostering the growth of the electric vehicle (EV) two-wheeler industry by implementing various key measures throughout the year. Notably, these measures include significant enhancements in terms of Goods and Services Tax (GST) interest, the Faster Adoption and Manufacturing of Electric Vehicles (FAME) initiative, income tax provisions, custom duty revisions, and the Production Linked Incentive (PLI) scheme. These well-considered actions have played a pivotal role in bolstering the industry and facilitating its upward trajectory.
The government’s approval of Phase II of the FAME Scheme with a budget of Rs. 10,000 Crore for three years demonstrates its commitment to promoting the electric vehicle (EV) industry. The scheme primarily focuses on creating demand for xEVs, with approximately 86% of the budget allocated for the Demand Incentive component. This phase aims to support the adoption of 7000 e-Buses, 5 lakhs e-3 Wheelers, 55000 e-4 Wheeler Passenger Cars, and 10 lakhs EV-2 Wheelers. Additionally, the scheme incentivizes advanced battery technology and registered vehicles, mainly targeting public transportation and commercially registered vehicles. The government’s ongoing support through the PLI Scheme has also significantly benefited EV two-wheeler manufacturers.
Initially, the government extended subsidies to incentivize and facilitate the growth of the electric vehicle (EV) industry. However, in the current scenario, the industry has made significant strides towards achieving stability, accompanied by the establishment of a robust EV ecosystem. This indicates a mature and strategic approach taken by the government to position the EV industry as an independent and self-sustaining sector. The industry’s progress and the development of a self-reliant EV ecosystem reflect the effectiveness of the government’s forward-thinking initiatives and its commitment to fostering a thriving and independent EV sector.
PURE is not part of the FAME subsidies so we have always strived to build a sustainable business model with prudent practices. This expansion is being met with internal accruals and some debt. In the future, we would like to raise funds via a mix of both debt and equity to ensure we can be in line with our aggressive expansion across geographies.
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