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as an excellent model for digital native enterprises throughout the world. I believe that Indian startup ecosystem is just getting started. It's Day Zero and we are super excited about the potential of the startup ecosystem over the next decade, onwards and upwards," Natarajan stated. As per the report, factors such as building for 'Bharat', investments, talent availability, and ecosystem support are driving entrepreneurs to use emerging hubs to create businesses. Entrepreneurs are developing solutions for the entire country, with a focus on fundamental and core requirements, localisation, and the promise of delivering equality to the masses. Established startup centres like Delhi-NCR, Bangalore, Chennai, Pune, Hyderabad and Mumbai account for 71 per cent of all startups. Outside of the developing startup centres like Jaipur, Kochi, Kolkata, Chandigarh and others, 29 per cent of all startups are located, it added. Diversity and inclusion are becoming hallmarks of the Indian tech start-up ecosystem as at least one-woman founder/co-founder is present in 12-15 per cent of start-ups and 10 unicorns. India accounting for 70 unicorns (companies with over USD 1 billion valuation) added a record number of new unicorns (42) in 2021 across 18 sectors, third highest after the US and China, with a cumulative valuation of newly added unicorns stands around USD 90 billion. Pipeline of potential unicorns expanded dramatically through 2021 reaching 135, and 6x increase in global unicorns with Indian technology center as compared to 2015, the report said. Few priority areas that can further fuel the growth of the startup ecosystem are encouraging tech startups to innovate for India, retain the best digital talent in the country, procurement reforms to enable startups scale, create avenues for attracting foreign investments into Indian start-ups, and grow global thought leadership for "world class from India". Also Read:
Electric scooters may get costlier as FAME incentives taper off: Crisil With a strong pick up in the adoption of electric two-wheelers which is translating into robust sales of e-two wheeler companies, there is also a possibility of becoming costlier by INR 45,000 in fiscal 2025, says a report, which can be offset by the ( ) for EVs. The brisk adoption of EVs is likely to continue now due to better cost economics, availability of multiple models, and feasibility of home-charging options. The sentiment reflects in the quick turnover of e-two wheeler companies. WardWizard, a manufacturer of e-two wheeler called Joy e-bike, registered sales of 4,450 units of the vehicle in February 2022, by recording a robust growth of 1,290% as compared to February 2021 when the company sold 320 units of e-two wheelers, on the back of surging demand in the country. In the current financial year (April-February FY 2022), the company crossed the 25,000 sales mark. Another player, Hero Electric has been the first in the industry to develop and launch the first lithium-ion based e-scooters in India and has over 4.5 lakh electric two-wheelers on the roads. The total sales of electric two-wheelers, including high-speed and low-speed, in the 12-month period (January-December) in 2021 increased by 132% over the corresponding year 2020. However, the Crisil report highlights the penetration of EV has been largely driven by subsidies, especially the Faster Adoption and Manufacturing of Hybrid and Electric Vehicle (FAME) scheme under the and subsidies offered by various states. These incentives have bridged the gap between the purchasing cost of a traditional, internal combustion engine (ICE) vehicle and that of an EV, the report notes. From 60-65% of total outlay under FAME first phase, the incentives have risen to 85% under FAME second phase. Over the past five fiscals, subsidies have accelerated EV sales rapidly (more than 20% on-year growth in most segments) on a low base of fiscal 2017 and despite the pandemic, the Crisil analysis shows. Owing to the FAME incentive, the total cost of acquisition (TCA) of electric scooters would be lower than that of ICE variants by INR 7,500-9,500 in fiscal 2022 and fiscal 2023. Given that sales are expected to spike over the next few years, the FAME II subsidy is expected to get over in fiscal 2023, as against the government deadline of a year later. This, according to Crisil, means that in fiscal 2025, electric scooters could become costlier by INR 45,000 compared with fiscal 2023 (INR 45,000 FAME subsidy and INR 10,000 registration incentive, even as economies of scale afford a reduction in vehicle prices). The TCA is also expected to increase by INR 18,000-20,000 between fiscals 2023 and 2025, considering 25% down-payment on the cost of vehicle (plus registration and insurance cost). This will make the TCA of electric scooters higher than that of ICE variants, which can potentially affect penetration, though this can be offset
of vehicle (plus registration and insurance cost). This will make the TCA of electric scooters higher than that of ICE variants, which can potentially affect penetration, though this can be offset somewhat if electric two-wheeler makers share the benefits of PLI with customers. As the get exhausted -- likely by fiscal 2024 -- the PLI scheme could drive EV adoption. The latest PLI scheme for EVs and hydrogen fuel cell vehicles, which is aimed at enhancing India's manufacturing capabilities for advanced products for five fiscals beginning 2023, can restrict any steep increase in TCA and keep it around ICE variant levels, the report suggests. So, as FAME II rides into the sunset, PLI could step in to support demand and subsequently push manufacturers to make investments in capacity building. To cite an example, an electric scooter with an ex-showroom price of up to INR 1.4 lakh (without FAME incentive) and on-road price of INR 1.04 lakh (net of FAME incentive, and inclusive of registration, insurance and other miscellaneous costs) could realise incentives up to INR 17,000 per vehicle over the period of the PLI scheme. This is approximately 10-12% of the ex-showroom cost of the electric scooter. Additionally, the TCA of electric scooters could be similar to ICE variants if 75% of the expected PLI benefit is passed on to customers. In a scenario where 100% of the PLI benefit is passed on to buyers, the TCA of electric scooters would be INR 1,000 lower than that of ICE variants. Overall, the PLI scheme is expected to push up adoption of electric scooters, given the availability of more models and significantly lower pricing. As such, vehicle makers will have enough incentive to invest in the manufacturing of electric scooters, which will boost supplies. The motorcycle segment, too, would be eligible for the PLI benefit where, after the FAME II incentives get over, TCA is expected to increase by INR 15,000 from fiscal 2023 to fiscal 2025. However, limited models and higher price will remain a deterrent versus electric scooters. Also Read:
EV battery company Pointo raises USD 3 million funding start-up has raised USD 3 million from investors for its expansion into 20 districts of . The EV company, backed by Mufin finance, said that 4MW li-ion batteries will be deployed in West Bengal by 2024. The company said that it plans to create the biggest battery supply and service chain in India.“EVs are dependent on batteries which are expensive and comprise 40-50 per cent of the vehicle's cost. The first adopted EVs on Indian roads are the two & three-wheelers, majority of which use lead acid batteries incurring high charging time and low life. Considering the huge growth in this of EVs comprising 2.5 million e-rickshaws, it is time to transition from lead acid to Li-ion batteries. Most of these drivers stay on the roads for 11-12 hours but travel for approx. 5-6 hours a day, providing them enough time to use fast charging points at their nearest Pointo centres and get the required maintenance services. This reduces the of the battery and allows the customers to own them using a pay & use model with financing and buy-back policies,” Pointo founder Riki Biswas said. “We aim to power and accelerate the future of the mobility sector in India through our AI-based battery platform. Currently, we are only catering to a very particular segment of the sector. We plan to cater to 2-wheelers and the wider B2C vehicle segment in the next 5 years,” Riki adds. Based on the concept of ‘single-solution leading to multiple changes’, Pointo has built a wider eco-system for 3-wheeler e-vehicles. Along with their charging and maintenance facilities, they are also facilitating a system for purchasing and helping the under-served drivers generate income. Pointo is also assisting the driver’s family by providing them with family as well as battery insurance. The platform has around 3000+ customers generating an income of Rs 16.8 lakh for drivers.
Wardwizard Innovations appoints Akhtar Khatri as Director - Sales and Strategy New Delhi: & Mobility Limited, a leading manufacturer of electric two-wheelers under the brand ' ' and three-wheelers under the brand 'Joy e-rik' in India, has appointed as Director - Sales and Strategy (Domestic and International Sales). With an illustrious career spanning over 25 years, Khatri brings a wealth of experience and expertise in banking, finance, sales, and marketing to his new role. Khatri will handle Sales and Strategy for 2W4W business and explore the international market, the company said in a media release. He will be developing strategic plans for increasing sales to align with business goals. He will also take care of Institutional Sales and Corporate Business. Khatri will play a pivotal role in steering Wardwizard Innovations' sales ventures to new heights while aligning them with the company's primary vision. His proactive approach and comprehensive skill set will be instrumental in capitalising on market opportunities and fortifying Wardwizard's position as a leader in sustainable mobility solutions, the release said. Yatin Gupte, Chairman and Managing Director, Wardwizard Innovations & Mobility Limited, said, “We are delighted to welcome Mr. Akhtar Khatri to the Wardwizard Innovations family. His proven track record and strategic acumen make him an invaluable addition to our leadership team. We are confident that under his guidance, we will continue to innovate, expand our market presence, and deliver exceptional value to our customers.” “I am honoured to be appointed as the Director - Sales & Strategy (Domestic & International Sales) at Wardwizard Innovations & Mobility Limited. The company's commitment to pioneering electric mobility solutions aligns with my personal and professional ethos. I look forward to collaborating with the talented team at Wardwizard to drive sustainable growth and create a lasting impact,” Khatri said. Khatri joins Wardwizard Innovations from Mangalam Industrial Finance Limited, where he served as the Chief Finance Officer. Prior to his tenure at Mangalam Industrial Finance Limited, he held key positions such as NRI Business Head at AXIS Bank Ltd. and Senior Divisional Manager at Bajaj Allianz Life Insurance Co. Ltd. With a keen eye for planning, strategy, and implementation, Khatri has consistently displayed his ability to augment sales growth and profitability throughout his career. His extensive knowledge in banking, insurance, and investment banking, coupled with his proven leadership skills, make him a valuable asset to Wardwizard, the release said. Wardwizard Innovations & Mobility Limited looks forward to leveraging Khatri's expertise to drive progressive strategies that align with the company's commitment to sustainable and innovative mobility solutions.
Edelweiss General Insurance launches ‘Pay as you Drive’ add-on motor insurance product ( ) has launched the Switch Pay as you Drive (PAYD) add on for its private car package policy, adding to its usage-based motor insurance product suite in India. EGI had launched Switch 2.0 earlier this month. This product combines pay as you drive and pay how you drive benefits. Insurance Regulatory and Development Authority of India ( ’s) new guidelines permit general insurance companies to introduce tech-enabled concepts for Motor Own Damage (OD) cover. EGI has been developing this category for over two years, with telematics enabled, app-based products, according to a release. Switch Pay-As-You-Drive add-on cover allows customers to get a discount on their Own Damage (OD) premium depending upon their annual usage in terms of distance covered. Until now, under a regular motor policy, there was no difference in the premium paid by a customer who hardly used the vehicle when compared to a high usage vehicle owner. Now, with this add-on feature, the product can be added as a bolt-on to existing motor insurance products. The premium will be charged according to the kilometers travelled by the car. Drive less, pay less with this add on. The Pay as you Drive (PAYD) add-on gives customers three slab options of Own Damage cover - up to 5,000 km; 5,000 to 7,500 km; 7,500-10,000 km annually. Based on their annual usage pattern, customers can opt for the slab that best suits their use. Customers will be able to save up to 25% on their premium with this add-on. In case the annual car usage goes above the slab opted for, then the customer can buy a top-up cover for additional usage. This product is ideal for customers who work in hybrid or environments, or have company provided transport or use public transport for work commute, retired customers, people with multiple cars who use their secondary vehicles sparingly. Commenting on the launch, Shanai Ghosh, executive director & CEO, General Insurance, said, “We always believed that usage-based insurance has huge potential in India. We have been working on this concept since 2020 and have launched two products on the same concept under IRDAI’s sandbox.” Edelweiss General Insurance started operations in 2018 and has presence across digital marketing places and partnerships with , Phonepe, Ola, ClearTrip, Dunzo, Intermiles, PayNearby, Instakart, Pazcare among others.
Govt tells auto firms to liberalise repair services for consumers' benefit New Delhi: The Centre's has asked automobile manufacturers to enhance efforts towards democratisation of repair manuals and videos accessible to all, fostering a robust ecosystem for third-party repair services and upholding consumer rights. The issue was taken up by Secretary, Department Consumer Affairs, at a meeting with Automobile Associations and their partner companies in the Automobile Sector with the objective of onboarding auto companies onto the Right to Repair Portal India, according to an official statement issued on Saturday. The meeting was attended by various representatives of Automobile Associations like , , , Foundation and companies including Tata Motors, Mahindra & Mahindra, TVS, Royal Enfield, Renault and Bosch, Yamaha Motors India, Honda Car India were also present. The Government has launched the Right to Repair Portal India to provide consumers with easy access to information for repairing their products and enabling them to reuse it, thereby contributing to the circular economy as well as reduction of e-waste in a hassle-free manner. In the meeting, it was emphasised that products that cannot be repaired or are subject to planned obsolescence-designed with an artificially limited lifespan-contribute to e-waste and compel consumers to purchase new products due to lack of repair options or extremely expensive repair options for reuse. Therefore, the goal is to eliminate obstacles such as restricted access to tools or repair information, ensuring that consumers have complete ownership of the products they purchase. "Over time, it has been noted that repair services are increasingly constrained due to significant delays in service and absence of repair documentation for vehicles. Additionally, products are sometimes repaired at excessively high costs, leaving consumers dissatisfied with repair services which often delays repairs, even if necessary, due to limited repair options," it was pointed out at the meeting. A major constraint is also the availability of genuine spare parts at affordable prices. Often their unavailability at affordable prices forces consumers towards purchasing counterfeit spare parts from the grey markets. Further, lack of accessible information for minor repairs or do it yourself guides, exacerbates consumer distress, adding to their financial burden and overall dissatisfaction. Stress was also laid on offering roadside assistance to consumers, especially on highways and introducing a repairability index of the vehicle that provides information on the life of the product, easy repair ecosystem, availability of spare parts, detailed manual on self-repair, warranty on different parts. These measures aim to empower consumers with informed choices regarding the post-sales service of their products, besides ease in enjoying their products fully. The meeting concluded with the consensus to onboard the Right to Repair Portal and adopt
choices regarding the post-sales service of their products, besides ease in enjoying their products fully. The meeting concluded with the consensus to onboard the Right to Repair Portal and adopt a greater collaborative approach in providing a vibrant post-sale services to the consumers. The discussions also covered topics such as aligning standardisation of parts along with standardisation of skilled workmanship, companies developing catalogues that should benefit consumers for post-purchase service and longevity of product life, and measures for addressing deceptive practices in repair workshops in the name of motor insurance that contribute to unnecessary generation of plastic waste. It was stressed that details of Companies Service Centre across India and Recognition third-parties repairers, if any, by the companies and Information on country of origin to be explicitly mentioned. Some companies like TVS have shared their post-onboarding experiences on the portal. Companies including Tata Motors and TVS discussed how, based on complaints received from the National Consumer Helpline, they identified key repair issues and subsequently created repair videos accessible to consumers via their official YouTube channels.
Govt proposes hike in third party motor insurance premium from next fiscal The has proposed an increase in the for various categories of vehicles, which is likely to jack up insurance cost of car and two-wheelers from April 1. According to the proposed revised rates, private cars with 1,000 cubic capacity (cc) will attract rates of INR 2,094 compared to INR 2,072 in 2019-20. Similarly, private cars with 1,000 cc to 1,500 cc will attract rates of INR 3,416 compared to INR 3,221, while owners of car above 1,500cc will see a premium of INR 7,897 compared to INR 7,890. Two-wheelers over 150 cc but not exceeding 350 cc will attract a premium of INR 1,366 and for two-wheelers over 350 cc the revised premium will be INR 2,804. After two years moratorium due to COVID-19 pandemic, the revised TP insurance premium will come into effect from April 1. Earlier, TP rates were notified by the insurance regulator . This is also for the first time that the road transport ministry will notify the TP rates in consultation with the insurance regulator. According to the draft notification, a discount of 15 per cent is proposed for electric private cars, electric two-wheelers, electric goods-carrying commercial vehicles and electric passenger-carrying vehicles. A discount of 7.5 per cent on Motor TP premium rates for hybrid electric vehicles is proposed, the draft notification said, adding that this will be an incentive to use environment-friendly vehicles. While electric private cars (not exceeding 30KW) will attract a premium of INR 1,780, for electric private cars (exceeding 30 KW but not exceeding 65 KW) premium will be INR 2,904. The premium for goods carrying commercial vehicles (exceeding 12,000 kg but not exceeding 20,000 kg) would increase to INR 35,313 from INR 33,414 in 2019-20. Similarly, in case goods carrying commercial vehicles ( exceeding 40,000 kg), the premium will increase to INR 44,242 compared to INR 41,561 in 2019-20. The third party insurance cover is for other than own damage and is mandatory along with the own damage cover that a vehicle owner has to purchase. This insurance cover is for any collateral damage to a third party, generally a human being, caused due to a road accident. The ministry has invited suggestions on the draft notification by March-end. Also Read:
The double-edged sword of connected cars and cybersecurity New in-vehicle capabilities, such as over-the-air (OTA) upgrades and features on demand (FOD), as well as broader industry advantages, can be unlocked through connected technology. Yet as technology progresses, also grow. This two-edged sword is discussed by Upstream Security. Upstream, a provider of data-management and solutions, examined the cybersecurity dangers affecting the in its fifth annual study. Its team of experts looked at 1,173 occurrences going back to 2010, and they also kept an eye on hundreds of forums on the deep and dark web. While new improvements in automotive technology enable linked features, they also open up new attack vectors. Automobile manufacturers, , and insurers are at danger due to the escalating cybersecurity risks facing the sector. In general, a rising number of stakeholders are becoming interested in smart transportation ecosystems. Subscription services, mobility-as-a-service (MaaS), and third-party mobile apps are of particular interest. Yet, in order to safeguard individual security, private information, and system trust, risk management will be necessary for all of these opportunities. Infrastructure for (EVs) is one new attack vector. Although essential to EV development, only made up 4% of all occurrences in 2017. Upstream gave various instances of assaults on infrastructure. Several attacks had more disruptive goals, while one aimed to make a geopolitical statement. Application programming interfaces (APIs) allow communication between various software components in other places. These intermediates can create risks in addition to possible revenue sources for companies in the automobile industry. According to Upstream, 12% of all occurrences in 2022 were API assaults, which saw a 380% year-over-year rise in frequency. Attacks on these types of linked automobile systems may be conducted by a variety of different persons or organizations, or "hats," as they are sometimes referred to. Black hats could try to exploit weaknesses as white hats try to remedy cybersecurity shortcomings. Grey hats can be seen in between the first two groups. There are also car owners that try to hack into their own cars to unlock features. The WP.29 R155 and ISO/SAE 21434 are a couple of the rules and standards that the auto industry has put into place. However Upstream points out that both only stress the necessity of rigorous cybersecurity assessments without defining particular remedies or procedures. must strive to balance the vexing issues of connectivity and cybersecurity in the short future.
Progressive's quarterly profit surges on strong demand for auto insurance policies Insurer Progressive Corp posted a more than fourfold jump in its second-quarter profit on Tuesday, driven by strong demand for its personal , sending its shares up 3.5% in premarket trading. Rising wages and a strong labor market encouraged customers to revive their spending on auto insurance, one of Progressive's core businesses. The company has also benefited from large pricing increases in premiums. Mayfield Village, Ohio-based Progressive provides insurance for personal and commercial autos and trucks, motorcycles, boats, recreational vehicles and homes. The company had 21.5 million personal auto insurance policies in force, up 10% over the year earlier. Property business policies were also up 12% in the quarter. Net premium written jumped 22% to USD 17.90 billion. Progressive's combined ratio was 91.9%, compared with 100.4% a year earlier. A ratio below 100% means the insurer earned more in premiums than it paid out in claims. Net income of the insurer rose to USD 1.46 billion, or USD 2.48 per share, in the quarter, from USD 345.4 million, or USD 0.57 per share, a year earlier. Progressive's shares have gained 36.3% so far this year, compared with an 18% gain in the S&P 500 index during the period.
Ratings of road contractors in the offing to curb errant operators: Nitin Gadkari The centre is working on rating contractors in the sector to weed out errant operators. Roads, Transport, and Highways Minister said that the rating can take into account the financial and contract execution performance over the last five years of such contractors. “The financial and technical qualifications were very stringent earlier. This had reduced the number of players in the road sector. Then we diluted it so much that bid amounts fell 30-50%, affecting road quality,” he said. Gadkari said that the earlier system promoted cartelization but the new system has its shortfalls as well. “We now want to rate contractors. Our basic aim is to reduce the cost of construction and improve its quality, while also increasing the speed,” he added. Sharing contours of the plan, Gadkari said the contractor’s turnover of the past five years, income tax record for the same period, (GST) returns, contract violations, and profit loss statement can be a factor for basing the ratings. He was speaking at the launch of India’s first surety bond product offered by Bajaj Alliance. Such bonds can be used as a substitute for bank guarantees in government procurement tenders. The Insurance Regulatory and Development Authority of India (IRDAI) had issued guidelines for these bonds and allowed their issuance from April 1 this year. These guidelines have listed six types of Surety Contracts. These contracts are being viewed as essential for meeting the infrastructure development goals. In the Union Budget 2022-23, Finance Minister had also announced that surety bonds will be accepted as a substitute for bank guarantee in government procurements. This was done with the intent to reduce indirect cost for suppliers and work-contractors.
Budget 2024: Will interim budget roll out the red carpet for Tesla? : In recent years, India's drive to get Tesla be part of its localisation push has increased and trade minister Piyush Goyal's visit to 's auto factory added wings to the dreams. Goyal had also said that the US-based electric vehicle major would double its imports of auto components from India. Tesla Inc.'s Chief, Elon Musk, met with Prime Minister Narendra Modi in June in New York. Following the meeting, Musk expressed intentions to visit India in 2024. The Austin-based electric vehicle (EV) giant had pursued reduced import duties on EVs in India in 2021, aiming for rates slashed to 40% from the existing 70%-100%. Tesla eyes India's burgeoning middle class in one of the most promising EV markets globally. Back in August 2021, Musk hinted at the possibility of Tesla establishing a manufacturing unit in India, contingent upon the success of imported vehicles in the country. He highlighted Tesla's interest in introducing its vehicles to India but pointed out that the country held the highest import duties among major nations, which posed a challenge. However, India had in the past stated that Tesla will have to manufacture cars in India and not China if the company wants to come and sell vehicles here. Union Road Transport and Highways Minister Nitin Gadkari had in 2022 said Musk will not get any special treatment when it comes to customs duties. But now things seems to be moving fast for India to roll out the red carpet to bring Tesla's investments and policies can likely feature in the . Tesla's potential investment aligns with India's economic objectives, boosting manufacturing's GDP share and job creation. Economic Times had reported citing sources carmaker Tesla is willing to invest up to $2 billion for setting up a local factory if the government approves a concessional duty of 15% on imported vehicles during its first two years of operations in India. India levies a steep 100% import duty on cars with cost, insurance and freight value of more than $40,000, and 70% on vehicles that have a lower price tag. Tesla has approached the union government with a detailed proposal linking the quantum of investment to the number of cars it can import at lower duty, ET reported. The company is willing to invest up to $500 million if the government extends concessional tariff for 12,000 vehicles and can increase this up to $2 billion if the reduced duty is approved for 30,000 vehicles. Reports indicate that India is contemplating tax reductions on fully assembled electric vehicle imports, potentially spanning five years, aiming to attract companies like Tesla Inc. to market and potentially manufacture their vehicles within the nation. According to Bloomberg's sources, the Indian government is formulating an electric vehicle policy that would enable global automakers to import battery-powered vehicles at concessional duty rates, provided they commit to local production in the future.
is formulating an electric vehicle policy that would enable global automakers to import battery-powered vehicles at concessional duty rates, provided they commit to local production in the future. Tesla's possible entry via tax reduction could reshape the EV landscape in India. However, India's will then have to balance this advantage with local automakers' concerns. and Mahindra & Mahindra, major Indian players, have voiced concerns about reduced EV taxes, emphasising the need for early-stage government support. These manufacturers worry about increased competition from globally favored high-end EVs due to tax cuts. Any electric vehicle policy in the interim budget, especially favoring overseas players like Tesla, poses challenges for India's mass-market car manufacturers. The budget's decisions will then impact not just Tesla's entry but also the future landscape for local EV manufacturers. Tesla is anticipated to unveil its Indian plant's plans during January's Vibrant Gujarat Summit, attended by CEO Elon Musk, as per media reports. The selection of Gujarat aligns with Tesla's export-focused strategy, aiming to serve both local and global markets, as reported by the Ahmedabad Mirror. Earlier, Gujarat, Maharashtra and Tamil Nadu were being considered by the company given the well-established ecosystems for electric vehicles and exports.
India weighs selling part of BPCL instead of full stake: Sources NEW DELHI: is considering selling up to a quarter of state-run refiner after failing to attract suitors for the whole firm, two officials said, as the government's divestment programme moves slower than expected. New Delhi is considering inviting bids for a 20%-25% stake in , instead of an outright sale of its entire 52.98% holding, the two government officials, who declined to be named, told Reuters. The officials said discussions about the plan were in the early stages. Initially, the government had aimed to raise $8-$10 billion from selling its full stake in BPCL. Having drawn up plans four years ago, it invited bids in 2020, hoping major players such as Russia's Rosneft might be interested. But Rosneft and Saudi Aramco did not bid, as low oil prices at that time and weak demand curbed their investment plans. The government officials said even a part sale of BPCL was unlikely to be completed this fiscal year as the process would take over 12 months. Sale prospects were hit by inconsistent policies on petrol and diesel prices, one of them said. "There were many issues but most recently petrol prices not being raised for four months between November and February were presumed due to elections by the government," the official said. India had elections in five states including the bellwether in February and pump prices only started moving up from March 22, by which time Prime Minister 's Bharatiya Janata Party had won in four out of five states. The current discussion began after all bidders had withdrawn from the process last month, both officials said. Private equity firm Apollo Global Management and oil-to-metals conglomerate Vedanta Group were the final bidders, they said. The government, Vedanta and BPCL did not immediately reply to emails seeking comment. Apollo Group declined to comment. The backtracking on BPCL's full is symptomatic of slow progress in the government's privatisation plans. In 2020, finance minister Nirmala Sitharaman announced plans to privatise most state-run companies, including banks, mining companies and insurers. But little progress has been made, and both officials said the government had deferred plans to sell any other banks this fiscal year apart from IDBI Bank, which is majority owned by Life Insurance Corp of India. sank on its market debut on Tuesday after the government sold a 3.5% stake.
EV vs ICE price parity for luxury cars unlikely in near future Carmakers , and Mahindra & Mahindra are narrowing the price gap between their electric vehicles and petrol and diesel models amid softening battery prices, but luxury carmakers do not expect such price parity any time soon. That is mainly because luxury battery electric vehicles (BEVs) are mostly imported into India, attracting up to 100% tax, and their sales volumes are too low to make local assembling viable for most models, industry executives and analysts said. “The cost of EVs in the luxury segment is much higher because of it being an expensive technology and lower volume,” said Vikram Pawah, president at BMW Group India. “So, it would take some time before the EV prices come on par with on-road prices of internal combustion engine (ICE)-powered models,” he said. Santosh Iyer, managing director and CEO of Mercedes India, said, “I don't see that (price parity) happening in the near future as BEVs in the luxury segment have much more technological advancements compared to the EVs in the mass market.” That said, electric vehicles do benefit from a lower GST of 5% and are exempt from road tax in some states. Such incentives have helped take the EV penetration in the luxury segment to 4% in 2023 against less than 2% in the mass car segment. Puneet Gupta, director at S&P Global Mobility, an automative research and analytics arm of S&P, said the price parity between EV and ICE in the luxury segment is still far away barring few high-end models and is likely to remain like that unless localisation takes off. For instance, at INR 2.23 crore (on-road Mumbai) a BMW i7 is priced almost on par with a comparable diesel-powered 7-Series that is priced at INR 2.21 crore. Interestingly, Mercedes has been able to price its EQS lower than the comparable S Class (ICE) as unlike other EV models in Mercedes’ portfolio, the EQS is assembled locally, allowing the company to save on duties and price it competitively. Gupta expects an EV-ICE price parity in the luxury segment only by 2028. “The Euro VII emission norms, which are likely to take effect in Europe from 2028, will make ICE more expensive. By then, EVs in the luxury segment will also benefit from declining battery prices and scale,” he said. “That’s when one can see some price parity between ICE and EV prices on a wider scale and across segments.” India levies an import duty of 100% on cars with cost, insurance and freight value of more than USD 40,000, or about INR 33 lakh, and 60% for those below that threshold. In contrast, buyers of BEVs in the mass car market will see price parity kicking in the near term as battery prices and other costs are coming down, industry executives and analysts said. Over the last one and half months, Tata Motors, MG Motor and M&M have cut prices of their EV offerings amid declining battery, lower costs as well as softening of demand. BMW leads the e-luxury car market in India with a 50% share. The company has
MG Motor and M&M have cut prices of their EV offerings amid declining battery, lower costs as well as softening of demand. BMW leads the e-luxury car market in India with a 50% share. The company has been able to price its EV models competitively because of being an earlier entrant in the EV technology space, its president Pawah said. “Right now, e-luxury cars in India are very expensive and, for most of the other companies, it’s a new technology. BMW has been in EVs for 10 years,” he said. BMW sees the share of BEVs in its total sales go up to 25% by 2025 from the current 10%, Pawah added. Iyer of Mercedes said his company will not chase volumes. “We are committed to reach the threshold of 20-25% (EV share in total sales) in another four years,” he said. “But we will not resort to introducing models at a very low price point while trying to compete for the share of the market.” At present, only 20% of walk-in customers are asking for an EV; the rest consider only an internal combustion engine, Iyer said. Therefore, one must be pragmatic about the extent to which one wants to cannibalise the powertrain mix (diesel, petrol, EV), he added.
Government likely to revise EV manufacturing policy with emphasis on greenfield investment The government is developing detailed guidelines for companies interested in investing in the electric vehicle (EV) policy, and an official mentioned that a second round of consultation with stakeholders will take place soon. The has already conducted the initial round of consultations last month. The guidelines will contain details regarding applications, links to portals, and the project monitoring agency (PMA), as stated by the official. The official also explained that automotive companies in India have the option to apply for incentives under the policy by committing to the necessary investments. "They can apply under the new policy for an for a certain number of EVs, and in order to qualify, they will have to commit to us the investments," the official said. Companies that are already operating in India do not have to create a new subsidiary in order to apply under the policy. On March 15, the government approved an electric-vehicle policy. Under this policy, will be provided to companies that establish in the country with a minimum investment of USD 500 million. This initiative is designed to attract major global players such as US-based . According to the policy, a company has a three-year timeframe to establish manufacturing facilities in India, commence commercial production of e-vehicles, and achieve a 50% (DVA) within a maximum of five years. The companies setting up manufacturing facilities for electric vehicle passenger cars will have the opportunity to import a restricted number of cars with a reduced customs/import duty of 15% on vehicles priced at USD 35,000 and higher for a period of five years from the government's approval letter issuance. Further, applications of auto companies from countries that are sharing a land border with India "will have to go through the much more onerous scrutiny'. Applications from certain countries require government approval for investments in India. Currently, vehicles that are imported as fully assembled units (CBUs) are subject to customs duties ranging from 70% to 100%. The duty amount varies based on the engine size and the total cost, insurance, and freight (CIF) value, whether it is below or above USD 40,000. The policy aims to encourage India to become a hub for manufacturing electric vehicles and to attract investments from well-known global electric vehicle manufacturers. According to the scheme, the company will have the permission to bring in completely built units of e-4W that they have manufactured at a lower rate of 15%, with certain conditions to be met. EV passenger cars can be imported under this scheme initially with a minimum CIF value of USD 35,000 at a duty rate of 15% for five years starting from the approval letter issuance by the ministry of heavy industries. The maximum number of electric 4-wheelers allowed to be imported at the reduced duty rate will be limited to 8,000 per year.
from the approval letter issuance by the ministry of heavy industries. The maximum number of electric 4-wheelers allowed to be imported at the reduced duty rate will be limited to 8,000 per year. Carrying over unused annual import limits would be allowed.
The next frontier for drones: letting them fly out of sight REMINGTON, Va. - For years, there's been a cardinal rule for flying civilian drones: Keep them within your line of sight. Not just because it's a good idea - it's also the law. But some drones have recently gotten permission to soar out of their pilots' sight. They can now inspect high-voltage power lines across the forested Great Dismal Swamp in Virginia. They're tracking endangered sea turtles off Florida's coast and monitoring seaports in the Netherlands and railroads from New Jersey to the rural West. Aviation authorities in the U.S. and elsewhere are preparing to relax some of the safeguards they imposed to regulate a boom in off-the-shelf consumer drones over the past decade. Businesses want simpler rules that could open your neighborhood's skies to new commercial applications of these low-flying machines, although privacy advocates and some airplane and balloon pilots remain wary. For now, a small but growing group of power companies, railways and delivery services like Amazon are leading the way with special permission to fly drones "beyond visual line of sight." As of early July, the U.S. Federal Aviation Administration had approved 230 such waivers - one of them to Virginia-based Dominion Energy for inspecting its network of power plants and transmission lines. "This is the first step of what everybody's expecting with drones," said Adam Lee, Dominion's chief security officer. "The first time in our nation's history where we've now moved out into what I think everyone's expecting is coming." That expectation - of small drones with little human oversight delivering packages, assessing home insurance claims or buzzing around on nighttime security patrols - has driven the FAA's work this year to craft new safety guidelines meant to further integrate drones into the national airspace. The FAA said it is still reviewing how it will roll out routine operations enabling some drones to fly beyond visual line of sight, although it it has signaled that the permissions will be reserved for commercial applications, not hobbyists. "Our ultimate goal is you shouldn't need a waiver for this process at all. It becomes an accepted practice," said Adam Bry, CEO of California drone-maker Skydio, which is supplying its drones to Dominion, railroad company BNSF and other customers with permission to fly beyond line of sight. "The more autonomous the drones become, the more they can just be instantly available anywhere they could possibly be useful," Bry said. Part of that involves deciding how much to trust that drones won't crash into people or other aircraft when their operators aren't looking. Other new rules will require drones to carry remote identification - like an electronic license plate - to track their whereabouts. And in the aftermath of Russia's war in Ukraine - where both sides have used small consumer - the White House to counter the potential malicious use of drones in the U.S. At a
their whereabouts. And in the aftermath of Russia's war in Ukraine - where both sides have used small consumer - the White House to counter the potential malicious use of drones in the U.S. At a gas-fired plant in Remington, Virginia, which helps power some of Washington's suburbs, a reporter with The Associated Press watched in June as Dominion Energy drone pilots briefly lost visual line of sight of their inspection drone as it flew around the backside of a large fuel tank and the top of a smoke stack. That wouldn't have been legally possible without Dominion's recently approved FAA waiver. And it wouldn't have been technically possible without advancements in collision-avoidance technology that are enabling drones to fly closer to buildings. Previously, "you would have to erect scaffolding or have people go in with a bucket truck," said Nate Robie, who directs the drone program at Dominion. "Now you can go in on a 20-minute flight." Not everyone is enthused about the pending rules. Pilots of hot air balloons and other lightweight aircraft warn that crashes will follow if the FAA allows largely autonomous delivery drones the right of way at low altitudes. "These drones cannot see where they are flying and are blind to us," said a June call to action from the Balloon Federation of America. Broader concerns come from civil liberties groups that say protecting people's privacy should be a bigger priority. "There is a greater chance that you'll have drones flying over your house or your backyard as these beyond-visual-line-of-sight drone operations increase," said Jeramie Scott, a senior counsel at the Electronic Privacy Information Center who sat on the FAA's advisory group working to craft new drone rules. "It'll be much harder to know who to complain to." EPIC and other groups dissented from the advisory group's early recommendations and are calling for stronger privacy and transparency requirements - such as an app that could help people identify the drones above them and what data they are collecting. "If you want to fly beyond visual line of sight, especially if you are commercial, the public has a right to know what you're flying, what data you are collecting," said Andres Arrieta, director of consumer privacy engineering at the Electronic Frontier Foundation. "It seems like such a low bar."
FADA raises concern over sale of two-wheelers by unauthorised multi-brand outlets New Delhi: Automobile dealers' body on Tuesday said the illegal practice of unauthorised multi-brand outlets selling two-wheelers is making legitimate lose business and turn unviable. The Federation of Automobile Dealers Associations (FADA) said it has approached various authorities to take strict action against the practice. The multi-brand outlets (MBOs) are acquiring unregistered vehicles in bulk from dealers and reselling them to customers at discounted rates, higher than the prices offered by original equipment manufacturers ( ) through authorised dealers, without any commitment to after-sales service, FADA said in a statement. This has not only impacted the legitimate dealerships but has also shaken customers' confidence in the brand and dealer partners, it added. Furthermore, the outlets indulge in evasion of GST, income tax, issuance of fake HSRP and helmets, resulting in revenue loss on various fronts, FADA stated. "We have raised the issue of unauthorised MBOs in the two-wheeler industry, which are not certified as bona fide dealers and sell unregistered vehicles without any trade certificates or after-sales services," FADA President Manish Raj Singhania stated. This has caused many legitimate two-wheeler dealerships to shut down, making their businesses unviable, he added. "The dealership business is dynamic and contributes consistently to the economic development of the nation, generating significant employment opportunities in the sector. Illegal practices such as this cause massive losses to the government and society and lead to significant loss of motivation among dealers, leading to greater loss of employment opportunities," Singhania said. The industry body has also written to , the association of OEMs, requesting them to raise the issue with concerned OEMs to amend their sales process, ensuring no supply of new/unregistered vehicles to unauthorised outlets, FADA said. FADA has also reached out to the Maharashtra government and the Transport Commissioners of Mumbai and Delhi, urging them to take stringent action against these MBOs and ensure their compliance with industry standards and regulations, it added.
Buffett's Berkshire discloses big Taiwan Semi stake said it bought more than $4.1 billion of stock in , a rare significant foray into the technology sector by billionaire 's conglomerate. In a Monday regulatory filing describing its U.S.-listed equity as of Sept. 30, Berkshire said it owned about 60.1 million of the world's largest contract chipmaker. Berkshire also disclosed new stakes of $297 million in building materials company Louisiana-Pacific Corp and $13 million in Jefferies Financial Group Inc. It exited an investment in Store Capital Corp, a real estate company that agreed in September to be taken private. The filing did not specify whether Buffett or his portfolio managers Todd Combs and Ted Weschler made specific purchases and sales. Investors often try to piggy back on what Berkshire buys. Larger investments are normally Buffett's. While Berkshire does not normally make big technology bets, it often prefers companies it perceives to have competitive advantages, often through their size. Taiwan Semi posted an 80% jump in third-quarter profit, helped by demand from customers such as iPhone maker Apple Inc, by far the largest investment in Berkshire's $306.2 billion equity portfolio. "I suspect Berkshire has a belief that the world cannot do without the products manufactured by Taiwan Semi," said Tom Russo, a partner at Gardner, Russo & Quinn in Lancaster, Pennsylvania, which owns Berkshire shares. "Only a small number of companies that can amass the capital to deliver semiconductors, which are increasingly central to people's lives," he added. Berkshire has had mixed success in technology. Its more than six-year wager during the last decade in IBM Corp did not pan out, but Berkshire is sitting on huge unrealized gains on its $126.5 billion stake in Apple, which Buffett views more as a consumer products company. Berkshire disclosed the Taiwan Semi stake about 2-1/2 months after it began reducing a decade-old, multi-billion dollar stake in BYD Co , China's largest electric car company. In the third quarter, Berkshire added to its stakes in Chevron Corp, Occidental Petroleum Corp, Celanese Corp, Paramount Global and RH. It also sold shares of Activision Blizzard Inc, Bank of New York Mellon Corp, General Motors Co, Kroger Co and US Bancorp. Buffett, 92, has run Berkshire since 1965. The Omaha, Nebraska-based company also owns dozens of businesses such as the BNSF railroad, the Geico auto insurer, several energy and industrial companies, Fruit of the Loom and Dairy Queen.
Auto dealers to clock 8-10% revenue growth as volume normalises New Delhi: Auto dealers will see revenues accelerate 8%-10% this fiscal, driven by 5%-7% increase in sales volume, premiumisation and price hikes of 2%-5% by original equipment manufacturers (OEMs). That, along with steady operating profitability and moderate debt, will keep their credit profiles stable, a analysis of ~150 auto dealers indicates. Sales volume growth will normalise this fiscal from the 17.3% surge last fiscal, due to the high-base effect (especially in the commercial vehicle and passenger vehicle segments) as well as factors specific to different vehicle segments. Growth this fiscal year will be in line with the pre-pandemic compound annual growth rate (CAGR) of ~7% between fiscal 2015 and 2019. , Senior Director, CRISIL Ratings, said, “Auto-dealers’ overall sales volume will grow by 5 – 7% driven by steady growth in all vehicle segments. will grow 6-8%, led by improved semiconductor supplies and healthy domestic demand, especially in the fast-growing utility vehicles segment. volume will grow a moderate 4-6%, supported by the government’s infrastructure push, increased budgetary outlay2 and steady replacement demand." "Despite a low base, tepid rural demand and increased competition from their electric versions, two-wheeler sales will also grow moderately at 5-6%, supported by demand for executive and premium motorcycles,” he added. According to the report, the retail auto registrations clocked modest growth of 3% in the first seven months of this fiscal, but should pick up in the remaining five months on higher sales of PVs and two-wheelers during the festive season, and of CVs in the last quarter led by increase in mining and infrastructure activities. OEMs have increased prices by 2-5% during the past few quarters (5-14% in fiscal 20233). This, along with the full year impact of price hikes in the previous years, will also support revenue growth of auto dealers this fiscal. No further price hikes are anticipated in the near future due to easing input prices. Premiumisation, too, will support revenue growth. The share of utility vehicles and premium4 motorcycles and scooters, in particular, is rising as consumers increasingly prefer value-added vehicles with premium safety features. Operating profitability of auto dealers will remain stable at 3.5-4.0%, supported by moderate revenue growth and steady contribution (10-15%) of the more profitable ancillary sales (service, spare parts and insurance). , Associate Director, CRISIL Ratings, said, “Steady operating performance leading to healthy cash accrual, combined with moderate debt, will strengthen debt protection metrics of auto dealers this fiscal. Interest coverage is projected at 3.3-3.5 times compared with ~3.3 times last fiscal, while gearing is seen at~1 time as on March 31, 2024, compared with 1.2 times a year earlier.” That said, sluggishness in rural demand and inventory with dealers will be worth watching.
FDI inflow hits all-time high of USD 83.57 billion in 2021-22 India has recorded the "highest ever" annual ( ) inflow of USD 83.57 billion in 2021-22, the commerce and industry ministry said on Friday. In 2020-21, the inflow stood at USD 81.97 billion, it added. "India is rapidly emerging as a preferred country for foreign investments in the manufacturing sector," the ministry said. "India has recorded highest ever annual of USD 83.57 billion in the Financial Year 2021-22," it noted. in manufacturing sectors has increased by 76 per cent in 2021-22 (USD 21.34 billion) compared to 2020-21 (USD 12.09 billion). In terms of top investor countries, Singapore is at the top with 27 per cent followed by the US (18 per cent) and Mauritius (16 per cent) during the last fiscal. Among sectors, computer software and hardware attracted maximum inflows. It was followed by the services sector and automobile industry, the ministry said. To further liberalise and simplify for providing ease of doing business and attract investments, reforms have been undertaken recently across sectors, such as coal mining, contract manufacturing, digital media, single-brand retail trading, civil aviation, defence, insurance and telecom.
IREDA public issue to open on Nov 21; sets price band at Rs 30-32 share New Delhi: State-owned ( ) on Tuesday fixed a price band of INR 30-32 per share for its INR 2,150-crore initial public offering (IPO). The maiden public issue will open for subscription on November 21 and conclude on November 23 and the anchor book of the offer will be opened for a day on November 20, according to a public announcement. This would be the first public issue by a public sector enterprise after Life Insurance Corporation's IPO in May last year. IREDA would issue up to 40.31 crore fresh shares to mobilize around INR 1,290 crore at the upper end of the price band. Besides, Government of , currently the sole shareholder, will offer up to 26.88 crore shares in an offer for sale (OFS) in a bid to collect INR 860 crore. Proceeds from the fresh issue will be used for augmenting IREDA's capital base to meet its future capital requirements and onward lending. Half of the issue size has been reserved for qualified institutional buyers, 35% for retail investors, and the remaining 15% for non-institutional investors. Investors can bid for a minimum of 460 equity shares and in multiples of 460 equity shares thereafter. IREDA is a 'miniratna' firm under . The organization offers a comprehensive array of financial products (fund and non-fund-based) associated services, from project inception to post-completion, for projects and related activities like equipment manufacturing and transmission. , , and IDBI Capital Markets & Securities are the book-running managers for the issue. Shares of the company will be listed on the BSE and NSE.
Maruti Suzuki partners with Indian Bank for customised car loan offers New Delhi: on Wednesday said it has partnered with the public sector Indian Bank to provide customized car loans to its customers. The customers under this exclusive scheme, can avail loans up to 90% of the on-road price of the car besides getting benefits of zero processing charges, free accidental insurance cover up to INR 30 lakhs, free fastag and repayment tenure up to 84 months on their loans. This scheme is open till June 30, 2022,” the company said in a statement. With this partnership, Maruti Suzuki has tied up for retail finance with 37 financial institutions including 12 Public Sector Banks, 11 private banks, 7 NBFCs and 7 Regional Rural Banks, the company said. Its customers can avail the loan benefits across 5700 branches of Indian Bank at metro, urban, semi-urban and rural locations. Maruti Suzuki has a network of 3,357 new car retail outlets across 2,156 cities and towns, the company said. Shashank Srivastava, Senior Executive Director (Marketing & Sales), Maruti Suzuki, said, “Customer centricity and convenience are at the core of all our operations. With this partnership with Indian Bank, our valuable customers will be able to finance 90% of the on-road price of the car from over 5700-plus branches across the Indian Bank network. This will help our customers get an attractive rate of interest and customised EMI options as per their requirements.” “About 80% of retail sales in the automobile industry happen through financing and to enable our customer’s car-buying decisions, Maruti Suzuki has initiated several partnerships with banks & NBFCs across the public and private sectors. It is our firm belief that this partnership with Indian Bank will go a long way to cater to the diverse finance requirements of our customers,” he said, Shanti Lal Jain, Managing Director and CEO, Indian Bank, said, “Indian Bank has a wide presence all over the country and we are confident of offering best-in-class services to Maruti Suzuki customers for meeting their aspiration of owning a car. We are committed to making the car financing experience more convenient for the customer, and a variety of options in terms of rate of interest will be made available to simplify the financing process.” Also Read:
Gig workers in India to top 23 million by 2029-30: Niti Aayog NEW DELHI: 's gig workforce is expected to expand to 2.35 crore by 2029-30 from 77 lakh in 2020-21, a report said on Monday, and recommended extending measures for such workers and their families in partnership mode as envisaged in Code on Social Security. The report titled 'India's Booming Gig and Platform Economy' further said gig workers are expected to form 6.7 per cent of the non-agricultural workforce or 4.1 per cent of the total livelihood in India by 2029-30. Gig workers can be broadly classified into platform and non-platform workers. Platform workers are those whose work is based on online software apps or digital platforms while non-platform gig workers are generally casual wage workers, working part-time or full- time. Gig workers prefer a flexible work schedule, typically with low to middle level of education. Income through gig work is not their primary source of income and they are often holding another regular job. According to the NITI report, it is estimated that in 2020-21, 77 lakh workers were engaged in the gig economy and they constituted 2.6 per cent of the non-agricultural workforce or 1.5 per cent of the total workforce in India. Similarly, it estimated that there were 68 lakh gig workers in 2019-20, using both principal and subsidiary status, forming 2.4 per cent of the non-farm workforce or 1.3 per cent of the total workers in India. The report pointed out that the employment elasticity to GDP growth for gig workers was above one throughout the period 2011-12 to 2019-20, and was always above the overall employment elasticity. To harness the potential of the gig-platform sector, the report recommended accelerating access to finance through products specifically designed for platform workers, linking self-employed individuals engaged in the business of selling regional and rural cuisine, street food, etc, with platforms to enable them to sell their produce to wider markets in towns and cities. Other recommendations include undertaking a separate enumeration exercise to estimate the size of the gig-platform workforce and collecting information during official enumerations. As per the report, in terms of industrial classification, about 26.6 lakh gig workers were involved in retail trade and sales, and about 13 lakh were in the transportation sector. About 6.2 lakh were in manufacturing and another 6.3 lakh in the finance and insurance activities, it added. At present, about 47 per cent of the gig work is in medium skilled jobs, 22 per cent in high skilled, and about 31 per cent in low skilled jobs. According to the report, the trend shows the concentration of workers in medium skills is gradually declining and that of the low skilled and high skilled is increasing. It may be expected that while the domination of medium skills would continue till 2030, gig work with other skills will emerge, the report added. The report noted that the rapidly burgeoning gig
It may be expected that while the domination of medium skills would continue till 2030, gig work with other skills will emerge, the report added. The report noted that the rapidly burgeoning gig workforce is ushering in a new economic revolution globally. India – with its demographic dividend of half-a-billion labour force and the world's youngest population, rapid urbanisation, widespread adoption of smartphones and associated technology – is the new frontier of this revolution, it added. The report pointed out that there is an emerging positive trend that suggests women are more likely to take up platform jobs after their education and marriage. It suggested bridging skill gaps by carrying out periodic assessments and partnering with platform businesses for onboarding skilled women and persons with disabilities. The report pitched for incentivising inclusive businesses – women led-platforms or platforms that encourage recruitment of women employees and those with disabilities. Speaking on the occasion, NITI Aayog Vice Chairman said the report will become a valuable knowledge resource in understanding the potential of the sector and drive further research and analysis on gig and platform work.
Bajaj Allianz launches usage-based motor insurance add-on cover Private sector on Thursday launched its add-on cover called 'Pay As You Consume' (PAYC). The company was the first to launch 'Pay As You Consume' under the 's Sandbox Regulations. Owing to the overwhelming response from customers, Bajaj Allianz General Insurance introduced this as a full-fledged cover under motor insurance products. This usage-based is in alignment with Irdai's recent circular to allow PAYC under annual motor products, Bajaj Allianz General Insurance said in a statement. Earlier this month, the Insurance Regulatory and Development Authority of India (Irdai) permitted general insurers to issue sophisticated add-ons for a motor insurance policy. These are telematics-based motor insurance plans for which the premium depends on the usage of the vehicle or driving behaviour. Pay-as-you-consume add-on cover can be opted by the customer along with the basic OD (Own Damage) plan under Package Product, Bundled and Standalone OD cover, it said. Customers can choose coverage based on their vehicle usage, further to which the premium will be calculated, ie kilometres driven annually. Customers can also avail of an additional benefit in premium for their safe driving, the insurer added. Customers' driving behaviour will be analysed based on a telematics device installed in the vehicle, driving metrics recorded on their "BJAZ CARINGLY YOURS" mobile app (Company's app), or information provided by them through a device, etc, it said. "Customers need not worry if opted kilometres during the policy period gets exhausted; they can add kilometres to their plan using the top-up plan. If a customer forgets to add kilometres to their top-up plan, the company has offered a unique concept of "GRACE KM" gratification, which is provided at the time of claim in case kilometres opted during the policy period gets exhausted," the company said.
Flipkart offers diverse range of petrol and electric vehicles on its e-commerce platform ahead of festive season is redefining the two-wheeler shopping experience ahead of the festive season with a wide range of petrol and electric options from top brands. The platform aims to provide unmatched convenience and affordability through extensive reach across over 12,000 pin codes in more than 700 cities, along with special financing offers and innovative technology-driven features. Customers can explore a diverse selection of , including models from , , , , Chetak, , Yezdi, Vida, and Ather. Flipkart's initiative ensures that shoppers, whether in urban or semi-urban areas, have easy access to both petrol and electric two-wheelers. Financing options The platform offers several financing options to make purchases more affordable. Customers can benefit from 5% unlimited cashback on , special deals from leading banks, and loyalty rewards through Supercoins. Jagjeet Harode, Vice President - Electronics, at Flipkart, stated, "At Flipkart, we are dedicated to transforming the two-wheeler shopping experience for our customers. Our goal is to provide unmatched convenience and transparency, ensuring that every customer, whether in a city or semi-urban area, can easily find and purchase the perfect two-wheeler. Our range caters to both petrol and electric two-wheeler enthusiasts, reflecting our commitment to meeting the varied needs of our customers. We've introduced innovative features to empower our customers to make well-informed decisions confidently. By offering exceptional value through affordability, trust, and a wide selection, Flipkart has solidified its position as the premier destination for two-wheeler shoppers." Customers can access on-road pricing, including insurance and registration, all from one platform. The entire purchase process, including insurance, registration, and financing, can be completed from home with audio and video guidance from experts. Ravi Krishnan, Head of Category Experiences Product at Flipkart, explained, "At Flipkart, we're committed to delivering a seamless, convenient, and transparent experience for customers purchasing two-wheelers. Our platform provides comprehensive and user-friendly On-Road Pricing, including insurance and registration, all in one place. Customers can complete the entire purchase process—insurance, registration, and financing—from the comfort of their homes, supported by expert audio/video guidance. Additionally, advanced features like 3D and augmented reality enable customers to visualise two-wheelers in their own environment, ensuring a more informed and enhanced shopping experience." According to the media release, the demand for two-wheelers on Flipkart has seen significant growth, surging by six times in August 2024 compared to the previous year. This increase is especially notable in the commuter, scooter, and premium two-wheeler segments, particularly among electric models. Flipkart caters to
in August 2024 compared to the previous year. This increase is especially notable in the commuter, scooter, and premium two-wheeler segments, particularly among electric models. Flipkart caters to a broad customer base, offering everything from entry-level bikes to high-end electric scooters. The platform's comprehensive range includes such as commuter bikes, premium sports bikes, and scooters from renowned brands
India will continue to buy oil wherever it can at lowest possible price: Hardeep Singh Puri The government has decided to cut by INR 200 per cylinder. But my next question is, who will be bearing the impact, government or ? And you will appreciate the spirit of my question, the reason I am asking this is because there is a perception that the impact would be borne by OMCs and they could take a hit of about INR 7,500 crore? I think the reduction in price of the cylinder by INR 200 has been welcomed by all, barring a few of my cynical friends in the opposition benches, some in the house and some outside. This is always a question whenever you deal with energy as to who will bear the burden of a price reduction. You know, in an ideal world where you would allow market forces to establish the price of petrol and diesel at the bunk or pipe gas, natural gas or gas cylinders, in a world which was completely, I choose my words very carefully, free from all desires to cushion the common man, you could have chaos. And let me give you a few examples of what that chaos would be. The price of crude oil is determined by a global situation. We are dependent up to 80% of our requirements on imports for crude oil, about 55-60% on the import of natural gas. Now, if you were to add to the cost of production, the cost of insurance, the cost of freight, refining cost, refiner's margin, dealer's margin, et cetera, then you would not be able to control the price if it went up, as it did from USD 19.56 a barrel, it shot up to USD 128 a barrel. But what do you do? Sometimes the government takes a hit. Like, for instance, on two occasions when it came to petrol and diesel, the honourable prime minister reduced the excise we charge, and the price came down by 13 rupees and 16 rupees, November 21, and again May 22. And when it comes to gas, you had a very interesting situation. OMCs incurred a loss of INR 28,000 crores. Now, they are not operating on their own money, they raise money in the market so you had to compensate them. So that INR 28,000 crores was compensated up to an extent of INR 22,000 crores. Today, 80 crore of our citizens are getting three meals of dry ration in a day. You built Pradhan Mantri Awas Yojana, you built toilets and yet the gas cylinder price has come down from 1100 to 900. There are 32 crore connections. And for those who are beneficiaries of the Ujjwala scheme, it has come down. It means that they were getting another 200 rupees directly into their khata or DBT. So, that is there. Now, please see, in 2014, you had 14 crore connections. That has gone up to 32 crores or thereabout. Out of them, 9 crore 60 lakhs are beneficiaries of Ujjwala. When you give somebody an Ujjwala connection, you are incurring already an expenditure of INR 3,600. Now, every cylinder that they draw, they are allowed to draw up to 12 cylinders. They probably draw only up to 3.7 or 4 cylinders. They get INR 200 per cylinder. Now, what does that mean? If you take, let us
cylinder that they draw, they are allowed to draw up to 12 cylinders. They probably draw only up to 3.7 or 4 cylinders. They get INR 200 per cylinder. Now, what does that mean? If you take, let us say, the average of 3.7 cylinders in a year, you take 365 days, you divide it, it comes to a 7 rupees expenditure per family on gas. And you are already giving them three meals of dry ration free. Plus, if I count all the other facilities that have been given, look at the situation in 2014 and what it is in 2023. I just want to make one final submission to you, my friend, that if you are to insulate the common man, I mean the economically weaker sections, the people who live below the poverty line, then both the government and the OMCs will have to do it. It is not as if the OMCs are collapsing. I can say with a degree of satisfaction that the OMCs today have registered very reasonable and healthy financial results. I am choosing my words carefully. There are quarters when they do better than other quarters. But I think when the prime minister decides that the price of a cylinder, a 14 kilo cylinder, has to come down on the occasion of Onam and Raksha Bandhan by INR 200, the OMCs are happy, the country is happy. Some of my friends, cynical on the side of the opposition, are cribbing a bit. But you know, their cynicism and their statements, which are irrelevant, I think will not be taken. It is being lapped up. It has been warmly welcomed by every sister of ours, to whom the prime minister as the Pratham Sevak has given this Raksha Bandhan gift. I distinctly remember in December 2022, when we spoke about high energy prices because of war, your words were, OMCs have to play the role of being a good corporate citizen and glad they are playing that. Do you think increasingly that role will be played more given that crude is back above USD 85 now? When I described the OMCs as good corporate citizen, it was meant both as an encouragement and as my subtle message to them that when a crisis situation and global prices are very high, you should not look at short-term profits because the OMCs have large businesses. Some of them make big profits in a quarter, some less, but they are all doing reasonably well. Now, today are around 85 or so. I am not unduly concerned because there is a large economy where the levels of consumption will remain to be seen. Plus, there is a voluntary cutback by OPEC plus and they are cutting back to keep their prices above 80. But, I have maintained this repeatedly; if you keep oil prices at a high in a situation which is inflationary, for a variety of reasons, there were stimulus packages, interest rates are still shooting up, then it becomes a self-fulfilling prophecy. Then along with inflation, you get high oil prices and then there is a tipping point at which demand begins to fall. So, we are in that territory but I can take advantage of your kindness and my ability to speak to your viewers that we are in a very comfortable
is a tipping point at which demand begins to fall. So, we are in that territory but I can take advantage of your kindness and my ability to speak to your viewers that we are in a very comfortable position on availability, on affordability and on sustainability. So, on all counts, I think the Honourable Prime Minister and his guidance has ensured that we are in a position of reasonable safety and comfort. The PSU stocks in general have created wealth for government and for minority shareholders because the entire PSU space now has got re-rated. But everybody is trying to still understand that is the government committed for PSU minority shareholders to make money and the purpose of OMCs will it be always be a good corporate citizen or they will always reward minority shareholders also. Again, you will appreciate the question and the spirit of the question. No, I appreciate the incisiveness of your question. Do you keep OMCs only to make them good corporate citizens? Certainly not. You would not be able to run the economy if you keep asking any sector, any segment to bear the cost of, at the expense of market forces. No. You have to navigate a careful and charted course through this. You have to ensure that the shareholders who have invested in them get their returns and the shareholders are rewarding them by investing more in them. I mean, when I came onto the scene two years plus ago, we had one company, I am not going to name it, everybody said it is ready for disinvestment, etc. Today, it is one of our star performers. Now, there are situations in which you cannot save a PSU or you should not. I was Civil Aviation Minister when we had to deal with Air India and I was clear I could not go on every year to my senior colleague and ask for INR 8,000 crores of handout to keep Air India afloat. So, we took a tough call. We privatised it and today the rest is history. Today, Air India is ordering, I do not know, 500 or 800 more crores. They are adding to the civil aviation manufacturing industry in the world. Boeing, Airbus placing orders. Look at another Indian airline, private sector airline, they are all in private sector now by the way, ordering another 700-800 planes. So, governments have to step in with clear-headed and farsighted decision-making. So, the energy sector is now one in which the OMCs are doing well and if the OMCs are occasionally asked to assume one of their many roles as good corporate citizens, they are not unhappy to do so because when the country grows, the OMCs grow also and these OMCs are now big players internationally. One of them has the seventh largest oil company in the world. So, I think we should rejoice at the fact that the OMCs are playing ball with us. The big success story for 2022 was India's oil diplomacy where we were able to get oil at a discount from Russia. Now, we understand that the discount from Russia is decreasing. Is that true? First of all, what you describe as the outstanding diplomatic success
we were able to get oil at a discount from Russia. Now, we understand that the discount from Russia is decreasing. Is that true? First of all, what you describe as the outstanding diplomatic success story about getting discounted oil from one source. Let me share with you my perception. We have done two or three things. We have diversified the sources of our supply. It used to be 27 countries. Now, it is 39 countries and by the way, we are very clear in our minds that we will buy oil from wherever we can get it, as long as it is delivered to our point of importation at our ports at the lowest possible price. So, we used to have a classical situation where out of the 5 million barrels in a day that we used to consume, we used to import, it was evenly divided between 800,000 barrels from one supplier to another. Now, those suppliers change and we have this very interesting situation that sometimes Iraq becomes the largest supplier, sometimes Russia. Yes, discounts are a function of buying and selling. If the Russians think that they can sell the their crude or if Saudi Arabia thinks it can sell the crude more expensive and people will buy it, discounts will not happen. But we are playing something called the market card and I am very happy to go on record. If India does not buy the 5 million barrels or it is going to go up to 6 million barrels, please let me know where you are going to sell from. So, discounts will always be part of the game whether they come from one source or another. Nobody is really talking about it in media specifically is that India has started doing rupee trade with UAE, that really could be the game changer. Has it started or is it only at a very experimental stage and if it has started, do you see the rupee trade with UAE could be the game changing moment for India and for our energy security? I would want to be modest and circumspect about this. Yes, we have a rupee-dirham arrangement with the UAE, but the transactions in the oil sector are very minimum. So, this is just a process which has started. It will require a comfort level on all sides and there are other factors. Next time when we meet, we will have a detailed exchange on that. And this is more in the realm of another colleague of mine. I deal with the commodity. I would be very happy to see more rupees being used, rupee payments being made but just now it is at an infant stage.
OSRTC adopts cleaner fuel technologies to reduce carbon footprint New Delhi: ( ) is at the forefront of efforts to mitigate carbon emissions. It operates a fleet of over 636 buses and is under procurement stage for another 1745 buses. At present, more than 10 million passengers are using the annually and it is anticipated that after augmenting the additional fleets, more than 1.64 billion passengers annually, the corporation said. , Chairman and Managing Director, OSRTC,, said, "OSRTC is committed to the environment through its strategic development and transformation initiatives, overseen by Palladium India as a Project Management Consultant. We have embarked on a journey to not just reduce carbon footprints but to redefine the standards of excellence in the transport industry." "We are constantly upgrading our existing fleet with modern engines and emission control systems to reduce carbon emissions and enhance fuel efficiency. Further by augmenting emission efficient fleets almost 3 times of its existing fleet, OSRTC aims to reduce emissions and contribute to improved air quality and further complying to the SDG parameters," he added. OSRTC has adopted cleaner fuel technologies by shifting from conventional fossil fuels to cleaner alternatives, such as increasing the use of AdBlue. Around 38% of its ongoing fleet is being upgraded with technology to reduce carbon emissions. Additionally, OSRTC plans to incorporate further 1745 Conventional Diesel Buses complying with BS-VI Emission norms, which could result in an annual carbon reduction of approximately 11 million tons, the corporation said in a media release.. OSRTC also launched many training and capacity building initiatives to encourage its drivers to adopt eco-driving practices, such as maintaining steady speeds, reducing unnecessary idling, and implementing efficient driving techniques. Also, a major focus is being put on the maintenance tracker and daily checklist to effectively oversee and handle the maintenance of its fleet. Collaboration with five reputable body builders and an approved insurance partner further ensures regular vehicle servicing, maximizing performance, fuel efficiency, and minimizing emissions. "OSRTC is one of the few state transport corporations which generate electricity using solar power on its rooftops, contributing clean energy to the Grid Corporation of Odisha. This sustainable energy production method significantly reduces greenhouse gas emissions and effectively mitigates air pollution," the chairman said. The state transport also has its own Integrated Transport Management System (ITMS) that helps optimize route planning, reduce congestion, and improve fuel efficiency, the release said. , CEO, Palladium India, said , "As Strategic Consultation Partner, Palladium backs OSRTC's vision to create a greener, cleaner, and more efficient public transportation system. We are proud to be associated with an organization that strikes a harmonious balance between
backs OSRTC's vision to create a greener, cleaner, and more efficient public transportation system. We are proud to be associated with an organization that strikes a harmonious balance between meeting its financial objectives and ensuring a positive impact on the environment, society, and stakeholders.
Global Road Safety Week: How technology can ensure safety and save lives on Indian roads Roads have become central to human life and the symbol of national prosperity. Yet 3700 road deaths every day is a black-spot on world transportation. One day people may ask, is it worth? Is it sustainable? In India, millions travel on roads; but daily 415 families do not get back their dear ones home. Road fatalities are the biggest cause of unnatural deaths among Indians. It is estimated that cost India about 3%-5% of its gross domestic product every year. India loses a city's worth of population every year due to road crashes according to the Ministry of Road Transport & Highways of India data. With the evolution of the motorized vehicles, increasing speed limits and improving roads all over the world, the boom of road transport is turning into a major bane to mankind. Without appropriate strategies to reduce road accidents and deaths, it is becoming a serious global crisis. The National Crime Records Bureau data shows that India had about 1,55,622 deaths (due to road accidents) in 2022, with millions more sustaining serious injuries and living with long-term adverse health consequences. Globally, road traffic crashes are a leading cause of death among the young people, and the main cause of death among those aged 15–29 years. Why road crashes? Who is responsible for these deaths? More profound question should be how do we arrest the alarming Road Death numbers? For an answer we must look into the cultural reality of Indian Roads. Understanding Road Crash is a complex science, yet an average Indian still treats it as a chance factor . Hence, many resort to luckKaali Billi & Lemon ChilliLIDAR, Ultrasonic Sensors with connected ecosystems and fuse all data to create insights in real time for alert, assistance and in higher level even automatic actions of brake and accelerator can be done, nearing to autonomous driving. The role of ADAS is to prevent deaths and injuries by reducing the number of accidents and the serious impact of those that cannot be avoided. Some of the safety critical alerts can be Pedestrian detectioncorrection, Traffic Sign recognition, Automatic Emergency Braking, Blind Spot Detection, fatigue alert, Drowsiness Detection alarm etc. On an elementary level, even a mobile application which can do elementary alert and assist can be of great help. These systems can build even Road Users Behaviour history and can be used for their own training or can be used as a Safe Driving Score to be incentivised by various service providers, including insurance companies, to win them for respecting the Road. This will trigger to build the missing Trust among Drivers/Road Users with Road System to support the Road rules, as they will have multiple gratifications to drive safely. Situation will be completely different from today, where 80K-90K traffic cops across the country are struggling to catch billions of violations. With this technology,
gratifications to drive safely. Situation will be completely different from today, where 80K-90K traffic cops across the country are struggling to catch billions of violations. With this technology, self-enforcement will kick start and overtime will build Safety Culture on the Roads, users believing in the science of avoiding the crash rather than counting on luck. When only 10%-20% violators are left, enforcement also will work. It will be a win-win for all stakeholders. And so we will see India free from all avoidable road deaths through technology for a purpose, #Technology4Safety. (Disclaimer: Ramashankar Pandey is the CEO of Tata Green Batteries. Views are personal.)
Bike Bazaar raises additional $10 million in funding, will focus on Electric Vehicles Two-wheeler sales and financing startup, , on Monday said that it has raised Rs 82 crore (or roughly $10 million) in additional funding from , a Germany-based development finance institution and a subsidiary of . With this funding, Bike Bazaar has closed its latest fundraise with a total equity capital of Rs 250 crore (or $30 million). It had raised Rs 170 crore in September last year, led by Women World’s Banking Asset Management (WAM). Existing investors and Faering Capital have also participated in the fund raise. According to the company, it will use the new funds to penetrate deeper into rural Indian markets and to continue to increase its focus on electric mobility in the business-to-business (B2B) and consumer spaces. “Bike Bazaar is doubling down on electric two-wheeler financing by offering products including rental solutions especially for last-mile delivery in the e-commerce & food-delivery industry,” said Srinivas Kantheti, cofounder and managing director of Bike Bazaar. Founded in 2017 by former executive Kantheti and former executive Karunakaran Vadakkepat as a used two-wheeler financing business, Bike Bazaar has several businesses within the two-wheeler segment including new two-wheeler financing, a marketplace for pre-owned two-wheelers, and a new electric vehicle financing business besides additional services like leasing and insurance. It was looking to add servicing of two-wheelers as well, company officials said last year. Since its inception, the company has in all picked up Rs 482 crore in equity funding. “With our financing, we are supporting the growth of a pioneering financial institution so that it can continue to drive financial inclusion amongst underserved demographics, especially females and small medium enterprises. Furthermore, we are specifically excited at the opportunities in the electric mobility space in India,” said Monika Beck, member of DEG´s management board. At present, Bike Bazaar is present in over 140 Indian cities with 1,000 touch points across states of UP, Bihar, MP, Rajasthan and West Bengal. Bike Bazaar’s financing business has disbursed over 375,000 two-wheeler loans till date and the company had a cumulative loan disbursement of Rs 2000 crore as of December 2022, the company said. It is now looking to touch an average run rate of Rs 1000 crore in loan disbursements by end of current fiscal year. Also Read:
How tech-based solutions and accident data save lives on roads New Delhi: It’s oft-quoted in our social circles that commercial flights are the safest mode of transportation. No doubt this turns out to be true, especially if you consider its minuscule value on a scale of the number of fatalities per unit of distance covered, vis-à-vis other forms of transportation. The same, however, does not hold true for road transportation. Data from the World Health Organization shows that ~1.3 million people die each year because of road traffic crashes. Additionally, road traffic injuries are the leading cause of death among children and the young. The story is even more pronounced in developing countries. About 93% of global fatalities occur in low- and mid-income countries while these countries account for ~60% of the world’s vehicles. India tops this list, accounting for ~11% of fatalities globally. As per the ‘Road Accidents in India 2021’ report by the Government of India, one in every 10 people killed on roads across the world is from India. In 2021 alone, ~412K road accidents were reported in India claiming ~153K lives. The worst affected were found to be in the age group of 18-45 years. These statistics may seem overwhelming at first. All, however, is not gloom and doom. When compared with the past, vehicles of today are equipped with more technology and software than ever before. Plus, advances in data collection procedures, modelling techniques, and accuracy of prediction algorithms can all be used to come up with tech-based solutions for ‘Saving Lives’. Additionally, regulatory requirements are also pushing for a safety-first approach in automotive development. A primary precursor to developing safer experiences for users of the entire road ecosystem is data on accidents. Data and research In 2010, Bosch Corporate Research and Bosch Global Software Technologies (BGSW) along with an external research agency teamed up to expand Bosch’s accident research activity to India, beginning at Coimbatore with a pilot study of 50 cases. This pilot, foundational to the Accident Research Database’s establishment in India was led by Girikumar Kumaresh, Principal Advisor – , Future Mobility at Bosch, Advisor to India’s panels in various automotive industry standard committees in Central Motor Vehicle Rule Committee (AIS – CMVR). This study helped in establishing a consortium called RASSI Accident Database – Road Accident Sampling System for India. In simple terms, RASSI is an automotive industry consortium comprising OEMs and Tier oness, with the aim of making road transportation ecosystem safer for users. Typically, information on accident and crash sites is populated into this database including, but not limited to, data points such as weather conditions, crashed components, skid/brake marks, site debris, and injury data. Today, data from 6500+ accidents with ~1500+ variables is included in the database. Data from RASSI finds multifold utility, ranging from
components, skid/brake marks, site debris, and injury data. Today, data from 6500+ accidents with ~1500+ variables is included in the database. Data from RASSI finds multifold utility, ranging from conducting benefit estimation studies R&D of motorcycle and passenger car Antilock Braking Systems (ABS) to development of Electronic Stability Control (ESP) systems, and R&D of airbags and passive restraint systems, to name a few. To illustrate, benefit estimation studies were used to evaluate its impact on motorcycle ABS for Indian highways. Studies showed that if every motorcycle had been equipped with ABS, every third crash could have been prevented. A similar study on ESP® showed that every 14 th road fatality can be avoided altogether in India. While data forms a necessary precursor, software technology plays an equally key role in making Mobility safer. Utilization of software itself can be in multiple places such as on-board, off-board, and cloud, with all of them working in tandem. Consider ADAS, which uses sensors and cameras to assist drivers in multiple ways such as lane departure warnings, and adaptive cruise control, thereby making driving safer. As another example, consider Emergency Response Systems, which utilize in-vehicle systems to notify emergency services in the event of accidents providing time-critical information such as location, and severity. Cloud data analytics from accidents can be used by government and regulatory agencies to identify traffic hotspots and build safer infrastructure. Feedback loop systems, such as driver monitoring systems, can be used to provide feedback on building safer driving habits, while also acting as a product differentiating input for insurance companies. Regulations on vehicular and road safety systems form an equally important aspect of building safer cities and communities. In India, Bharat New Car Assessment Programme (NCAP) serves as a mechanism for OEMs to manufacture safer vehicles. Additionally, India currently has more than 70% safety regulations which are either partially or fully technically aligned with Global Technical Regulations (GTRs) and UN Regulations while retaining Indian-specific driving and environmental conditions. The road ahead It is, therefore, no doubt that as technology gets more sophisticated, it gets more democratized. Mass adoption will naturally lead to further use cases getting conceptualized and developed. It is natural to expect that more and more vehicles will be connected to the larger road ecosystem. V2X technologies would allow for continuous data exchange between vehicles, thereby helping build more prudent data sets in the event of crashes, or perhaps even mere brushes between vehicles. This helps in creating a data-led network that not only collects information about incidents on the road but also builds recommendations to drivers on road conditions, alerts, and perhaps even on adjacent vehicles. For instance, consider vehicle platooning, where a platoon
about incidents on the road but also builds recommendations to drivers on road conditions, alerts, and perhaps even on adjacent vehicles. For instance, consider vehicle platooning, where a platoon leader (vehicle in front) communicates with the ones behind and exchanges crucial ecosystem data enabling in making autonomous driving decisions for all vehicles behind. With such technological advancements, the overall goal is to not only enable data collection and decision-making on the road ecosystem but also reduce accidents and untoward incidents altogether. It is a matter of time before this too becomes a reality. (Disclaimer : Dattatri Salagame is CEO, President, and Managing Director of Bosch Global Software Technologies (BGSW). Views are personal)
South Korea's Hyundai Motor to take a fresh crack at Japan sales South Korea's said on Tuesday it is returning to Japan 12 years after leaving because of poor sales, as growing demand for offers a fresh opening in a market dominated by Toyota Motor. Hyundai said it will sell its Nexo SUV hydrogen fuel cell electric vehicle and its Ioniq 5 midsize crossover electric vehicle (EV), which is at the heart of the company's attempt to capture 10% of global EV sales by 2025. "We haven't yet set a target for sales, but we will try to provide more information once we begin taking orders online in May," the head of , Shigeaki Kato, said at a launch event in Tokyo. Hyundai, which along with affiliate Kia Corp dominates neighbouring South Korea's auto market, made its first bid to capture market share in Japan in 2001, but left after selling only 15,000 cars. Of the five million cars sold in Japan annually around nine tenths are Japanese brands, with Toyota Motor holding around a 40% market share. Outside of luxury models, foreign makers have struggled to chip away at that lead. Booming demand for EVs, including Tesla Inc models, however, may mean a second chance for legacy manufacturers such as Hyundai, Volkswagen AG and Stellantis, the maker of Peugeot cars. Although only around 20,000 EVs were sold in Japan last year, the segment grew by almost a half from a year earlier even as overall car sales edged down. Imports of EVs jumped almost three times to a record 8,610 vehicles, according to the Japan Automobile Importers Association (JAIA). In a video message at the presentation in Tokyo, Hyundai CEO Jaehoon Chang apologized for the car company's departure 12 years ago. Only 600 Hyundai cars were still driving in Japan, he added. This time around, Kato later explained, Hyundai will focus on online sales, and is partnering with a car sharing service operated by online social gaming company DeNA Co and insurance company Sompo Holdings that lets private car owners rent out their vehicles. Also Read:
Opinion: How the Interim Budget 2024 can foster robust automotive landscape New Delhi: Being the Lok Sabha election year, the 2024 Union Budget on February 1 will be interim or provisional. The automotive industry expects the budget to adopt a growth-oriented strategy, prioritizing the enhancement of capabilities for localization and incentivizing the adoption of alternative fuel solutions. This aligns with the broader objective of achieving 50% energy capacity from renewables by 2030. In 2023, the Indian automotive industry made significant gains by building upon the healthy growth in 2022. The Passenger Vehicle segment surged 8% by selling over 4 million units, Commercial Vehicle segment 5% with 0.98 million units, and two-wheelers 9% with sales exceeding 17 million units, gradually approaching its previous peak in 2018-19. The three-wheelers grew 63% year-on-year by selling over 0.68 million units in 2023. This landmark year underscored the industry's resilience and continued upward trajectory. In terms of fuel type, Electric Vehicles (EVs) made the highest Y-o-Y growth of 49% (1.53 million units sold in 2023). Despite challenges such as reduced FAME-II subsidies for the e-2wheeler segment, the industry regained momentum by August 2023. The auto-component industry also demonstrated robust growth, with a 32.8% increase (USD 69.7 billion) in FY23, driven by domestic demand. EVs constituted approximately 2.7% of its total turnover in this period. In alignment with India's commitment to green mobility and domestic manufacturing, the EV sector anticipates positive measures in the Interim to foster industry growth. Presently, EV penetration stands at 1%, and the industry seeks support for expansion. Emphasizing green and sustainable mobility, there's a notable focus on production, utilization, and export of green hydrogen, backed by the Green Hydrogen Mission with a substantial INR 19,700-crore capital outlay. The interim budget should not only address the current industry challenges but also promote long-term sustainable growth. The Budget can play a pivotal role in supporting the automotive sector's transition by implementing measures to encourage and facilitate this shift. A few areas where the budget can support the automotive industry to aid this transition are: Incentives to enhance EV Ecosystem: TheEV ecosystem seeks encouragement for enhanced adoption, innovation, and infrastructure challenges. Under FAME-II, the Ministry of Heavy industries (MHI) has disbursed INR 5,228 crore in subsidies for about 1.15 million EVs and an additional INR 800 crore for setting up around 7,500 fast charging stations across the country. There is much anticipation for clarity on FAME-III subsidy, which is projected to have heightened focus on mass transportation, alternative fuel initiatives and charging infrastructure. Including EVs in Priority Sector Lending (PSLs) to make EV financing more accessible,will also be key in enhancing EV adoption. In addition to
fuel initiatives and charging infrastructure. Including EVs in Priority Sector Lending (PSLs) to make EV financing more accessible,will also be key in enhancing EV adoption. In addition to the incentives aimed at directly improving EV registrations, the budget should also focus on extending support across the entire EV ecosystem, such as boosting indigenous production, provisions for enabling fast-charging infrastructure uniformly across the country, comprehensive battery swapping policy, and insurance norms tailored for EVs, among others. Fostering growth for startups and MSMEs: To boost the EV ecosystem among MSMEs and startups, the government should incentivize measures such as facilitating domestic battery manufacturing, promoting skilling initiatives, and providing benefits such as accelerated depreciation and specialised EV financing. With the commercial vehicle industry poised to thrive amidst infrastructure development and e-commerce growth, extending government incentives in this sector can catalyse innovation and foster sustained expansion, driving the production and adoption of electric vehicles among MSMEs. Thrust on renewable power sector: India needs approximately USD 2.5 trillion in investments by 2030 to keep up with its sustainable energy goals. With the transport sector accounting for around 10% of India’s greenhouse emissions- transition to green mobility, backed by renewable sources is key to reducing carbon footprint. Policy initiatives focusing on research, development, manufacturing, and investments in clean energy solutions like wind and solar can accelerate progress. Supporting these efforts with viability gap funding and low-cost financing through a dedicated green fund will strengthen the transition to sustainable energy. PLI program for green hydrogen: The nationwide PLI program for green hydrogen is a positive step (hydrogen could contribute to more than 20% of annual global emission reductions by 2050). Th on-going efforts towards indigenous manufacturing of electrolysers will solidify India's role as a net energy provider and exporter, also cutting down ther fuel import costs. Flexi-fuel technology: The interim budget can incentivise wider adoption of flexi-fuel technology. With government advancing the 20% ethanol blended petrol (E20) from 2030 to 2025, it requires an estimated 2.68 billion gallons or 10.15 billion litres of ethanol. The blending of ethanol into petrol has resulted in foreign exchange savings of over INR 24,300 in the supply year 2022-23. The total number of outlets retailing 20% ethanol-blended fuel currently stands at 9,300. To be able to adhere to the projected roadmap to enable timely adoption, incentives towards production as well as diverting sugarcane for ethanol are vital. In conclusion, as the nation moves towards sustainable and green mobility, the Interim Budget 2024 is anticipated to provide crucial support and incentives. The budget should focus on enhancing the EV ecosystem (in
as the nation moves towards sustainable and green mobility, the Interim Budget 2024 is anticipated to provide crucial support and incentives. The budget should focus on enhancing the EV ecosystem (in tandem with prioritising indigenous capabilities), investing in renewable energy, and incentivizing alternative fuel technology towards fostering a robust automotive landscape. (Disclaimer: Saket Mehra is Partner and Auto Industry Leader, at . Views are personal.)
Tesla, rivals get low marks for automated-driving technology 's and and nine other assisted-driving systems marketed by major automakers received "poor" ratings from the U.S. Insurance Institute for Highway Safety in a new study released on Tuesday. The IIHS, a safety research arm of the insurance industry, also said there is no evidence that Autopilot or other assisted-driving systems have real-world safety benefits, based on crash data. "We are able to look at insurance claims data. We have been able to look at vehicles with and without these (systems) and determine there is no reduction in claims as a result of these more advanced systems," IIHS President David Harkey told Reuters. By comparison, there is evidence that automatic emergency braking systems cut rear-end collisions by 50% and cut incidents of a vehicle hitting a pedestrian by 30%, he said. Tesla and its chief executive, Elon Musk, have said that a Tesla operating with Autopilot engaged is about 10 times safer than the U.S. average and five times safer than a Tesla without the technology enabled. Federal regulators are investigating nearly 1,000 accidents in which Tesla's Autopilot was in use. A civil case scheduled to go to trial next week in California will be the latest test of Tesla's strategy of blaming crashes on drivers who fail to heed the EV maker's warnings to pay attention to the road when Autopilot or Full Self Driving technology are engaged. Tesla did not reply to an email seeking comment. The IIHS study rated 14 assisted-driving systems from nine automakers against standards it developed. The U.S. National Highway Traffic Safety Administration has no formal standards governing advanced-driver assistance systems, or ADAS in industry terminology. "There are no federal regulations, nor is there good consistent guidance," Harkey said. "That was our reason for putting these safeguards together." Of the systems IIHS tested, only one earned an acceptable rating: The Lexus Teammate with Advanced Drive, offered last year on a small number of Toyota Motor's luxury Lexus LS hybrid sedans. "Toyota continuously aims to increase vehicle safety," Toyota said in a statement. "As a part of that effort, Toyota, among other things, considers performance in third-party testing programs like NHTSA's New Car Assessment Program and IIHS's Top Safety Pick program." GM's Super Cruise and Nissan's "ProPILOT Assist with Navi-link" offered on the 2023-2024 Ariya electric vehicle received "marginal" overall ratings. "We are evaluating the results from the first-ever Partial Automation Safeguards test and will continue to work with IIHS in all matters related to customer safety," Nissan said. GM said in a statement that Super Cruise "is meant to serve as an enhancement to the driving experience," not as a safety feature. Different assisted-driving systems from Tesla, Mercedes-Benz , BMW, Nissan, Ford, GM, Hyundai's Genesis brand and Geely's Volvo Cars brand received "poor" overall ratings,
not as a safety feature. Different assisted-driving systems from Tesla, Mercedes-Benz , BMW, Nissan, Ford, GM, Hyundai's Genesis brand and Geely's Volvo Cars brand received "poor" overall ratings, although all achieved "good" scores on certain elements of the IIHS tests, the group said. "This new IIHS testing methodology does not assess the performance of the driver assistance systems, instead it focuses on safeguards to prevent misuse," Mercedes said in a statement. "We take the findings of the IIHS partial driving automation safeguard ratings very seriously." Automakers could boost safety ratings by adopting existing technology for functions such as driver-monitoring or attention warnings that achieved "good" scores, Harkey said. Tesla and other automakers are improving the capabilities of their systems, the IIHS said. Tesla revised its Autopilot software following a federal recall agreement, and IIHS will test the updated system, Harkey said. "We are certainly going to take in the results of these tests as our cars and these systems continue to evolve," BMW spokesman Jay Hanson said on Monday. BMW now offers in certain U.S. models a more sophisticated driving-assistance system than the one tested by the IIHS. The Genesis GV80 SUV that launches in the U.S. this spring will the first model in the Hyundai luxury brand with an in-cabin camera to monitor the driver's face and eyes while assisted driving is engaged. "This enhancement will also be rolling out to future Genesis products in the coming months and years," the company said.
Happy Easy Rides adds 150+ new cars to its fleet; eyes massive expansion by FY 25-26 across 30 cities New Delhi: (HER), one of the leading in India, has announced a massive expansion of its operations via the addition of over 150 to its already expansive inventory. Moreover, the company, driven by the ambition of spearheading the unorganized yet highly profitable car rental business, has, by FY 25-26, set the goal of managing a massive fleet of 500 cars across 30 cities, including metros such as Kolkata and Mumbai and Tier-2 and emerging cities such as Jaipur, Lucknow, and Indore. Established in September 2021 by co-founders and , who are currently the CEO and CFO of HER, respectively, Happy Easy Rides has had phenomenal growth in the previous 18 months across , Goa, Chandigarh, and Dehradun. Behind this envisioned growth of the car rental enterprise, Phase II of its expansion, lies the dedication of the core HER team, which comprehensively looks after the operations. Attesting to the hard work and the customer-centric attitude of the company, it is worth noting that in the short span of its operations, HER has grown at an impressive CAGR of 30 per cent. Thrilled by the expansion plan, Lalit Rajwanshi, the CEO of Happy Easy Rides said, "We are on a robust expansion journey so that we can reach more and more people, who increasingly need an easy-to-rent facility for cars. We began this entrepreneurial journey to create a niche for ourselves in the market and realized that car rental has a huge potential across cities as people are traveling more regularly and can afford to pay a certain amount as a premium to travel more comfortably, without having to break the bank. With every passing day, we strive to realize our determination to lead the industry, which has so far existed only in an unorganized manner. We strongly believe that we will revolutionize the car rental domain in India." With an extensive experience of over 10 years in the car rental space along with his executive experience across several notable companies such as Voler Cars, Heartz, Victoria Cars, HCL Tech, YouTube, and AmEx, Lalit leverages his first-rate operations-oriented skills to drive the profitability of HER. His industry knowledge and interpersonal skills are among the guiding forces behind the venture's smooth and harmonious running as well as sought-after consumer experience. Similarly, the astute business acumen and the team-player spirit of Nimay Sharma, much like that of Lalit, ensures the solid financial foundation of HER. To serve the heavy-duty financial demands of the company, as a CFO, Nimay draws from his experience across different niches in the world of Finance. His specialty includes Business and Financial Analysis, Corporate finance, Banking Relations, Business Strategy, team building, and Client Relationships. Additionally, his in-depth knowledge of the start-up eco-system, especially SMEs and MSMEs is instrumental in solving the many challenges initiatives
team building, and Client Relationships. Additionally, his in-depth knowledge of the start-up eco-system, especially SMEs and MSMEs is instrumental in solving the many challenges initiatives such as Happy Easy Rides face. About the expansion, on a similar note as Lalit, Nimay Sharma, the CFO of Happy Easy Rides said, "We are extremely delighted to roll out the expansion of Happy Easy Rides. India is a growing economy and the lifestyle change that ensues such rapid growth suggests that there is a huge demand for easy-to-rent cars. Moreover, the consumer today is waking up to the fact that owning a car is an expensive affair, however useful a car might be, especially in the fast-paced metro life. Therefore, renting is an attractive option, as one can enjoy the benefits of cars now, without the hassle of a hefty purchase. We strive to fulfill this need, with a firm belief the joy of driving is for all, regardless of how well-heeled one is." Informing the vision of Happy Easy Rides lies a simple idea: the comparative advantage of renting cars as opposed to owning them. Happy Easy Rides offers a robust argument in favor of renting a car, which is also widespread across the internet. The venture seeks to convince consumers that they can save themselves the debilitating task of considering the margin money, loan, interest rate, insurance, processing fees and other complicated decisions involved in a car purchase by simply renting. Moreover, recognizing the huge potential of the informal car rental sector, which has a scope for growth even in Tier-3 cities, Happy Easy Rides strives to fill a huge gap in the market by targeting a huge population who are ready to pay a premium on car rental and need the service of a car regularly but can not afford to buy it. As a result, HER not only attracts a broad consumer base via affordable rental options but also runs a comprehensive background check, ensuring that the customers have valid Driver's Licenses and ID proofs so that the overall road safety, as well as the sanctity of the industry, are maintained. The idea for the bombing start-up was conceived much before its inception. The co founder duo began conducting the necessary market research for the initiative in the June of 2021 when the pandemic was still fierce. The market research was followed by fundraising, which was achieved by August of the same year before the first set of cars and the initial working space was put into place by September when the brand journey began in full swing. A few months shy of its second anniversary, Happy Easy Rides is poised to completely transform the car rental industry.
Musk's big win in China: Tesla clears data security, full self driving hurdles for locally-made cars 's surprise visit to China has proven to be a strategic move yielding significant results. The Tesla boss has managed to get a key clearance from China that will be a big shot in the arm for the behemoth EV maker's efforts to resurrect declining sales and win trust in China where their own automakers such as BYD have threatened Tesla's dominance. Tesla's cars made in China passed key data security and privacy requirement in China, handing Musk a major win who visited Beijing to seek approval to introduce driver-assistance software. This is according to the China Association of Automobile Manufacturers. Before, some places in China banned Tesla cars because they were worried about how they collected data. Meanwhile, Reuters reported citing sources that Baidu, a prominent Chinese internet search company, has reportedly struck a deal with Tesla, allowing the car manufacturer access to its mapping license for gathering data on public roads in China. Tesla Inc.’s locally made cars have cleared a key data security and privacy requirement in China in a boost for , who made a surprise weekend visit to Beijing to try to win approval to introduce driver-assistance software. Reports thus indicate that Chinese authorities may remove restrictions on Tesla vehicles following the company's compliance with the nation's stringent data security protocols. Bloomberg reported that the data security assessments encompassed the methods by which vehicles gather "sensitive personal information" and the ease with which drivers can halt data collection, as stated by the China Association of Automobile Manufacturers in a late Sunday statement. Previously, Tesla vehicles had faced bans from Chinese military installations and certain governmental sites due to apprehensions regarding data collection. Alongside Tesla's Model 3 and Model Y, several other new energy vehicles manufactured by BYD, Lotus, Nezha, Li Auto, and Nio have also met China's stringent data security standards. Elon Musk, pivotal in addressing this matter, made a low-key arrival in mainland China on Sunday. He held discussions with Premier Li Qiang. Following the meeting, in the evening of April 28th, the China Association of Automobile Manufacturers released a statement affirming Tesla's compliance with pertinent data security standards. Consequently, restrictions will be progressively eased in different regions. The statement underscored that all Tesla models manufactured at the Shanghai Gigafactory adhere to these regulations, distinguishing Tesla as the sole foreign entity to achieve such compliance, according to media reports. During his unexpected trip to Beijing, Musk was anticipated to engage with senior officials to deliberate on the deployment of Full Self-Driving software and the authorization for data transfer abroad, as per Reuters, citing an informed source. In response to a query on the social
officials to deliberate on the deployment of Full Self-Driving software and the authorization for data transfer abroad, as per Reuters, citing an informed source. In response to a query on the social media platform X, Musk indicated earlier this month that Tesla might imminently offer Full Self-Driving capabilities to customers in China. Since 2021, Tesla has been storing all data gathered by its Chinese fleet in Shanghai, complying with Chinese regulatory mandates, and refraining from transferring any data back to the United States. Musk's trip to China came shortly after he cancelled a scheduled trip to India to meet Prime Minister Narendra Modi, citing "substantial Tesla commitments." Tesla is seeking to woo China, a key market for the EV maker, and just a week back it had reduced prices for all its vehicles in China. This came close on the heels of Tesla introducing fresh incentives in the world's largest auto market to attract consumers. These incentives included insurance subsidies, as the U.S. electric vehicle giant engaged in a prolonged price battle against established competitors. The U.S. electric vehicle-maker is grappling with slow demand and strong competition in China, while its first-quarter sales dropped sharply below market estimates. Tesla's global vehicle deliveries experienced a decline in the first quarter, marking the first decrease in nearly four years. Tesla is dealing with tough competition worldwide, especially from Chinese electric car companies. These companies are flooding the market with cars priced as low as USD 10,000. Meanwhile, Tesla has decided not to make the affordable car they had promised. Investors were hoping for this car to help Tesla become a big car company for everyone. Musk had last week deferred his visit to India and planned meet with Indian Prime Minister Narendra Modi. He was also set to meet with senior officials from state governments where Tesla is considering establishing an electric vehicle assembly unit. India had recently offered a new EV policy with lower import tariffs, laying out the red carpet for entry of foreign automakers such as Tesla.
How to step-up handling of forex-related issues faced by exporters? Cross-border is a domain fraught with uncertainties at all levels. One of the major roadblocks to successful overseas trade operations is the inability to meet the requirements for foreign exchange ( ) systems and norms. This issue has the potential to mar trade deals. In trade parlance, leveraging forex requirements effectively is considered to be a sure-shot strategy for positive business outcomes. Fluctuations in the values of foreign currencies is a constant and a big challenge in cross-border trade. While this issue affects exporting firms of all shapes and sizes, the country's firms are more vulnerable to this hazard. Though the MSME sector accounts for nearly half of India’s outwards , this segment is traditionally characterised by low awareness about the procedural know-how in dealing with forex requirements and associated risks. The up-down equation A fall in the Indian rupee — which also means a stronger dollar — helps exporters earn comparatively more for their , making Indian exports more competitive. But a decline in the currency also means that imported inputs become expensive for domestic industries, affecting MSMEs the most. Lots of MSMEs do exports as well as raw material imports. Therefore, any steep depreciation in the rupees cuts them both ways. Industry estimates have revealed that imported inputs form about half of India’s exports. The recently flagged that while rupee depreciation would help spur exports, it would also raise input costs for the downstream manufacturing sector. Given this situation, exporters would prefer that there is no drastic volatility and fluctuation in the currency of the trade. Such stability will also help small businesses in better financial planning. So, what are the common solutions an exporter can embrace to mitigate forex-related risks? Forex hedging is a method often used by exporters to prevent exchange risks in cross-border transactions. Under this method, the exchange rate for the transaction is fixed for a future date, instead of using the exchange rate prevailing on the day of trade. While this looks overly simplistic, the fact remains not many MSME firms know or avail of this solution. The reason, as revealed by industry trends, is that hedging is a complex procedure and requires specialised knowledge. So, it is not a popular option among novice exporters. At times, exporters need to seek the help of industry experts or consultants who charge a fee for their services. This increases the transaction cost for exporters. There are many geographies where currency volatility and fluctuations remain a big issue. In such markets, locking the currency value of the commercial transaction via a hedging mechanism can greatly aid exporters in mitigating potential currency risks. It's worth mentioning that hedging is a double-edged sword for exporters: While it reduces trade risks, it also significantly cuts any chances of potential
in mitigating potential currency risks. It's worth mentioning that hedging is a double-edged sword for exporters: While it reduces trade risks, it also significantly cuts any chances of potential windfall profits that exporters can earn in case of a favourable movement in the currency. Therefore, currency hedging remains a technique used by traders desiring to play it safe while selling goods abroad. Experts suggest exporters do a thorough cost-benefit analysis before taking a hedging decision. Blind spot for exporters The reluctance among MSME exporters to update their knowledge and employ the latest forex strategies is a big growth bottleneck for them, say industry observers. Arjun Abraham Zacharia, Founder of trade facilitation platform EximPe, says MSMEs that undertake cross-border trade run their businesses in a manual, on-the-phone, paper-heavy and in-branch manner. As a result, cross-border payments remain expensive, delayed and often non-compliant with the rules of the land. For example, if an MSME wishes to conduct a transaction in the US dollar (USD), there is no credible way to obtain the rate. Of course, one can “Google it”, but that does not return accurate trade rates, he says. Hence, a trustworthy, digital 24C) is a generally accepted secure methodology that strikes a better balance between the competing interests of buyers and exporters, he says. A LC. There are several tools and solutions to curb forex-related payment issues. Exporters should make the best use of such solutions. According to Bhattacharjee, exporters can make use of a range of insurance covers to protect themselves from the risk of non-realisation of trade proceeds. The Export Credit Guarantee Corporation of India Limited is one organisation that offers various insurance products and working capital financing options to Indian exporters. “A host of financing options may soon open up for MSME exporters in India with the ( ) platforms for facilitating trade finance through lenders across the globe becoming fully functional. These platforms will enable the best possible price discovery through a live auction process, thereby offering a much larger palate of financing choices for Indian exporters,” adds Bhattacharjee. While better exposure management remains key in tackling forex fluctuations, adoption of technology can make a big difference too, claim industry observers. Pratik Sharma, the COO at Automaxis, a platform connecting freight, documents and payment in cross-border trade, vouches for tech adoption to ensure deals go through smoothly. Exporters sit on a major currency fluctuation risk as they ship goods and get the payment only after a certain period. They may end up at a loss in case the currency rate changes. “Exporters can know the current forex rates through 3rd party API services that can be integrated into the legacy systems or apps. They can also get predictions about future prices. Exporters can also select the duration and decide whether to go for
3rd party API services that can be integrated into the legacy systems or apps. They can also get predictions about future prices. Exporters can also select the duration and decide whether to go for forwards contracts or options in order to hedge the currency arbitrations," adds Sharma. To resolve documentation issues in cross-border trade, his firm has come up with a blockchain platform for secure and speedy transfer of ownership of bills of lading in real time. In usual course, this paper passes through at least 3 courier services and takes 7-10 days to reach the destination, claims the firm, adding that technology can be a great saviour for exporters in tackling various forex requirements.
Modi invites Australian businesses to invest in infra, semiconductors, space sectors Sydney: Prime Minister on Wednesday invited Australian businesses to take advantage of investment opportunities in India in sectors like digital , telecom, and semiconductors. He suggested Australian CEOs to forge partnerships with their Indian counterparts. The prime minister, while addressing top Australian CEOs at a business round-table here, also talked about numerous economic reforms undertaken by the government. He "invited them to take advantage of investment opportunities offered by India in domains of infrastructure including digital infrastructure, IT, fintech, telecom, semiconductors, space, renewable energy including green hydrogen, education, pharma, healthcare including medical devices manufacturing, mining including critical minerals, textile, agriculture and food processing, " Official Spokesperson, Ministry of External Affairs, Arindam Bagchi said in a tweet. The government has taken steps like reducing the compliance burden, introduction of production-linked incentive schemes and easing foreign direct investment norms. On May 23, the prime minister met business leaders of top Australian companies and called for enhancing cooperation with the Indian industry in areas such as technology, skilling and clean energy. Modi arrived in Sydney on Monday for the third and final leg of his three-nation tour. He is visiting Australia as a guest of the Australian government. Modi held bilateral meetings with Hancock Prospecting Executive Chairman Gina Rinehart; Fortescue Future Industry Executive Chairman Andrew Forrest and AustralianSuper CEO Paul Schroder. During April 2000 and December 2022, India received USD 1.07 billion in from Australia, according to government data. Both countries have already implemented an interim free trade agreement on December 29 last year. The two nations are now engaged in widening the scope of that agreement into a Comprehensive Economic Cooperation Agreement (CECA). Australia was the 13th largest trading partner of India in 2022-23. While exports stood at USD 6.95 billion, imports from that country aggregated at USD 19 billion. India is Australia's largest export market for gold and chickpeas, the second-largest market for coal and copper ores and the third-largest market for lead and wool. Key imports from Australia include coal, copper ores and concentrates and petroleum. Meanwhile, the Ministry of External Affairs in a statement said that the participating CEOs represented leading companies operating across a diverse range of sectors, including steel, banking, energy, mining and IT. Vice Chancellors from some of the leading Universities of Australia also participated in the roundtable. "The Prime Minister highlighted numerous economic reforms and initiatives launched by the government for ease of doing business and boosting economic growth," it said. The initiatives included mission Gati Shakti for an integrated approach
economic reforms and initiatives launched by the government for ease of doing business and boosting economic growth," it said. The initiatives included mission Gati Shakti for an integrated approach towards infrastructure connectivity projects; Jan Dhan-Aadhar-Mobile trinity; National Education Policy; Hydrogen Mission 2050; PLI scheme; the opening of private investment in the domain of space and geospatial sector; new policy of medical devices manufacturing; Ayushman Bharat health insurance scheme. The CEOs who participated in the roundtable include Commonwealth Bank of Australia President and CEO Matt Comyn; Rio Tinto CEO Kellie Parker; BHP President Australia Geraldine Slattery; University of Sydney Vice-Chancellor & President Mark Scott; Cochlear Chair Dig Howitt; Airtrunk CEO Robin Khuda; Quintis Sandalwood CEO Richard Henfrey; and Navitas Group CEO Scott Jones.
Uber India rolls out rewards programme for drivers across 12 cities Ride-hailing platform is rolling out a tiered rewards programme for drivers in 12 cities. The programme, , will give drivers benefits such as area preference, discounted vehicle maintenance and motor insurance, as well as enhanced micro-credit offerings. Drivers will be eligible for these benefits upon reaching certain milestones. This rewards programme will operate independently from Uber’s ride-based cash incentive programme, where drivers earn incentives based on the number of rides completed in a stipulated time period, and ratings received from riders. The company has been piloting this programme in the National Capital Region and is now rolling it out in more cities. This comes at a time when the cab-aggregator industry is facing supply issues, with drivers moving out from platforms on account of decreasing earnings, in addition to intensifying competition in the space. Recently, Bengaluru-based ride-hailing platform started rolling out four-wheeler services. California-headquartered service has also been expanding in India. In addition, Uber is facing competition in some of its key markets from all-electric ride-hailing platforms such as and Evera. Uber has more than 800,000 drivers on its platform in India. Speaking to ET, , director-operations, Uber India & South Asia, said during the pilot phase of the programme, the company had seen improvements in stickiness of drivers on the platform. “Competition is good, it helps us innovate and come up with programmes like Uber Pro. We don’t see this as a threat but as an opportunity to innovate more,” he said. “We’ve seen through the pilot programme that stickiness of drivers on the platform improves after drivers benefit from this…they tend to churn less.” He said the company was currently seeing an all-time high driver supply in India. “A couple of years back we were in a recovery phase…there were a lot of supply issues, service quality concerns like driver cancellations, refusing to go to certain destinations,” said Shailendran. “Right now, the service quality is at the all-time best, cancellations are below pre-Covid levels, and the supply base is at an all-time high.” Uber plans to extend the rewards programme to more cities and modes of travel such as autorickshaws and two-wheelers, he said. The programme is currently available only for car drivers on the platform. Point-based tiers The company is rolling out the programme in a dozen markets, including Delhi-NCR, Mumbai, Bengaluru, Chennai, Kolkata, Lucknow, Chandigarh, Ahmedabad and Guwahati. It offers rewards and exclusive features to drivers who maintain a customer rating of 4.8 or above and have low trip cancellations. A driver moves upwards in tiers by earning ‘points’ on every completed trip and meeting other criteria. The points are reset every three months, and the drivers’ tier status is determined on a rolling period of three months. As drivers move towards a
on every completed trip and meeting other criteria. The points are reset every three months, and the drivers’ tier status is determined on a rolling period of three months. As drivers move towards a higher tier, they get access to more rewards. In addition to discounted car maintenance, motor insurance premiums and micro-loans, drivers also earn benefits such as ability to choose the area of preference for taking rides, and priority support. The programme is live in some of the global markets Uber operates in.
Cars, two-wheelers to get costlier in Tamil Nadu. Here's why In a recent assembly session, the announced an increase in tax rates for new , , and other vehicles. As per a TOI report, this move is expected to raise the overall cost of vehicles in the state. The tax hike will also impact shared-autos, taxis, and trucks, potentially leading to higher freight and commute expenses. Under the amended TN Motor Vehicles Taxation Act, 1974, the tax rate for two-wheelers priced above INR 1 lakh will be raised from 8% to 12% of the vehicle's cost as a lifetime tax. This means that buyers who previously paid INR 9,600 rupees as tax will now have to pay INR 14,400. Similarly, cars priced between 5 lakh and 10 lakh rupees will attract an 18% tax, while cars costing INR 20 lakh or more will have to pay a minimum of INR 4 lakh as a 20% tax. These tax increases come in addition to registration charges, green taxes, insurance premiums, and other handling charges that vehicle owners already have to bear when purchasing a new vehicle. Industry experts, such as S Rajvel, the state chairperson of the Federation of Automobile Dealers Association, have expressed concern over these tax hikes. Rajvel believes that the automobile industry in Tamil Nadu will be adversely affected, especially since neighboring states do not impose such high taxes. He also points out that the ex-showroom prices of vehicles have already risen by 40% in the past year, and any further increase in costs will impact sales. Furthermore, transportation activists like T Sadagopan told TOI that two-wheelers are no longer considered a luxury but have become a necessity for many people, especially due to disruptions in train services and a decline in government bus services in Chennai. As more people migrate to the city's outskirts, the demand for bikes is expected to continue. Tax revisions at this point would disproportionately affect middle-income groups who heavily rely on two-wheelers for their daily commute, he said. In addition to affecting new vehicle registrations, these taxation changes will also impact vehicles brought into Tamil Nadu from other states. Commercial vehicles, in particular, will face nearly double the usual tax rates. Share-auto and taxi owners will be required to pay INR 6,000 as tax for five years. However, this move has faced opposition from S Anbalagan of the TN Auto and Taxi Drivers' Association, who argues that they are already losing a significant portion of their revenue to aggregators like Ola and Uber. Truckers have also expressed concerns about the tax hike as it will have a cascading effect on the prices of commodities being transported. S Yuvraj, representing the TN Sand Lorry Owners' Association, highlights that around 30% of registered trucks are not being operated due to the rising costs of diesel, toll prices, and maintenance expenses.
Tesla shares skid after China sales fell to the lowest level in over a year Shares in Tesla fell more than 7% on Monday after its sales declined in February in China, where it likely faced a slowdown during the Lunar New Year holidays. The fall in sales in its key market dimmed the outlook for Tesla's global deliveries, at a time when the top EV maker is battling a decline in demand and rising competition, and is weighed down by a lack of entry-level vehicles and the age of its product line-up. Tesla sold 60,365 China-made vehicles in February, down 19% from a year earlier and the lowest volume since December 2022, according to data from the . Tesla's Shanghai factory makes Model Y and Model 3 electric cars for the local market, Europe and other countries, and accounted for over half of Tesla's global deliveries last year. ended down 7.2% on the day at USD 188.14, a slump of about 24% since the start of the year. China's Lunar New Year holidays fell in February, reducing car purchasing activities. Tesla has introduced a series of price cuts and incentives to fend off slowing demand and rising competition from Chinese rivals such as . "It's been a perfect storm of headwinds for Tesla in China. This was a negative data point that adds fuel to the fire around the stock," Wedbush analyst Dan Ives said. Last week, Tesla unveiled new incentives including insurance subsidies to woo consumers in the world's largest auto market. BYD on Monday launched a new version of its best-selling car at a price lower than the final price of its discontinued predecessor, escalating a price war with rivals. BYD also saw its sales fall 37% to 122,311 in February from a year earlier. In the United States, Tesla this month offered 5,000 free Supercharging miles to customers who trade in their older vehicle to get a new Tesla vehicle by March 31. In February, Tesla temporarily cut prices of some of its Model Y cars in the U.S. Analyst Troy Teslike revised down his forecast for Tesla global deliveries for the first quarter of this year, saying weaker-than-expected China sales despite a price cut suggested "a demand problem." In January, Tesla warned of "notably lower" sales growth this year as it focuses on the production of its cheaper electric vehicle.
Cars24 saw its topline grow at lower pace Gurugram-based unicorn saw its topline grow at a lower pace in the year ended March 31 as demand for entered the slow lane, and the company cut down on its spending significantly. In FY23, the startup’s operating revenue grew 7.7% year-on-year to INR 5,535 crore. Compared to this, in FY22, the company’s revenue from operations had posted an on-year growth of 87% to INR 5,136.5 crore. The company’s net loss for FY23 came in at INR 467.7 crore, up from INR 248.1 crore in FY22. However, in the year ended March 31, 2022, it had reported a one-time gain of INR 845 crore in other income on account of technology transfer to its Singapore entity. Excluding the one-time gain, the company’s operational loss in FY22 stood at INR 1,093.1 crore. “The focus during the year was on rationalising costs…and directionally I can tell you we have continued on the path of growing sustainably even in FY24. The idea is to build in a healthy way and reduce the loss margins,” , cofounder and chief marketing officer, Cars24, told ET in an interaction. From a peak cash burn rate of around USD 20 million in 2021, the company had reduced it to around USD 8 million earlier this year, and Jangid said the number was reduced even further. Without disclosing numbers for the ongoing fiscal, he added that in the first half of FY24, the company’s topline has grown 30% over the April-September period of FY23. The and Alpha Wave Global-backed company also curtailed its expansion plans during the year, both on the domestic front and internationally. In addition to India, Cars24 operates in the UAE, Thailand and Australia. Earlier this year, it shut down operations in Saudi Arabia and Indonesia. Within India too, Jangid said, the company was doing a calibrated expansion of its consumer-to-business (C2B) vertical, and has increased presence to 150 cities now from around 100 earlier this year. It has stopped expanding in newer cities in its business-to-consumer (B2C) vertical. "Our focus was to increase market share in existing cities and get a sustainable growth in each of those," Jangid said. In the C2B business, the company facilitates purchase of cars by used-car dealers by individuals selling their products, while in B2C the company operates as a marketplace for purchase of cars by end consumers. Notably, listed used-car company , which acquired the Olx India business from Prosus earlier this year, recently announced the shutting down of the C2B vertical citing poor unit economics in the business. In May, ET reported that companies in the space were rationalising operations as sales of used cars became sluggish after heating up in 2020 and 2021. Dual efforts Cars24, which competes with companies such as Tiger Global-backed Spinny, CarTrade Tech and Peak XV Partners-backed CarDekho, is focussing on two levers to improve its margins, Jangid explained. “On the one hand, we are looking to provide value-added services to our consumers such as
and Peak XV Partners-backed CarDekho, is focussing on two levers to improve its margins, Jangid explained. “On the one hand, we are looking to provide value-added services to our consumers such as insurance, additional warranties and loans, which is adding to our margins. On the other, we are also working on reducing operational expenses such as marketing and advertising spends, staff costs, etc,” he said. Cars24 had launched its lending business after getting a non-banking finance company (NBFC) licence in 2019. As of May this year, the company has disbursed loans worth INR 2,000 crore. While the lending firm, Cars24 Financial Services Ltd, is currently focussed on enabling loans for customers of its parent company, it might soon begin targeting external used-car buyers. In FY23, the company’s advertising and promotional expenses stood at INR 167.3 crore, down 26% on year. It also cut down on employee benefit expenses to INR 478.3 crore last fiscal from INR 548.5 crore in FY22. As a result of this, Cars24’s gross margins improved to 11% in FY23 from 3% in FY22, while its earnings before interest, taxes, depreciation and amortisation (EBITDA) margins improved from -19% to -3%. “By solving for process efficiency, automation and implementing these changes across the organisation, we've achieved substantial cost reductions. These cost savings, in turn, have allowed us to reallocate resources to areas such as technology development, ensuring we're well-positioned for the long-term,” Jangid added. Last year, ET had reported that Cars24 took a call to prioritise sustainability over business growth at a time when late-stage funding deals began drying up. At the time, the company had shut most of its offline centres across the country, except in the national capital region (NCR). In 2021, the company had raised almost USD 650 million in equity funding. Its last equity round was in December 2021, when it raised USD 329 million at a valuation of USD 3.2 billion. It had also laid off 600-700 people during the year, but its overall headcount reduced by a higher quantum as the company stopped replacing employees it lost to attrition during 2022.
Electric vehicle-related incentives are the newest employee perk New Delhi: (EV) incentives are catching on as a new perk at companies such as , Larsen & Toubro and . They have drafted fresh policies providing incentives for the purchase of EVs and are setting up charging stations on campus. is also considering EV fleets for material transportation. Corporates are looking to attain sustainability goals while keeping employees engaged in the journey, executives of these companies and experts told ET. Such policies are more likely at organisations with a high environmental, social and governance ( ) focus and those perceived to have "mature" HR practices, according to a Deloitte India study on benefits. The findings of the report, based on a survey that ended in March, were shared exclusively with ET. Companies are examining operations from the ESG aspect to align themselves with India's overall target of attaining net-zero emissions by 2070. Some are setting earlier deadlines than that. "While the prevalence of such incentives is still low - under 15% - we are seeing an increasing trend of organisations providing incentives for EVs as part of their company car policy, over and above the sops provided by the government," said Neelesh Gupta, director, Deloitte. The key reason for incentives is bridging the price gap between vehicles powered by internal combustion engines (ICE) and EVs, Gupta said. EVs typically cost 30% more, he said. Vedanta recently extended policy benefits to all employees with incentives ranging from 30% to 50% for various grades for the purchase of two- and four-wheeled EVs. "This is a one-of-its-kind initiative and further exemplifies Vedanta's focus towards positive impact," said chief human resource officer Madhu Srivastava. Reducing Carbon Footprint "At Vedanta, sustainability is one of our core values and underlines all that we do. We have made a commitment to achieve net-zero carbon emissions by 2050 or sooner." L&T has a target of becoming carbon-neutral by 2040. "The granular targets are also built into the Lakshya-26 strategy plan. Towards this, adopting EVs in its campuses, offices and project sites is one among many initiatives currently under implementation or in discussion stage," said Pradeep Panigrahi, head, sustainability. "Discussion and viability studies are ongoing to have an for material transport and EV earth-moving equipment at sites." L&T campuses in Powai, Chennai and Vadodara have EV charging facilities. Online travel company MakeMytrip recently launched a policy to motivate employees to purchase electric four-wheelers. "The policy reimburses the vehicle's first-year insurance cost of up to Rs 1 lakh," said Yuvaraj Srivastava, group chief human resource officer, MakeMyTrip. "On the employee front, we have also attempted to encourage behaviour that helps offset, reduce the carbon footprint," said Srivastava. MMT plants five trees in the name of every new recruit. "We then share a certificate with them
also attempted to encourage behaviour that helps offset, reduce the carbon footprint," said Srivastava. MMT plants five trees in the name of every new recruit. "We then share a certificate with them with details of the type of trees, where they have been planted, and a nudge to make gifting a tree a habit."
Nissan Smyrna plant rolls out 15 millionth vehicle, 2024 Pathfinder, on Wednesday New Delhi: 's Smyrna Vehicle Assembly Plant in Tennessee, USA, produced its 15 millionth vehicle, a 2024 finished in Deep Ocean Blue Metallic, on Wednesday. "Seeing the 15 millionth vehicle – a Pathfinder – roll off of our assembly line was a memorable moment for the Smyrna team," Brian Crockett, vice president of manufacturing for the Nissan Smyrna Vehicle Assembly Plant, said. "It's a celebration of teamwork and the collective spirit that drives us, and of the community that has supported us every step of the way for the past 40-plus years." Nissan began in the US Pathfinder assembly in 2005 at the Smyrna plant. More than one million Pathfinder vehicles have been assembled in the U.S. to date. Last month, the 2024 Nissan Pathfinder was awarded the Insurance Institute for Highway Safety's (IIHS) 2024 TOP SAFETY PICK+ designation. "The Pathfinder, with its rich history and role in our lineup, symbolizes the journey we've taken together and the endless possibilities ahead," Crockett said. The first auto assembly plant in Tennessee, Nissan Smyrna currently builds the Nissan LEAF, Murano, Pathfinder, Rogue and INFINITI QX60. To date, Nissan has invested USD 7.1 billion USD in the Smyrna plant. With more than 5,700 employees and an annual production capacity of 640,000 vehicles, Nissan's Smyrna operations represent the largest U.S. manufacturing site within the company's network and one of Nissan's largest factories in the world.
14 things India wants from Nirmala Sitharaman's Budget While is rebounding at the quickest pace among major economies this year, finance minister Sitharaman will need more than just stimulus to keep this run sustainable. A string of state polls next month and a Covid variant only makes her task challenging. Here are the 14 expectations economists, companies, tax experts and India's salaried class have from Sitharaman's February . 1. Economists are rooting for a gradual fiscal consolidation path, capital expenditure to pursue growth and steps to rein in inflation. The year-on-year projection of fiscal deficit should not be significantly large, they feel. They want the FM to take capex route, and preferably spend on capital assets and infrastructure projects, rather than raising allocation to rural-centric cash or employment schemes. 2. Economists also want the re-introduction of wealth and inheritance tax to address rising inequality in Covid. A joint study by Ashoka University and think tank CBGA pitches for re-introduction of these taxes, while providing incentives for charitable donations. India’s richest families saw their wealth reach a record high in 2021, even as 84% Indian households saw an income decline amid the pandemic, said a report from Oxfam India. 3. The amount of is significantly low given inflation and a variant on loose. Home budgets have been hit badly. There is a need to consider increasing the current standard deduction limit of INR 50,000 to at least INR 75,000 to provide some cushion to the salaried to sail through these times. 4. Keeping in mind that work-from-home or WFH is here to stay, the salaried class expects a deduction for home office expenses in calculating their taxes in Budget 2022. From a cost perspective, employees clearly need a backing. With multiple members in a family working from home and with the need to accommodate online classes for children, the salaried class has also looked at moving to homes with larger personal spaces. The additional cost may vary, but clearly there is an additional ongoing investment required from employees to manage working from home. 5. Insurance experts want health covers slotted in the 5% GST slab to make it more affordable to access quality healthcare. A significant reduction in the GST on all personal lines of products—from the existing 18% to 5% will encourage more people to buy health insurance in these times. For senior citizens, it should be exempted. 6. Automobile sector wants electric vehicles to be put in priority lending to encourage more citizens to opt for EVs at low interest rates. It also wants sufficient fund be allocated for R&D in a public-private partnership mode for development of batteries. In its Budget wish list, the Society Of Manufacturers Of Electric Vehicles (SMEV) also said there is a need to amend the PLI scheme for automobile and auto components, as in its current form there is an "unfair price disadvantage" for small and medium-size EV players.
(SMEV) also said there is a need to amend the PLI scheme for automobile and auto components, as in its current form there is an "unfair price disadvantage" for small and medium-size EV players. 7. The hospitality sector wants GST input tax credit restored as it struggles with thin margins, huge losses, and loss of livelihood for thousands on the back of dine-in bans. It also wants a mechanism to protect restaurants from further lockdowns, such as insurance or a furlough scheme such as the one granted in UK. The British Treasury announced a package of grants and other relief amounting to 1 billion pounds ($1.3 billion) to hospitality and leisure businesses in December 2021, as pubs, bars and restaurants shut down due to Omicron. 8. Banks and MSMEs industry representatives want support for the sector in line with the Emergency Credit Line Guarantee Scheme – a measure introduced early in the pandemic. The ECLGS entails 100% credit guarantee by the National Credit Guarantee Trustee Company on loans extended by banks and non-banking financial companies. MSMEs also want the Insolvency and Bankruptcy Code to be amended for recovery of MSME dues. 9. FMCG companies such as giant HUL want Sitharaman to not be in a rush to bring down the fiscal deficit but continue to put money in the hands of people, especially in rural areas where FMCG growth volume has turned negative. With inflation of commodity prices impacting rural consumption, they want all the relief provided by the government in the last few years for the rural consumers through schemes like MGNREGA and free food supply to be extended in the next fiscal because the is still in the process of recovery. 10. Pandemic-hit airlines wants tax breaks and suspension of minimum alternate tax for at least two years. The airline industry says that they are taxed as high as 21% but there is no provision for input tax credit, as there is with other sectors. It wants suspension of minimum alternate tax (MAT) for aviation and airport sector for at least two years, or reduction in MAT from about 18% to 5%. Domestic passenger numbers plummeted 25% in the first week of January. Rising fuel prices are set to further stress the sector, as fuel accounts for up to 45% of the cost of operations for airlines in India. 11. Active stock market platforms such as Zerodha want the budget to reduce securities transaction tax or STT, since active traders lose more money in transaction costs and impact costs than to the markets. Zerodha customers alone pay Rs 2,500 crore in STT, stamp duty, & GST annually. STT was introduced in 2004 when long term capital gains tax (LTCG) was abolished by the then finance minister P Chidambaram. STT is collected upfront by the exchanges making it easier for the government. In the 2018 budget, LTCG of 10 per cent for gains over Rs 1 lakh was introduced, but STT wasn’t reduced. 12. Homegrown Crypto and blockchain startups want clarity from Sitharaman over issues like taxation, legislation,
LTCG of 10 per cent for gains over Rs 1 lakh was introduced, but STT wasn’t reduced. 12. Homegrown Crypto and blockchain startups want clarity from Sitharaman over issues like taxation, legislation, exemptions and regulations. They are keen for Sitharaman to acknowledge the potential of the industry and frame some clarity of operations to aid their operations and growth in the future. With more than 15 million crypto investors, India has emerged as the second largest global player in terms of crypto adoption, followed by a massive rise in NFT space and other startups. 13. Industry body Indian Private Equity and Venture Capital Association has proposed a new definition for startups and also reiterated some older demands like allowing local firms to directly list overseas. The startup body has proposed that a company should be considered a startup as long as it is under 10 years old and not a subsidiary or outcome of a merger or spin-off, irrespective of its revenue. 14. India's renewables sector is looking for investment-based tax incentives for companies in EV manufacturing/charging business. They expect the FM to incentivise R&D, technology adoption and investments in the storage segment and also help identify alternate sources for growth capital along with a tax consolidation plan. Also Read:
Hero Electric Partners with Alt Mobility to deploy 10,000 Hero Nyx e-2W New Delhi: Electric two-wheeler company has partnered with for leasing electric vehicles to the logistics market. Under the collaboration, both the companies will work with logistic aggregators and fleet operators to deploy 10,000 by 2023. With the Government’s push to convert delivery segment vehicles to EV, Hero Electric has been fronting the switch through multiple B2B partnerships. Expanding the EV ecosystem, the electric two-wheeler manufacturer will continue such collaborations to attain mission ‘Zero Emission’, the company said in a release. Sohinder Gill, CEO, Hero Electric, said, “At Hero, we strive to provide 360 degree solutions to our B2B customers through our strong network presence across India. This association will aid us in enabling carbon-free mobility in the logistics market and cater to consumer needs of last-mile delivery offered by ALT Mobility.” ALT Mobility, which offers two and three-wheeler electric vehicles for affordable monthly subscription to fleet operators, provides a full turnkey service for reducing the high costs and complexities of fleet electrification. It also takes care of financing, road tax, auto insurance, and service and spare costs of the EVs, the release said. Dev Arora, CEO of ALT Mobility, said, “We have conducted extensive tests on the ground and spent several months with the Hero Electric team before building our conviction that the Hero Nyx EV is a bankable vehicle for intensive logistic operations. To further boost the bankability of electric vehicles, we connect our fleets with intelligent sensors and technology platforms to map vehicles to our partners, manage trips, conduct health and diagnostics, provide service alerts, and improve rider behaviour to get the maximum performance and life from the vehicle.” ALT’s technology-enabled platform allows for paperless onboarding of partners, vehicle management, and access to ALT’s network of charging and parking networks, providing complete ecosystem EV services for faster EV adoption. Aiming to convert 35% of sales from the B2B segment in the next four years, Hero Electric steers forward its endeavour to provide seamless delivery experiences for its consumers and maximize traction towards EV transition in India, the company said. Also Read:
Toyota Kirloskar enters used car biz, opens first outlet in Bengaluru New Delhi: ( ) recently said it has inaugurated a (TUCO) in Bengaluru to offer fully OEM (Original Equipment Manufacturer) refurbished used cars to the customer. According to the Japanese carmaker, this facility will Buy & Sell only Toyota pre-owned cars. “The company has started its pilot operations in Bengaluru and plans to expand in future. “Every Toyota used car will undergo a detailed inspection at the TKM workshop, prior to Toyota’s superior refurbishment, to determine the current quality standard of the car thereby ensuring highest levels of Quality & Reliability for the end users of the product,” it said. All cars at TUCO will go through a comprehensive 203-point inspection based on the global Toyota standards. It will include services like finance, insurance and accessories as well. The showroom will be digitally integrated and customers can evaluate their vehicles online by browsing the U Trust website and clicking on ‘Valuate your car’ option. , Vice Chairman, TKM, said, “India's used car market continues to grow rapidly every year and TUCO represents our commitment to developing a fair and transparent used car market with increased reliability for our customers and to the Indian society as a whole.” “Our focus will be to offer our customers with the best quality refurbished cars with convenience, transparency, and value for money. We are committed towards creating a reliable and transparent used car market which will enable faster disposal of cars at right prices and right quality to the buyers,” he said. TKM is also offering customers tailor-made financing from TFSIN along with personalized RTO assistance for a smooth and quick documentation process, the company said. Also Read:
EVs can revolutionize commercial fleets and boost efficiency, says ALT Mobility CEO New Delhi: With the government efforts to incentivize the adoption of cleaner transportation options, many established companies are now taking to electric vehicles (EVs) for a sustainable and environment-friendly future. And there has been a positive switch towards EVs in recent years, , the co-founder and CEO of , told ETAuto. Arora emphasized ALT Mobility's unique role as an EV leasing and lifecycle management platform, enabling mobility as a service (MaaS). "It not only provides lease but also ensures timely servicing and proper upkeep of the vehicle,” he said. This integrated approach makes ALT Mobility a comprehensive solution provider for its clients. About the origins of ALT Mobility, Arora explained that the company's primary focus was on supporting the transition of commercial fleets to electric vehicles to increase efficiency, sustainability, access to finance to scale up the transition. ALT Mobility started its journey by targeting the EV 2-3 wheeler segment in India. According to Arora, "That is why they wanted to start with this. EV is more connected, increases operational efficiency and reduces operating costs. That's how ALT Mobility started." Detailing the early stages of ALT Mobility's EV operations, Arora shared that the company commenced operations from March 2021. He revealed, "One year was spent on conducting pilots with Amazon, Flipkart, Big Basket, and other big logistics and e-commerce companies. The objective of these pilots was to validate the feasibility of EVs as a replacement for traditional commercial engine vehicles. "During this one year, these elements were proven that EVs can now be a part of the market as a replacement of CVs." This successful testing allowed ALT Mobility to transition into a business-to-business (B2B) company, offering assistance to e-commerce firms in making the switch to EVs. Addressing the charging infrastructure for ALT Mobility's EVs, Arora highlighted that the company relies on AC charging stations, stating, "These vehicles are typically plugged into a 15 amp socket, which is your power plug." He also mentioned that their fleets are maintained by OEM partners, and ALT Mobility manages all insurance claims and servicing, providing a one-stop platform for their clients. Talking about the strategic partnership with banks, Arora explained, "EV resale market is not properly available thus people have no resale value for their vehicles." To address this challenge, ALT Mobility partnered with around nine banks and NBFCs, offering easy leasing operations. Arora stated, "For the buyers, we offered them a CAPX solution and the monthly E-Rental would be 20% lower than on any CV EMI would be." This financial solution, along with a flexible ownership model, provides buyers with the option to purchase or return the vehicle at the end of the contract. Regarding the comprehensive vehicle management approach, Arora
along with a flexible ownership model, provides buyers with the option to purchase or return the vehicle at the end of the contract. Regarding the comprehensive vehicle management approach, Arora highlighted that ALT Mobility ensures timely servicing and proper upkeep of the vehicles. He said, "If a customer defaults, we're also doing collections, revenue management." The company also handles repossession and redeployment of the vehicles, utilizing both in-house capabilities and partnerships with third-party companies for certain tasks. About partnerships with OEMs, Arora revealed that ALT Mobility collaborates with about nine partners in the two-wheeler and three-wheeler space. He mentioned, "We're essentially working with partners like Hero Electric, , and Okaya." The company plans to enter the four-wheeler market in the current financial year.
Senior US treasury officials to urge India to maintain implementation of Russian oil price cap Two senior US treasury officials are in India to urge New Delhi to maintain the implementation of the oil price cap aimed at limiting profits to Russia, while also promoting stable global energy markets. Acting Assistant Secretary for Terrorist Financing and PDO Assistant Secretary for Economic Policy are travelling to New Delhi and Mumbai from April 2-5 to meet with government and private sector counterparts, the US Department of the Treasury said in a statement on Wednesday. "They will discuss key bilateral issues, including cooperation on anti-money laundering and countering the financing of terrorism, other illicit finance issues, and continued implementation of the price cap, which seeks to further limit the profits Russia receives to fund its illegal invasion while promoting stable global energy markets," it said. Following Russia's February 2022 invasion of Ukraine, the G7 nations, the European Union, and Australia jointly implemented a price cap. This cap prohibits the utilisation of Western maritime services, including insurance, flagging, and transportation, for tankers transporting priced at or above USD 60 per barrel. In 2023, Russia had emerged as India's top oil supplier. India has strong economic and defence ties with Russia and has refrained from criticising Moscow over its war with Ukraine. Morris and Nostrand will deliver remarks on the price cap and participate in a Q&A hosted by the Ananta Aspen Centre in New Delhi on Thursday, the statement said. As Morris and Nostrand noted in a blog post last month, the second phase of the price cap continues to achieve its twin goals: restricting Russia's oil profits, while supporting energy market stability, it said. "The price at which Russia sells its oil has declined markedly since the second phase began; the shift reflects the effects of reduced oil prices globally over this period, but also a significant widening in the discount Russia earns relative to other global oil suppliers," it said. Energy market participants, analysts, and even Russian President 's own oil czar have linked the rising discount on Russian oil to the Coalition's increased enforcement activities reflected in the second phase of the price cap - clear evidence that this second phase is working, the statement said. "The price cap is helping maintain a steady supply of energy to global consumers and businesses, and providing key importers like India with more leverage to drive steeper bargains. At the same time, the price cap, along with key sanctions enforcement measures, is reducing Putin's profits from selling that oil," it said.
U.S. states urge Hyundai, Kia to do more to tackle theft risk A group of 22 U.S. state attorneys general on Monday blasted Motor and Corp and said they need do more to address problems with millions of U.S. that are prone to theft. Last month, the Korean said they would offer software upgrades to 8.3 million U.S. vehicles to help curb increasing car thefts using a method popularized on TikTok and other social media channels. "The surge in thefts of these vulnerable vehicles has been truly shocking," said the letter from 22 states and the District of Columbia led by Wisconsin Attorney General Joshua Kaul. "More needs to be done so that every current owner can obtain one of these devices at no cost as soon as possible - especially those owners whose cars are not compatible with the software upgrade you recently announced." The attorneys general letter said the automakers had failed to take adequate steps to address the alarming rate of theft and urged them to accelerate the implementation of the software upgrade and provide free alternative protective measures for owners whose cars cannot support the software upgrade. Kia and Hyundai said Monday they have contacted over 2.1 million customers to advise them of software upgrades. Kia said it is actively working with major insurance carriers "to ensure our customers have access to quality and comprehensive coverage." Hyundai said all of its vehicles meet U.S. requirements and has begun reimbursing eligible customers for steering wheel lock purchases. In Chicago there were over 7,000 thefts of Hyundai and Kia vehicles in 2022 accounting for 10% of Kia and 7% of Hyundai vehicles registered in the city, the letter said. Earlier this month, Minnesota Attorney General Keith Ellison said he had launched a civil investigation into Kia and Hyundai's sale of vehicles to Minnesota consumers that lacked industry-standard, anti-theft technology and sought documents and answer questions under oath. Ellison said in Minneapolis in 2022 Kia and Hyundai vehicle thefts were tied to five homicides and 265 motor vehicle accidents. TikTok videos showing how to steal cars without push-button ignitions and immobilizing anti-theft devices has spread nationwide. This had led to at least 14 reported crashes and eight fatalities, the National Highway Traffic Safety Administration (NHTSA) said in February. The free upgrade will be offered for 3.8 million Hyundai and 4.5 million Kia vehicles, the automakers and NHTSA said. Hyundai said the upgrade applies to various U.S. 2011 through 2022 model year vehicles. Many Hyundai and Kia vehicles have no electronic immobilizers, which prevent break-ins and bypassing the ignition. An insurance research group said immobilizers were standard on 62% of models from other manufacturers in 2000, rising to 96% by 2015. But they were standard on only 26% of 2015 Hyundai and Kia vehicles. Hyundai will also provide customers with a window sticker alerting would-be thieves that the vehicle is
rising to 96% by 2015. But they were standard on only 26% of 2015 Hyundai and Kia vehicles. Hyundai will also provide customers with a window sticker alerting would-be thieves that the vehicle is equipped with anti-theft protection. All Hyundai vehicles produced since November 2021 are equipped with an engine immobilizer as standard equipment.
U.S. theft claims soar for Hyundai, Kia vehicles, says non-profit group WASHINGTON: U.S. theft claims were nearly twice as common for and compared with all other manufacturers among 2015 through 2019 model-year vehicles, a non-profit group said Thursday. The (IIHS) said many 2015-19 model year Hyundai and Kia vehicles do not have , which prevent people from breaking in and bypassing the ignition. The feature is standard equipment on nearly all vehicles made by other manufacturers during that time-frame, IIHS said. Hyundai and Kia both said their vehicles meet U.S. standards but said their vehicles were being targeted in a "coordinated effort" by social media users. Hyundai said engine immobilizers became standard on all vehicles produced after November 1, 2021 while Kia said it added immobilizers in all vehicles during the 2022 model year. Read More:
Drivers more likely to be distracted while using partial automation tech, study shows Drivers are more likely to engage in , such as checking their phones or eating a sandwich, when using systems, with some easily skirting rules set to limit distractions, new research showed on Tuesday. Insurance Institute for Highway Safety (IIHS) conducted month-long studies with two such systems - Tesla's Autopilot and Volvo's Pilot Assist - to examine when the was in use and how it evolved over time. WHY IT'S IMPORTANT While launching and commercializing driverless taxis have been tougher than expected, major automakers are in a race to deploy technology that partially automates routine driving tasks to make it easier and safer for drivers, and generate revenue for the companies. The rush has sparked concerns and litigation around the dangers of and crashes involving such technology. The studies show better safeguards are needed to ensure attentive driving, IIHS said in the report. CONTEXT Partial automation - a level of " " - uses cameras, sensors and software to regulate the speed of the car based on other vehicles on the road and keep it in the center of the lane. Some enable lane changing automatically or when prompted. Drivers, however, are required to continuously monitor the road and be ready to take over at any time, with most systems needing them to keep their hands on the wheel. KEY QUOTES "These results are a good reminder of the way people learn," said IIHS President David Harkey. "If you train them to think that paying attention means nudging the steering wheel every few seconds, then that's exactly what they'll do." "In both these studies, drivers adapted their behavior to engage in distracting activities," Harkey said. "This demonstrates why partial automation systems need more robust safeguards to prevent misuse." BY THE NUMBERS The study with Tesla's Autopilot used 14 people who drove over 12,000 miles (19,300 km) with the system, triggering 3,858 attention-related warnings. On average, drivers responded in about three seconds, usually by nudging the steering wheel, mostly preventing an escalation. The study with Volvo's Pilot Assist had 29 volunteers who were found to be distracted for 30% of the time while using the system - "exceedingly high" according to the authors.
China Nov passenger vehicle sales drop 9.5%, first fall in six months China's fell for the first time in six months in November and are expected to stay flat next year, an said on Thursday, as demand weakens faster than expected, even as stringent COVID rules are eased. Vehicle sales last month fell 9.5% from a year earlier to 1.67 million units, the first decline since May, according to the (CPCA). Many large cities imposed some form of lockdowns last month as COVID-19 cases rose. "The November sales were far worse than previous expectations," Cui Dongshu, the CPCA's secretary general, told an online briefing. "The current trend is unprecedented since the financial crisis in 2008," he said, while adding that the significant change in China's COVID policies in recent days means that the three-year pandemic is almost over, which should restore consumer confidence. China has started easing anti-virus measures after public frustration boiled over late last month, sparking protests against COVID controls that were the biggest demonstration of public discontent since President Xi Jinping came to power in 2012. But analysts say economic activity will take some time to recover. The association said it expects passenger vehicle sales to reach 20.6 million units next year, flat from 2022, a forecast more optimistic than some street views. Analysts at China expect in China, the world's biggest car market, to drop 6% next year due to the expiry of a purchase-tax cut. Even with easing COVID restrictions, the sales outlook remains subdued as car makers grapple with rising inventories of unsold vehicles. After two more years of struggling under COVID, China's working class people have seen their wealth and consumption power shrink, Cui said, adding that no sudden jump was expected in December car sales despite the relaxation of virus measures. One suggestion made by the association was to extend a purchase tax cut for small engine , due to expire at the end of this month, to at least June to help buffer the demand slump, he said. U.S. electric vehicle maker planned to cut December output of its Model Y at its Shanghai plant by more than 20% from the previous month, two people with knowledge of electric vehicle maker's production plan said on Monday. A Tesla representative called it "false news" without elaborating. The company, whose Shanghai plant is grappling with elevated inventory levels, is offering a limited-time discount of 6,000 yuan ($859) to buyers in China on some models from Wednesday through to the end of 2022, in addition to a previously announced 4,000 yuan insurance subsidy and an up to 9% price cut in October. Tesla sold 100,291 China-made cars in November, including 37,798 for export, the CPCA said. Auto industry officials had expected consumers to rush to buy at the end of the year, before government subsidies and the purchase tax cut expire. But the incentives did little to boost vehicle sales in recent months, as many COVID restrictions
to rush to buy at the end of the year, before government subsidies and the purchase tax cut expire. But the incentives did little to boost vehicle sales in recent months, as many COVID restrictions remained in place. Foreign brands saw even sharper sale slumps in November, with Japanese brands the weakest among them, said Cui. November sales of in China fell 18.4% from a year ago, while saw a 52.5% drop in its sales. Also Read:
Kia India launches EV 6 lease program exclusively for professionals has introduced a new lease program for its flagship , the EV6, following the success of its initial leasing initiative launched two months ago. The EV6 lease program, targeting professionals such as doctors, chartered accountants, and select corporates, comes with a monthly rental of INR 1.29 lakh that includes insurance, maintenance, pick-up and drop services, scheduled and unscheduled services, and 24x7 roadside assistance. The program is exclusively available to registered doctors, members of the Institute of Chartered Accountants of India (ICAI), other self-employed professionals, and select corporate clients. The EV6 is notable for its sleek and modern design, along with a range of up to 708 km. It supports fast charging, going from 0 to 80% in just 18 minutes using a 350kW charger. The EV6 also offers sporty performance, achieving 0 to 100 km/h acceleration in 5.2 seconds, and comes equipped with eight airbags, ADAS level 2 suite, and other safety features such as ESC, blind spot monitoring, rear cross-traffic alert, and a 360-degree camera system. , Chief Sales Officer, Kia India, said, "Within 2 months of its launch, Kia Lease program has gained significant traction in Metro and Tier I cities, and the addition of the EV6 underscores our commitment to meeting customer demands and provide them the best of technology along with sustainable mobility solutions. The positive response reaffirms our confidence in the future of the Kia Lease program as we strive to make our vehicles more accessible to a wider range of customers." Kia India’s partnership with ORIX Auto Infrastructure Services Limited in launching the Kia Lease program aims to offer customers a new ownership experience tailored to extended mobility needs. Lease terms range from 24 to 60 months with varying mileage options. In addition to the EV6, the lease program offers minimum monthly rentals for other Kia models such as Sonet, Seltos, and Carens at INR 17,999, 23,999, and 24,999 respectively. The move to include the EV6 in the lease lineup comes after seeing significant traction in major cities, affirming Kia's commitment to providing modern technology and sustainable mobility solutions for a broader customer base, the company said.
Oil PSUs buy more Russian crude despite G7 price cap New Delhi: State-run refiners increased their imports of by a quarter in September over the previous month, helping boost India’s imports from Russia by nearly a tenth and providing further evidence that the wasn’t proving much of a hindrance in oil imports. Russia supplied 1.57 million barrels per day (mbd) in September, up from 1.44 mbd in August, and increased its share in Indian crude imports to 38% from 33% a month earlier, according to energy cargo tracker Vortexa. This is, however, lower than the 1.9 mbd that Russia supplied in July, which gave it a 42% share in Indian imports. Imports in September increased as lower intake by China made more Russian supplies available to India, said Serena Huang, an analyst at Vortexa, adding that the reduction in exports by also boosted Indian demand for Russian barrels. China is the biggest buyer of Russian crude. The volume of oil it receives by ship from Russia fell 13% to 1.2 mbd in September over the previous month. Europe imported 40% more at 0.4 mbd. All key Russian crude grades, including the flagship Urals, are trading above USD 80 per barrel these days, higher than the G7 cap of USD 60 per barrel. The G7 sanctions bar the use of western shipping, finance, and insurance for Russian oil sold above the cap. “The has not impacted India's imports of Russian crude much potentially because vessel owners carrying Russian crude sold above the price cap may have alternative insurance,” said Huang. Private sector refiners’ imports of Russian oil dropped 13% sequentially in September to 0.5 mbd. However, their import of refined products from Russia rose 23% to 172,000 barrels per day. State refiners’ imports of refined products remained little changed at 33,000 barrels per day.
FTC sues Asbury Automotive for charging Black, Latino customers more The U.S. Federal Trade Commission sued on Friday, alleging that three of its dealerships in Texas charged higher prices than others, and routinely added services to customers' contracts without their consent. Up to 75% of customers of in Fort Worth, and Honda dealerships in Irving and Frisco, Texas, reported being charged without their permission for services such as protective coatings, service contracts and insurance, according to the agency. In some cases, customers had declined the services or been falsely told they were mandatory, while in others their permission was never sought, the FTC said. The dealerships on average also charged Black customers $298 more, and Latino customers $214 more for the same add-ons than they did white consumers who were not Latino, the FTC said. Asbury operates more than 155 dealerships in more than a dozen states. A spokesperson for the company did not immediately respond to a request for comment. The company intends to fight the allegations, according to a statement by Andrew Ferguson, one of two Republican FTC commissioners. Ferguson said the case was similar to one the FTC settled on Thursday against an Arizona dealership, and complained that the agency had used the settled case to classify discrimination as an unfair business practice. FTC Chair Lina Khan and the Democratic commissioners said on Thursday that exempting discriminatory conduct from unfair practices would give companies that discriminate a pass. All five commissioners voted to authorize both cases.
Formal job creation remains uneven for second month in a row continued to be uneven for a second month in a row with the registering a marginal increase in net new in February while the net addition of subscribers under the Employees State Insurance Corporation and the fell month-on-month. The provisional payroll data by the ministry of statistics and programme implementation, released on Monday, shows net new subscriber addition under the grew 2.9% month-on-month to 1.41 million in February compared to 1.37 million added in January 2022. Net new subscribers under Employees State Insurance Corporation, however, fell by 3.3% in February at 1.25 million as against 1.59 million added in the preceding month. Subscription under the National Pension Scheme stood at 64,611, a marginal dip of 0.59% compared to 64,998 new subscribers added in January 2022. As per the report, 1.01 million male subscribers were added to ESIC while 0.24 female subscribers were added to ESIC. Of the total 1.41 million net subscribers added to EPFO during the month, around 0.84 million new members have been registered under the social security ambit of EPF & MP Act, 1952 for the first time and approximately 0.93 million net subscribers exited but re-joined EPFO by continuing their membership with EPFO instead of opting for final withdrawal. Under , highest subscriber addition in February was from the corporate sector at 64,611 followed by addition under the state government at 40,644 followed by central government employees at 13,112. The NSO report is based on the payroll data of new subscribers of various social security schemes run by ESIC, the Employees' Provident Fund Organisation (EPFO) and (PFRDA). It has been releasing such data of these bodies since April 2018, covering the period starting from September 2017. The report said since the number of subscribers is from various sources, there are elements of overlap and the estimates are not additive. NSO also said the report gives different perspectives on the levels of employment in the and does not measure employment at a holistic level. Also Read:
Insurance firm lodges FIR for fraud, 4-wheelers insured as bikes Lucknow: Insurance firm Bajaj Allianz has lodged an FIR with the Hazratganj police in Lucknow, alleging that owners of 21 commercial four and three-wheelers in the state have got their vehicles insured as two-wheelers in the last one month and paid less premiums. The company claimed it suffered huge loss amounting to lakhs due to the fraud, which was found during an audit. The firm suspects it to be handiwork of an all-India level gang that uses an online portal for getting vehicles insured. The complaint has been filed on behalf of the company branch manager Ravi Shanker Tiwari in Hazratganj. In his complaint, Tiwari said one Abhishek Pandey was appointed as an agent for Point of Sale at the company's satellite office in Gonda. "In September 2021, the company came to know that Pandey had issued a two-wheeler liability policy to a commercial four-wheeler owner. This caused a loss to the company of premium meant for a four-wheeler, GST loss to state and Central governments and also to the customer as well," Tiwari said. The fraudulent practice by Pandey surfaced following an internal inquiry. "We were shocked to know that Pandey sold 21 such policies to four-wheeler vehicles of different customers during his nearly one-year stint in the company," Tiwari alleged. Hazratganj SHO Abhishek Mishra said based on a complaint, police registered a case of criminal breach of trust and forgery against Pandey and an investigation was underway. Bajaj Allianz Head Vikas Dave said that the fraud is pan-India, in which 1.36 lakh four/three wheelers have been registered as two wheelers causing a loss of around Rs 110 crore to the company and Rs 20 crore to the government as GST. Dave further said as per records, 26,000 commercial four wheelers have been registered as two wheelers in Uttar Pradesh within a year (October 2021-October 2022), causing loss of around Rs 20 crore.
TotalEnergies in India partners with Mahindra Insurance Broker Limited New Delhi: Marketing Private Limited (TEMIPL) has entered into an agreement with Limited (MIBL) to provide one-stop insurance services for car owners at TotalEnergies Quartz Auto Services ( ) workshops. Across 235 TEQAS centers in India, TotalEnergies offers high-performance lubricants that have fuel economy properties, as well as a range of car care products and best-in-class car servicing for vehicle owners. With this new collaboration, these centers emerge as multifaceted service hubs that will give car owners easy access to not only repair and maintenance services but also insurance services. Through Mahindra’s digital platforms at TEQAS, customers can buy or renew their vehicle insurance policies and have access to cashless claims across a multitude of insurance companies, the company said. é, Chairman and Managing Director, TotalEnergies Marketing India Private Limited,said, “This strategic partnership between TEMIPL and MIBL will allow our TEQAS workshops to deliver a more convenient, comprehensive and seamless experience to our automotive customers across the country. The inclusion of insurance products in our digital offerings aligns with customer expectations of today, and we are happy to meet this need.” , Managing Director and Principal Officer - Mahindra Insurance Brokers Ltd, said, “The partnership between MIBL and TotalEnergies aims towards expanding the distribution network for insurance services through MIBL’s platforms. This alliance will further increase accessibility for retail customers, facilitating a one-stop solution to meet their service and customized requirements. This collaboration will help to deepen the insurance market penetration and enhance our ability to cater to the evolving needs of the customers.” Through this agreement, the TEQAS workshops will be empaneled as POSP (Point of Sale Persons) for MIBL, the company said in a media release.
GM set to launch behavior-based U.S. driver insurance in Q1: Executive Co aims to launch an by the end of the first quarter in some U.S. states that charges policyholders based on their driving performance, a company executive said in an interview. The automaker's OnStar subsidiary has asked for regulatory approval of the new data-based insurance plan in Arizona, Illinois and Michigan together with its insurance partner . It hopes to receive the go-ahead by the end of March, Andrew Rose, president of OnStar Insurance and GM's vice president of Global Innovation, said during an interview Friday. "We hope to follow that with a dozen, two dozen and hopefully more states," Rose said. GM's policy currently does not factor in the use of driver-assistance systems, which can automate some driving tasks, and control braking and acceleration. Sensor data from GM's "Super Cruise" system, including an in-cabin camera that monitors drivers' eye and head movements, could factor into rate setting in later versions of the insurance plan, Rose said, but declined to provide a timeline. "I'm very excited about what we have in market and its ability for us to show benefit to the insurance equation," he said. To use such granular data, GM and other automakers would have to overcome the scrutiny of state insurance commissions, which have yet to approve the use of data from automated systems for rate setting. The leading U.S. auto insurance research group, IIHS, on Thursday said there was no evidence that partial automation systems make driving safer. GM, which launched its regular OnStar insurance offer a year ago, has said it targets $6 billion in insurance revenue by 2030, with the average annual U.S. auto premium costing around $1,000. Behavior-based auto insurance, often referred to as telematics, has been available for several years, but largely requires consumers to download a mobile app or plug a data recorder into the car. GM instead collects braking, acceleration and general usage data, such as seatbelt use, directly from the car, providing more reliable and consistent data, Rose said. Customers who opt into data collection for the new plan receive an upfront discount on their policy if GM considers them safe drivers, Rose said. Drivers would not face surcharges for bad driving, he said, but those conditions might change in the future. Also Read:
Small cars likely to stage a comeback by 2026 amid rising entry-level incomes, says Maruti Suzuki chairman RC Bhargava may stage a comeback by 2026 as the income of customers at the entry level rises and scooter and motorcycle owners start upgrading, chairman told ET in an interview. He dismissed the argument that two-wheeler and first-time car buyers have become aspirational and are leapfrogging to mid-sized cars and . India’s record car sales in FY24 saw SUVs surging and small cars struggling. maintained its No. 1 position in the passenger vehicle market by shifting focus to SUVs from the entry level. Bhargava also said that a focus on just electric vehicles will not help reduce carbon emissions if a car is being charged using power generated from coal. In a country as large as India, multiple technologies such as biofuel, ethanol and CNG are required to lower emissions, he said. Maruti Suzuki doesn’t make EVs; it sells hybrids and CNG-fuelled vehicles. Small-car sales fell 12% in FY24 when the passenger vehicle industry grew 8.7%, led by robust demand for SUVs. The share of small cars in overall vehicle sales stood at 27.7%, down from 34.4% in FY23 and 47.4% in FY18. Maruti Suzuki leads in small cars. “Vehicle prices at the entry level went up much faster than of buyers the last few years, which impacted demand,” Bhargava said. “Maybe by 2026, the impact of these high prices will be absorbed by the increase in the purchasing power of people in that category. The slide will get arrested.” Bhargava said have now started coming back into the market and they will graduate to small cars eventually. “What is the aspiration of the two-wheeler buyer? He wants to buy a car. He's not delaying buying a small car because he wants to buy an SUV straightaway. He does not have the money (to buy a car),” Bhargava said. Increases in input costs, insurance charges, road taxes, and the transition to higher emission and safety norms, among others, led to a spike in prices in the price-sensitive, small-car and two-wheeler segments, hitting demand. While small-car sales declined 27% to 1.15 million units in FY22 from a peak of 1.58 million in FY18, two-wheeler sales crashed 36% to 13.57 million units in FY22 from a record 21.18 million in FY19. “If you study these trends in the two-wheeler market, you will see (the correlation between) price and the affordability factor,” Bhargava said. While official numbers are yet to be released by the Society of Indian Automobile Manufacturers (SIAM), industry estimates show two-wheeler sales grew in double digits in FY24, finally crossing pre-Covid levels, buoyed by sustained revival in demand in both urban and rural markets. The recovery in consumer demand at the entry level is expected to support sustained . “The last two years have been very good in comparison to the previous years, which were very bad years,” Bhargava said. “When you suddenly drop to a low base, then you have nowhere else to go but to go up. And that's
have been very good in comparison to the previous years, which were very bad years,” Bhargava said. “When you suddenly drop to a low base, then you have nowhere else to go but to go up. And that's what's happened in the last few years. If you consider the sales we would have had if we had steady growth since FY19, we are well short of that.” The industry finally managed to cross the 4 million mark in FY24, he added. With India’s economy booming, the industry should perform better. “Last fiscal, GDP would have gone up by well over 7%. This year also should be not less than 7%. So, if you have two years of 7-7.5% growth, why would the industry not grow?” he said. Latent demand remains massive in a country where more than 65% of consumers are aged less than 35 years, if affordability constraints are addressed, Bhargava said. First-time buyers account for 45-46% of vehicle sales in India. Given low vehicle penetration, demand for cars is present at the entry level, he said. To be sure, sluggish sales have prompted several automakers including Nissan, Honda and Volkswagen, to exit the small-car market in the country over the last few years. The total number of models on offer in the segment now stands at 14, compared with a record 31 in FY16.
Oil falls below USD 100, eases pressure on oil cos After staying above USD 100 per barrel for two weeks, international oil prices fell to USD 99.84 on Tuesday, easing margin pressure on fuel retailers who have been holding petrol and diesel prices despite a spike in the cost of raw material. oil prices, which soared past USD 100 per barrel on February 28 and touched a 14-year high of USD 139 per barrel on March 7, fell over 7 per cent on Tuesday. The market was rattled by a resurgence of virus cases in China, which may impact demand in the world's biggest crude importer, and signs of progress in cease-fire talks between Ukraine and Russia. International oil prices, which shoot up since Russia invaded Ukraine, have swung about USD 40 per barrel in little more than a week. For India, the fall in oil prices is good news as it will lower the import bill of the world's third-biggest oil importer. It will also ease margin pressure on state-owned fuel retailers, industry sources said. Indian Oil Corporation (IOC), Bharat Petroleum Corporation Ltd (BPCL) and Hindustan Petroleum Corporation Ltd (HPCL) haven't changed petrol and diesel prices for a record 131 days. This despite the cost of raw material jumping over 60 per cent. The companies were expected to end the election-related freeze on fuel prices once polling in five states including Uttar Pradesh ended last week but they continued to keep rates on hold to not give the opposition any issue to corner the government in the second half of the budget session of Parliament that started on Monday. "The fall in prices is certainly a welcome sign for oil companies," a senior official said. "They were losing INR 12-13 a litre, without considering marketing margin, on sale of petrol and diesel. This will now come down." International oil prices were around USD 81 when the companies hit the freeze button on November 4. Oil Minister on Monday told the Rajya Sabha that the price of petrol and diesel at the retail point or at the bunk is determined by international price, cost of insurance, freight, exchange rate, refining margins and a number of other factors. "Oil marketing companies will take their decisions (on fuel prices). They will proceed once they can no longer bear it. If they don't have the margin or cushion, they will take the appropriate step," he had said as he denied suggestions that the firms were holding the prices on government instructions so as not to spoil the ruling BJP's electoral prospects in five states that went to polls. On November 4, 2021, excise duty on petrol was cut by INR 5 per litre and that on diesel by INR 10 to provide relief to consumers reeling under record-high prices. All but nine states had also cut local sales tax or VAT. "We are willing to take such steps as are necessary to control the price," he had said. Also Read:
Hero Motocorp skids 4% as supply roadblocks compel delay of first EV 2-wheeler launch Shares of slid 4.3 per cent in early trade on Thursday after the two-wheeler giant deferred the launch of its first electric two-wheeler on account of supply constraints amid geopolitical tensions. The automobile major had earlier announced that its , under the 'Vida' brand, would be launched in July. Hero Motocorp’s scrip fell to a low of INR 2,640 as against INR 2,758.55 at the previous close on the BSE. The stock was last trading 2.4 per cent lower. The company said its customer-centric approach, combined with the shortage in availability of key manufacturing components, has forced it to postpone the till the "festive season" later this year, reports said. "The ongoing geopolitical situation has resulted in enormous supply chain issues and shortage of various components, including semiconductors. Keeping customers as the top-most priority, we, therefore, feel it would be prudent to unveil the first EV product around the upcoming festive period instead of July as earlier announced," Swadesh Srivastava, head of Hero Motocorp's emerging mobility business unit, was quoted as saying in reports. The country's largest two-wheeler maker on Wednesday said its total sales stood at 4,86,704 units in May. The company had sold 4,18,622 units in April this year and 1,83,044 units in May 2021 when the sales were impacted due to the second wave of COVID-19. Domestic sales stood at 4,66,466 units last month. The company had dispatched 1,59,561 units in the domestic market in May 2021. While lauding the recent steps taken by the government to reduce the central excise duty on petrol and diesel, the company pointed out that the increase in the third-party insurance rates would, however, adversely impact customer sentiment at a time when the industry has just started to recover, as this will further increase the upfront costs of two-wheelers in India. "It is not usual to have insurance paid for 3-5 years instead of annual renewals, as is generally the case in many countries. The industry seeks government intervention and support in this regard," Hero MotoCorp Executive Director Vikram Kasbekar was quoted as saying. Also Read:
US auto sales set to fall in September on fewer selling days, shows report in September in the United States are projected to fall 1.8% from a year ago, partly hurt by three fewer selling days, a report by industry consultants and GlobalData showed on Thursday. Seasonally adjusted annualized rate ( ) sales of new vehicles are expected to stay flat at 15.8 million units, according to the report. WHY IT IS IMPORTANT Rising inventories are leading to larger discounts from both manufacturers and retailers, resulting in falling . The industry continues to be impacted by reduced leasing activity from three years ago. Fewer leases signed back then mean fewer lessees are returning to dealers to purchase or lease a new vehicle. BY THE NUMBERS Total new-vehicle sales for September, including retail and non-retail transactions, are expected to be down 1.8% at 1,164,900 units from a year ago. The same sales volume without adjusting for the number of selling days translates to a decrease of 13.2% from 2023. Transaction prices are trending towards USD 44,467, down USD 1,296 or 2.8% from a year earlier while the average incentive spend per vehicle has grown 63.2%. Total retailer profit per unit - which includes vehicles' gross plus finance and insurance income - is expected to be USD 2,249, down 29% from September 2023. KEY QUOTES "In September, the interest in EVs by new-vehicle shoppers reached a low point for the year. Just 21.7% of new-vehicle shoppers said they were 'very likely' to consider an EV for their next new-vehicle purchase, a 4.2-percentage-point drop from a year ago," said Elizabeth Krear, vice president, electric vehicle practice at J.D. Power. "While the rate adjustment is a positive for the industry, the effect will be neither immediate nor linear whether it's improving vehicle affordability for consumers, reducing the cost of low APR (annual percentage rate) deals for manufacturers or helping retailers with floorplan expense," said Thomas King, president of the data and analytics division at J.D. Power.
No proposal to provide duty concession on import of EVs: Govt The government on Wednesday said it is not considering any proposal to provide duty concessions and exemption from local value addition for import of electric vehicles into the country. Responding to a question whether there is any proposal to exempt and other multinational car companies from local value addition of cost in heavy batteries, semiconductors and magnetic parts; and subsidy on the import duty on the import of Electric Vehicles (EVs) in India, said a production-linked incentive scheme for automobile and auto component industry with a budgetary outlay of INR 25,938 crore was announced by the government. The move was aimed at providing financial incentives to boost domestic manufacturing of advance automotive technologies products including EVs and their components, he said. "Presently, there is no proposal either to provide exemption from local value addition cost or to provide subsidy on import duty on import of EVs in India," Parkash said. The government has also taken various steps to boost domestic and foreign investments in India to enhance local value addition under Make in India initiative, the minister said in a written reply to the Lok Sabha. The government, he said, has approved PLI scheme for advanced chemistry cells battery storage with a budgetary outlay of INR 18,100 crore. The scheme incentivises the establishment of Giga scale ACC manufacturing facilities in the country for 50 giga watt hour. These remarks assume significance as the US-based electric car maker Tesla has demanded a reduction in import duties on EVs in India. At present, cars imported as Completely Built Units (CBUs) attract customs duty ranging from 60 % to 100 %, depending on engine size and Cost, Insurance and Freight (CIF) value less or above USD 40,000. In November, Commerce and Industry Minister Piyush Goyal visited the manufacturing facility of US-based electric vehicle major Tesla in Fremont, California, and said the company would be doubling its auto components imports from India. The world's largest electric car producer Tesla Inc's chief Elon Musk met Prime Minister Narendra Modi in June in New York and after the meeting Musk had said that he planned to visit India in 2024.
Auto/cab driver unions protest MP Tejasvi Surya's carpooling stand New Delhi: Autorickshaw and taxi drivers held a protest on Friday in front of the office of Bengaluru South for supporting in Bengaluru. The MP wrote to the CM recently, asking the state government to bring changes in rules to facilitate carpooling, thereby helping to decongest traffic. However, Surya's stand didn't go down well with taxi and auto unions. The president of Karnataka State Travel Owners' Association, Radhakrishna Holla, said the MP's stand goes against the conventional taxi operator who gets permits, pays tax, meets insurance and other expenses. "We are following government rules. There are more than 2.5 lakh motor cabs, maxicabs and vehicles ferrying employees of companies on the city roads. If you allow everyone to use their private cars to ferry passengers, how can these drivers run their business? The MP's stand is misleading and goes against the drivers." The protesters waved placards demanding the MP's resignation. Surya was not in his office at the time of the protest.
Ford, Toyota halt some output as U.S., Canada warn on trucker protests Ford and Toyota on Wednesday both said they were halting some production as anti-coronavirus mandate protesters blocked U.S-Canada border crossings that have prompted warnings from Washington and Ottawa of economic damage. Many pandemic-weary Western countries will soon mark two years of restrictions as copycat protests spread to Australia, New Zealand and France now the highly infectious Omicron variant begins to ease in some places. Horn-blaring protests have being causing gridlock in the capital Ottawa since late January and from Monday night, truckers shut inbound Canada traffic at the Ambassador Bridge, a supply route for Detroit's carmakers and agricultural products. A number of carmakers have now been affected by the disruption near Detroit, the historic heart of the U.S. automotive sector, but there were other factors too such as severe weather and a shortage of semi-conductor chips. Toyota, the top U.S. seller, said it is not expected to produce vehicles at its Ontario sites for the rest of the week, output has been halted at a Ford engine plant and Chrysler-maker Stellantis has also been disrupted. Another border crossing, in Alberta province, has been closed in both directions since late on Tuesday. More than two-thirds of the C$650 billion ($511 billion) in goods traded annually between Canada and the United States is transported by road. Starting as a "Freedom Convoy" occupying downtown Ottawa opposing a vaccinate-or-quarantine mandate for cross-border truckers mirrored by the U.S. government, protesters have also aired grievances about a carbon tax and other legislation. "I think it's important for everyone in Canada and the United States to understand what the impact of this blockage is - potential impact - on workers, on the supply chain, and that is where we're most focused," White House spokesperson Jen Psaki said on Wednesday. "We're also looking to track potential disruptions to U.S. agricultural exports from Michigan into Canada." Washington is working with authorities across the border to reroute traffic to the Blue Water Bridge, which links Port Huron in Michigan with Sarnia in Ontario, amid worries protests could turn violent, she told reporters. Bank of Canada Governor Tiff Macklem called for a swift resolution. "If there were to be prolonged blockages at key entry points into Canada that could start to have a measurable impact on economic activity," he said. "We've already got a strained global supply chain. We don't need this." PROTESTS SPREAD The protests were disrupting jobs too and "must end before further damage occurs," Canada's Emergency Preparedness Minister, Bill Blair, told reporters. Ford suspended engine output in Windsor while its Oakville factory near Toronto is operating with a reduced schedule, as it warned the Ambassador Bridge closure "could have widespread impact on all automakers in the U.S. and Canada." Chrysler-maker Stellantis
near Toronto is operating with a reduced schedule, as it warned the Ambassador Bridge closure "could have widespread impact on all automakers in the U.S. and Canada." Chrysler-maker Stellantis has also faced a shortage of parts at its assembly plant in Windsor, Ontario, where it had to end shifts early on Tuesday, but was able to resume production on Wednesday. Protesters say they are peaceful, but some Ottawa residents have said they were attacked and harassed. In Toronto, streets were being blocked. "We continue to know that science and public health rules and guidance is the best way to this pandemic is the way we're going to get to the other side," said Prime Minister Justin Trudeau. The issue has caused a sharp split between the ruling Liberals and the opposition Conservatives, many of whom have expressed open support for the protesters in Ottawa and accuse Trudeau of using the mandates issue for political purposes. In the United States, prosecutors in Missouri and Texas will probe crowd funding service GoFundMe over the decision to take down a page for a campaign in support of the drivers after some Republicans vowed to investigate. Downtown Ottawa residents criticized police for their initially permissive attitude toward the blockade, but authorities began trying to take back control Sunday night with the seizure of thousands of liters of fuel and the removal of an oil tanker truck. Police have asked for reinforcements - both officers and people with legal expertise in insurance and licensing - suggesting intentions to pursue enforcement through commercial vehicle licenses. But as the authorities attempt to quell demonstrations in one area, they pop up elsewhere. "Even as we have made some headway in Ottawa, we've seen an illegal blockade emerge in Windsor," said Public Safety Minister Marco Mendicino. Also Read:
India's HPCL faces challenges paying for Russian oil as banks baulk By Nidhi Verma 's state-run is facing difficulties in paying for following a Dec. 5 price cap imposed by Western nations as banks shy away from processing payments, a company official said on Tuesday. While Western sanctions against Moscow are not recognised by India - and purchases of Russian oil may not violate them - banks and financial institutions are cautious about clearing payments so as not to unwittingly fall foul of the measures. HPCL is looking for after some Indian banks with huge exposure to the United States and the western economies stopped facilitating payments, the source, who did not wish to be identified, told reporters on a press trip with India's energy minister. "Some banks are U.S. affiliated," he said, and foreign banks won't "support" or "entertain" transactions concerning Russian oil. HPCL declined to comment. Refiners in India, which rarely used to buy Russian oil because of costly logistics, have emerged as key oil clients for Russia, snapping up discounted crude shunned by Western nations since the invasion of Ukraine a year ago. Indian refiners are buying Russian oil at below the $60 per barrel price cap imposed by Western economies, which is necessary in order for them to access Western insurance cover and shipping. The source said India is buying Russian oil on a delivered basis, which includes transportation costs, and traders supplying the oil are not willing to declare the free-on-board price for the Russian oil. Despite challenges, HPCL is continuing to buy Russian oil and has imported 40,000 barrels per day in the current financial year to March 31, the source added. Due to the higher availability of Russian oil at discounted rates, HPCL has raised its intake of spot crude to about 30% of its overall imports in this fiscal year from 25% in 2021/22. The source said HPCL's spot purchases in the next fiscal year from April would rise further on better availability of Russian oil. The company is also looking at buying Russian oil under a term deal, although volumes could be "small", he added. India's Russian in January rose to record levels after European nations stopped buying Russian oil from Dec. 5, leading to a higher intake by India. The source said in the past HPCL had used roubles, dirhams and dollars to pay for Russian oil. Reuters reported earlier this month that Indian refiners are paying for Russian oil in dirhams. Also Read:
Uber raises min age for most California drivers to 25, insurance costs are too high raised the minimum age requirement for most of its new drivers in California to 25 on Thursday under rules the company said are necessary because of the rising costs of in the state. The new rule applies only to drivers signing up to with , and not for those delivering food with Uber Eats. Previously, people as young as 21 could sign up to drive customers, and the age limit for deliveries was 19. Those under 25 who activated their accounts prior to Wednesday can continue to drive for Uber, the company said. Insurance rates for Uber's California drivers are significantly higher than for personal vehicles or taxi drivers, according to a company statement announcing the change. "As a result of these lopsided requirements, personal injury attorneys have created a cottage industry specializing in suing rideshare platforms like ours, pushing Uber's California state-mandated commercial insurance costs to rise by more than 65% in just two years," the company said. "By increasing the age requirement for new drivers to 25, we hope to mitigate the growth of those costs." All 50 states require commercial insurance for drivers to earn money with a ride-hailing service. Uber maintains commercial auto insurance for drivers - including at least USD 1 million of liability coverage once a ride is accepted. typically doesn't cover activity on ride-hailing apps. The minimum age is already 25 for those driving for , Uber's main competitor. Starting Thursday, drivers under 25 trying to sign up with Uber will receive an email explaining the new policy and providing a link to more information. The new restriction coincides with a resurgence in passengers following a deep downturn due to the pandemic. Uber is now handling more rides than it did in 2019, raising the company's hopes that it may finally realize its long-term of goal of becoming consistently profitable. Realizing that objective has sharpened management's focus on cost control, a factor that may have contributed to the decision to drop 25-and-under drivers. Uber's food delivery service, which will continue to let that demographic work as drivers, accounts for one-third of the company's revenue. Uber hopes to work with state lawmakers and industry experts "to discuss legislative and regulatory changes that will improve the experience for all California drivers," according to its statement.

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