1. After Ratan Tata, now Anand Mahindra backs Narendra Modi, says PM clearly communicating India’s direction

After Ratan Tata, now Anand Mahindra backs Narendra Modi, says PM clearly communicating India’s direction

The only electric-car maker in India says the business case for the clean technology is starting to make sense -- and it won’t require government subsidies to take off in a big way.

By: | Published: September 21, 2017 12:42 PM
Narendra Modi, PM Narendra Modi, PM Modi, Ratan Tata, Anand Mahindra, technology, electric-car maker, india, Ford Motor, Mahindra & Mahindra, business, industry, car makers, latest news, india news Modi has backed an initiative for most, if not all, vehicles in India to be powered with electricity by 2030. (Reuters)

The only electric-car maker in India says the business case for the clean technology is starting to make sense — and it won’t require government subsidies to take off in a big way. Mahindra & Mahindra Ltd., which announced a partnership this week with Ford Motor Co. to cooperate in areas including electric and driverless autos, says there’s money to be made in a nascent EV sector that some carmakers warn is curbing their margins. “We’ve just been believers for a while, haven’t been making any money, but now the tipping point seems to be reached,” Chairman Anand Mahindra said Wednesday at the Bloomberg Global Business Forum in New York.

Global demand for electric cars has been sluggish to date in part because they remain more expensive than autos fueled with gasoline and diesel. Bloomberg New Energy Finance projected in July that they’ll turn a corner in the coming years when prices reach parity, and that a third of the global auto fleet will be plug-in hybrid or battery-powered by 2040. Automakers are jostling to lead the fledgling space, with Tesla Inc. debuting its first mass-market EV and Volvo Car Group pledging to put electric motors in all of its new cars by 2019.

“This is not a trade-off. This is the single biggest business opportunity for the next couple of decades,” Mahindra said of sustainable businesses. “Anyone not looking at these opportunities is going to miss out on growth.”

Government Role

With green business choices starting to pay dividends, companies don’t need government subsidies to justify expanding into sustainable areas, Mahindra said. But government leaders can support the efforts by clearly communicating the country’s direction, as Indian Prime Minister Narendra Modi did by announcing a commitment to solar, he said. “Businesses look for stability, they look for direction. You don’t need that much more if you’re just smelling opportunity,” Mahindra said. “We’re not looking for subsidies, we were just saying, ‘Tell us that’s the track you’re going to follow.’ If you’re going to do that, there’s money to be made, there’s going to be a return.”

Modi has backed an initiative for most, if not all, vehicles in India to be powered with electricity by 2030. His government’s top policy planning body Niti Aayog plans to present a blueprint that envisages an all-electric market before 2030, an official said in New Delhi on Wednesday. China is poised to become the largest market to seek a phase-out of the internal combustion engine, following similar moves in France, the U.K. and Norway. Mahindra & Mahindra, which sells the e2o micro electric car, is looking for a joint venture partner in China, the business’s chief said last year.

Governments can be helpful, but decisions to invest ultimately lie with companies, Mahindra said. While he called the U.S. withdrawal from the Paris climate-change accord unfortunate, he said early adopters will reap rewards. “From my competitive juices point of view, we’re delighted if someone’s not going to look at these opportunities,” he said. “There’ll be more there for us.”

  1. G
    Girish
    Sep 22, 2017 at 9:37 pm
    Whom to back these are Individual choices, India is democratic country with full of talents , thinkers, in country like India so vast One person can not add value additions to the country , finally it's a team, Government bodies, people of India, who decides faith of country and certainly not of Individuals, basic needs are to be taken into considerations, like , good Economy, peoples standard of leaving based on per capital income,stability in core business like agriculture, basic need , of food shelter ,harmony in country, Ample job opportunities ,good and healthy atmosphere in day to day life, There will be always compe ions with rich country poor country,one has to look for basic needs with minimum resource without affecting economy, dreaming big will always has a set back, and it may create Imbalance in the needs, If we do comparison with developed countries, Since they are developed they will always strive their In ovations to under developed country have 2 look win win
    Reply
    1. SAMUEL KINGSLEY
      Sep 22, 2017 at 8:40 pm
      Why all auto OEMs are talking of investing in electric vehicles? Simple if they don't talk of it, the share prices may fall especially since govt is talking of EVs.
      Reply
      1. D
        Dipti
        Sep 22, 2017 at 7:35 pm
        Surprisingly government and corporates want clean technology but where is the infrastructure to support it. Traveling for hours on Mumbai bad roads will leave the electric cars with no power mid way to work or home leaving everyone st ed on the roads
        Reply
        1. M
          Mahipati
          Sep 22, 2017 at 7:35 pm
          Those benifited by regime will praise for their interest
          Reply
          1. Abdulhakim Mohammed
            Sep 22, 2017 at 6:14 pm
            If corporates are not supported Modi who going to support him
            Reply
            1. R
              Rajinder singh
              Sep 22, 2017 at 5:02 pm
              anand mahindra may hv his own interest and perceptions, but the reality is based on the fair data. trust and analyse the people hv some theory and intelegence , not only the scale of business
              Reply
              1. C
                Chandrashekhar
                Sep 22, 2017 at 1:27 pm
                What the Govt is doing is to promote solar power. Power generation has to be augmented for helping the farmers, industries and all people. Self reliance in power sector is the goal. If it is promoting business, no fault can be found with Govt. Using below the waist language for elected leader only lowers ones image and reflect on the mindset.
                Reply
                1. E
                  Errol
                  Sep 22, 2017 at 12:29 pm
                  Don't you all feel its just a waste of time to give our opinions regarding such matters as we have suffered these past 70 years and will continue to be forced to carry on in the same manner cause these selfish people Dont give a . Was it "Winston Churchill " Or "Nostradamus " who predicted the future of our country 70 years ago. What a shame and yet every year on the 26th Jan. and 15th Aug. like hypocrites make a show to the world . Imagine how frightening and disgusting the future is for us. The poor are getting poorer and the rich are getting richer. Everyday you read in the newspaper and in the news channels. "SCAMS" "SCAMS " "SCAMS" in the past, present and a whole lot in the future . Keep it Up. ANYWAY THOSE WHO CARE WILL BE SHOT TO DEATH. E.D
                  Reply
                  1. J
                    Jebaraj Abraham
                    Sep 22, 2017 at 12:18 pm
                    Government for corporate. Supported by corporates
                    Reply
                    1. A
                      abraham
                      Sep 22, 2017 at 11:47 am
                      Great P.M.of BHARAT is one only P.M.MODIji with Bright Vision and good ambiance(No Corruption)
                      Reply
                      1. R
                        Rajan
                        Sep 22, 2017 at 11:12 am
                        These top shots trying to influence electorates by suggesting all will be well by 2022 or 2030, indirectly asking business community educated section of the society to vote for this govt till then, However propaganda planing groups of the current regime knows well how to instigate rest of the masses to vote for them, a well planned strategy, we about to see more more of this as elections come closer.
                        Reply
                        1. S
                          Sushant Tomar
                          Sep 22, 2017 at 11:12 am
                          People who can't even write properly will tell, how Modi is doing some people can't be Indian by their heart.
                          Reply
                          1. M
                            Mithun
                            Sep 22, 2017 at 9:47 am
                            India is predominantly an Agri economy. Our farmers are dying and poor people are becoming more poor. Modi is helping these business tycoons improve their business but how will the poor benefit by Tata or Anand Mahindra. they may do some charity once a while but the larger picture will not improve if we do not include every body
                            Reply
                            1. Y
                              Yusuf
                              Sep 22, 2017 at 9:22 am
                              This is indeed a great step being taken. But as i see the comments section it makes me feel pity on the people's mindset..Not worrying about the future, their ascendents, just bull ting about modi, the people supporting his cause and not him are also culprits according to this selfish group of people residing in this country. It's high time that we look forward and start marching forward unlike these arrogant asses.
                              Reply
                              1. I
                                Indian
                                Sep 21, 2017 at 10:57 pm
                                Desperate bid to save their skins. Sad
                                Reply
                                1. dinesh gupta
                                  Sep 21, 2017 at 10:18 pm
                                  These are self-centred men whose opinions have no significance except for themselves.
                                  Reply
                                  1. I
                                    IRK
                                    Sep 21, 2017 at 9:37 pm
                                    I don't know how these great entrepreneurs make such statements and support this govt. Maybe bcoz they all are from Gujarat. This govt has been leveraging on earlier govt initiatives till date. Bullet train is nothing but a sheer waste of tax payers money. Money being spent on statues too sheer waste of money.
                                    Reply
                                    1. John Fernandes
                                      Sep 22, 2017 at 8:47 pm
                                      The country is suffering because of people like u. Neither can u do any good nor allow others to do good. Have u even given a thought before labeling bullet train as a money waste. Educate yourself first on the realities and then comment. Getting carried away by hatred agenda has paralyzed your common sense. Will comeback with explanation if u need to be educated. FYI, Mahindra is not from Gujarat. Only helping entrepreneurs can improve our economy. this is only a gist. I will come with more details if need be but await your justification of your statements
                                      Reply
                                    2. S
                                      Sundar Singh
                                      Sep 21, 2017 at 8:59 pm
                                      Jaan pyaari hai bhai.
                                      Reply
                                      1. D
                                        danish
                                        Sep 21, 2017 at 8:20 pm
                                        another paid dog of modi. we know it a rich man government so people like u will lick his ass. india economic going bad to worst modi a curse on india.
                                        Reply
                                        1. K
                                          Kumar
                                          Sep 22, 2017 at 7:40 am
                                          What are our financial experts doing. Let us hear from them
                                          Reply
                                          1. Amar Goud B
                                            Sep 22, 2017 at 8:57 am
                                            Oh.. If you say he is paid dog to support Modi. Then you are also a paid dog to speak against Modi.
                                            Reply
                                            1. Amar Goud B
                                              Sep 22, 2017 at 11:09 am
                                              Oh..if they are paid dogs to support Modi. Then you are also paid dog to speak against Modi.
                                              Reply
                                            2. S
                                              Sadasivan
                                              Sep 21, 2017 at 1:23 pm
                                              Shri Modi Ji is indeed a great Leader dia is lucky to have such a person at the highest echelons.Our country will grow immensely under Shri Modi Ji.
                                              Reply
                                              1. Harvinder Maini
                                                Sep 21, 2017 at 12:48 pm
                                                This is what the dirty game is being played by modi and his financers
                                                Reply
                                                1. N
                                                  Nasss
                                                  Sep 21, 2017 at 8:23 pm
                                                  Yes nly dirty game
                                                  Reply
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