Kinetic Green aims Rs 300 cr revenue from e-rickshaws in 2016-17

UP govt is paying Rs 400 cr to the firm to replace normal rickshaws in the state with electronic variant

Driven by a momentous order from the Uttar Pradesh government for procurement of 27,000 e-rickshaws, Kinetic Green is aiming at a turnover of Rs 300 crore in the ongoing fiscal year.

Just after the commercial launch of the green e-rickshaws in January this year, Kinetic Green, an electronic vehicles maker, is bullish on its sales.

"In January we had sold 100 vehicles which has touched 3,000 units this month. This year, we'll be selling between 18,000-20,000 vehicles", the company's founder and CEO, Sulajja Firodia Motwani said here on the sidelines of a FICCI event.

However, this year, only 1,000 vehicles will make up for retail sales and the rest will comprise of the orders received from Uttar Pradesh.

The Uttar Pradesh government is paying Rs 400 crore to Kinetic Green to replace the normal rickshaws in the state with the electronic variant.

Despite government business driving its sales in the initial period, Motwani, however, wants to focus on retail sales and has plans to rope in 100 dealers across the country to push sales of the e-rickshaws.

"Eventually, we will become a retail oriented company and not rely solely on government business", she said.

These electronic commercial vehicles are prices at Rs. 1.25 lakh and needs only Rs. 30 a day to charge its batteries.

Optimist about the forthcoming surge of electronic vehicles in the auto rickshaw segment, the company is further hoping that it's turnover will touch Rs. 10,000 crore in the coming 10 years.

The company has invested Rs. 75 crore for the project in its Ahmednagar plant in Maharashtra which has an installed capacity to produce 5,500 vehicles per shift.

Besides, West Bengal government's finance and industries minister Amit Mitra is in talks with the company to set up a manufacturing hub in the state. Lands in Haldia and Kharagpur has been shown to the company to set up prospective units.

"However, nothing has been finalised yet to open a plant in West Bengal", Motwani said adding the state presents good sales opportunities for the company owing to the presence of Totos in the state.

Totos are battery operated light vehicles which ply in the city's outskirts and is mostly used for commutation. These Totos, according to the official can be replaced with the e-rickshaws.

In the near future, focusing on the bottom-of-the-pyramid customers, the company will limit its products range to e-rickshaws and e-buggies but will expand the portfolio with new models and features.