Convergence Energy Services Limited (CESL), a Union government-run company signed an agreement with New & Renewable Energy Development Corporation of Andhra Pradesh (NREDCAP) to provide 25,000 electric 2-wheeler vehicles to the state. The vehicles will be distributed to AP government employees.
Responding to the agreement, Andhra Pradesh Energy Minister, Balineni Srinivasa Reddy said: “Our vision, with the procurement of 25,000 two-wheeler electric vehicles, is to make Andhra Pradesh go electric. We have been effectively providing affordable and clean power and a fillip to e-mobility will make a further push towards clean energy adoption. Electric 2-wheelers for government employees will boost energy and financial savings and we hope more and more people will also make a shift to EVs.”
Under the agreement CESL and NREDCAP will work to aggregate demand, deploy electric vehicles, and build charging infrastructure in the state. CESL will devise a suitable payment security mechanism, which will be facilitated by NREDCAP, a press statement issued by CESL stated.
Stating that the move will be a game changer for e-mobility in Andhra Pradesh, Srikant Nagulapalli, Chairman, NREDCAP said: “Apart from mitigating climate change, electric mobility is going to be a key economic growth driver and we are focused to build the e-mobility ecosystem in the state. We will encourage all government employees including cooperative societies, public sector undertakings, village, ward secretariat staff and others to opt for EVs. A bigger fleet of EVs in the government will encourage greater uptake among the masses.”
Mahua Acharya, MD & CEO, CESL, seconded Nagulapalli and said this move will accelerate the adoption of e-mobility in the country.
According to the CESL press statement, the vehicles will be provided on a monthly lease inclusive of a comprehensive insurance that will be deducted as EMI from the volunteering government employee’s account.