8SEPTEMBER, 2024MERCEDES-BENZ TO ASSEMBLE EQS SUV IN INDIA, EXPANDING EV PRODUCTIONRELIANCE POWER SECURES 500 MW BATTERY ENERGY STORAGE CONTRACTGerman luxury carmaker Mercedes Benz has firmed up plans to locally assemble a second electric vehicle in the country enthused by steady demand for these cars. India will be the only market outside of the United States to locally assemble the EQS SUV 580. Completely built-up units (CBU) attract customs duty of up to 110Percent, compared to 15Percent levied on vehicles assembled locally from knocked down kits (CKD).Mercedes Benz India Managing Director Santosh Iyer told ET, "There is currently no other option for emission free mobility than electrification. And we need to aid penetration by introducing electric cars at varied price points to our customers. The EQS SUV 580 will be the second electric vehicle that we assemble locally, which has helped us to price it competitively." The EQS SUV 580 is priced at Rs 1.41 crore.With the launch of the EQS SUV 580 the company now has half a dozen EVs for sales in the country. "About 55Percent of all cars sold in India are now SUVs. So it was only logical for us to introduce an electric SUV. We expect penetration of electric vehicles in our portfolio to increase steadily with these launches", Iyer informed.Overall, the company has seen penetration of electric vehicles in its total sales double to 5Percent in the first half of the ongoing calendar year, over CY2023. EV sales for the company grew by 60Percent in this period, when total volumes rose 9Percent to 9,262 units. Reliance Power has been awarded a contract by the Solar Energy Corporation of India (SECI) to build a 500 MW/1000 MWh Battery Energy Storage System (BESS), signaling a notable debut in the renewable energy and storage industry.The agreement includes the deployment of 1000 MW/2000 MWh of independent BESS units, given through a build, own, and operate (BOO) method for "on demand" use through a tariff-driven competitive bidding system.Reliance Power offered Rs 3.8199 lakh per MW per month in their bid. This marks a significant decrease from past BESS projects, representing a pivotal moment in India's continuous development of renewable energy.Reliance Power will have to oversee the setup of the system, which involves identifying land, installing equipment, obtaining approvals, and connecting to the ISTS.SECI's most recent auction shows a notable 65 percent decrease in tariffs when compared to its original BESS tender priced at 10.83 lakh per MW per month.The existing tariffs offer a 15Percent reduction from Gujarat Urja Vikas Nigam Limited's (GUVNL) Phase 2 rate of 4.49 lakh and are only 2Percent higher than the GUVNL Phase 3 tariff of 3.72 lakh. Upon completion, this project will rank among the biggest independent energy storage systems globally. TOP STORIES8SEPTEMBER, 2024
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