Affordable Vida Electric Scooter Launch Likely In 2024

In a recent earnings conference call held by Hero MotoCorp, several insights into the brand’s upcoming products were discussed. One such update is the upcoming affordable Vida electric scooters. 

Hero MotoCorp has recently qualified for PLI (Production Linked Incentive) scheme and received a certificate for the same. To briefly explain, automotive PLI is awarded to those manufacturers who can achieve a specific set of criteria for electric vehicles as required by the scheme. These incentives will help qualifying manufacturers, Hero MotoCorp in this case, produce more electric vehicles and at reduced costs. These benefits can be passed on to end consumers directly via more affordable products. 

Hero MotoCorp has said that its “current products are not PLI ready” but the upcoming ones will be. However, they have also said that the entire lineup will undergo a change in the next one year and the completely revised electric vehicle portfolio will qualify for PLI benefits. This will go a long way in easier adoption of electric scooters as the subsidy under the new EMPS (Electric Mobility Promotion Scheme) which came into effect from April 1, 2024 is a lot lesser than the subsidy offered under the FAME 2 scheme, which ended on March 31, 2024.

Hero also said it is aggressively working on its cost reduction roadmap to prepare for an environment where there are no subsidies. That said, Hero still believes the subsidies are helping the industry overall. This is especially considering the fact that the infrastructure is still developing, and the current level of battery technology hasn’t really reached a point of being an absolute replacement to petrol-powered two-wheelers. 

It was also announced that there will be new mid- and mass-market products, which could mean the launch of electric scooter(s) priced under Rs 1 lakh, in the first half of this financial year, possibly around September 2024. As for the premium segment, Hero could launch a more upmarket electric scooter that will slot above the Vida V1 Pro. This will be in line with Hero’s aim to offer products catering to all three market segments – mass, mid-level, and premium. 

Hero and Ather are working together to improve the charging network, compatible with both brands. Ather currently has 2500 charging points spread over 200 cities, which will increase in due course of time. 

The affordable electric scooter segment is currently booming with the Ola S1 Air, TVS iQube, and other electric scooters being offered in the range of Rs 60,000 to Rs 1 lakh. This news follows the Hero Xoom 125 and Xoom 160 launch timelines which we reported earlier. Additionally, Hero is also working on another variant of the Hero Mavrick 440, the details of which can be found here.