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CESL-Three Wheels United sign MoU to procure 70,000 electric 3-wheelers in India

As a part of agreement, TWU will procure 70,000 electric three-wheelers (E3Ws) in multiple lots – varying from 100 to 20,000 units – to complete the entire process outlined in the MoU by 2027.

Three Wheels United sign MoU to procure 70,000 electric 3-wheelers in India

Convergence Energy Services a subsidiary of Energy Efficiency Services has signed a Memorandum of Understanding (MoU) with Three Wheels United, a global fintech company, to procure 70,000 electric three-wheelers across India in the next five years.

As part of the agreement, TMU will procure 70,000 electric three-wheelers (E3Ws) in multiple lots – varying from 100 to 20,000 units – to complete the entire process outlined in the MoU by 2027. The two companies will also work on partnerships to facilitate co-financing of these electric vehicles.

The initial procurement of these E3Ws by Three Wheels United, averagely priced at Rs 3 lakh and Rs 3.5 lakh for passenger and cargo categories respectively, will be for deployment in Bengaluru and Delhi.

As part of the agreement, CESL will help escalate the demand for electric three wheelers across India through outreach initiatives while also building awareness about EVs. 

Vehicles will receive subsidies from the FAME II program administered by the Ministry of Heavy Industries to the extent eligible. This arrangement comes as a result of the 100,000-vehicle tender managed by CESL in response to a notification in the Gazette of India to aggregate demand for electric three wheelers. 

Mahua Acharya, MD, and CEO, CESL said, “We are honoured to have the benefit of TWU’s depth and credibility and excited at the prospect of building a fruitful relationship in pursuit of larger goals of sustainable e-mobility and livelihood creation.” 

Cedrick Tandong, Co-founder & CEO, TWU said, “We are happy to be partnering with an organisation like CESL that is focused on solutions that deliver clean, affordable, and reliable energy. Our overarching goal is to improve livelihoods for drivers, reduce the climate impact of the transportation sector and accelerate efforts towards sustainable last-mile transportation. This partnership further strengthens our commitment towards eradicating barriers to mass adoption of EVs in India.” 

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