India’s electric vehicle (EV) market is experiencing explosive growth, projected to surge by 66% in 2024 after nearly doubling in 2023. However, this rapid expansion is exposing a critical gap: bespoke services for the EV sector, which is still developing unlike some of the other mature markets like the ones in the US or EU.
Shimnit Integrated Solutions Pvt. Ltd. (SISPL), a subsidiary of Mumbai’s leading high-security number plate supplier, Shimnit India, is seizing this opportunity. The company is betting big on providing multi-brand after[1]sales services specifically tailored for EV customers. “It’s a vast, untapped market,” says Dhruv Patel, Director at Shimnit India, with over two decades of experience in sales, operations, technology, and strategic partnerships.
Dhruv Patel’s comments come amidst a market primed for disruption. Government subsidies and burgeoning infrastructure development are fuelling EV sales. This growth surge, however, has outpaced the development of a robust after-sales service network.
One-stop solution
Established in 2021, SISPL aims to bridge this gap by offering a one-stop solution for compliance-related services targeted at EV Original Equipment Manufacturers (OEMs). The company claims to have a proven track record of helping clients navigate the complexities of India’s evolving regulatory landscape. This, they say, empowers OEMs to manage compliance effectively, mitigate risks, and unlock new growth opportunities within the rapidly transforming transportation sector. To capitalise on this, they have developed in-house applications that are continuously adapted to meet the dynamic needs of both new customers and OEMs. Additionally, SISPL boasts strong liaisons with regional transport offices (RTOs) and state transport departments across the country.
Wide service portfolio
SISPL’s service portfolio encompasses model endorsement, vehicle registration, FAME-related submissions, and more. The client list of close to 55 OEMs includes top brands like Ola Electric, Tork Motors, BattRE, Kinetic Green, Okaya, Omega Seiki, and Amo Mobility. The company has a presence across 28 States and UTs and has so far helped OEMs manage vehicle registration for over 1.6 lakh vehicles. Furthermore, SISPL has helped OEMs obtain around 650 model approvals. As India’s EV market charges forward, after-sales service infrastructure presents a critical hurdle that companies like SISPL are actively working to address. Their success will hinge on their ability to deliver a seamless and standardized service experience across a rapidly diversifying EV landscape. “Our vision at SISPL is to offer a comprehensive suite of enterprise IT solutions specifically tailored to streamline various transport sector compliance processes, ensuring efficiency, accuracy, and peace of mind for individuals and businesses alike. At the core of these offerings lies a commitment to harnessing the power of technology to simplify complex regulatory landscapes. By leveraging innovative IT solutions, we empower clients to navigate the intricacies of vehicle registration and its compliance with ease,” further added Dhruv Patel.
FAME subsidy compliance by OEMs
According to Dhruv Patel, FAME compliance is very important for the OEMs, as close to 25% of their revenues are stuck there. He further emphasises the burden that compliance places on dealers, who are more focused on sales than administrative tasks. This often results in compliance work being left until the last minute. However, Dhruv Patel highlights the company’s strength in FAME subsidy compliance through well-defined processes, which boast an impressive accuracy rate of about 98%. Furthermore, company’s experienced team specialises in FAME submissions, as it is supported by a robust infrastructure including customised applications. These applications feature multiple checkpoints for thorough document and data validation, ensuring accuracy and reducing errors during Claim Application Form (CAF) creation. The automated document compilation and report generation capabilities streamline the submission process across different states, dealers, and case stages. “We map all the elements using the software we have developed,” he says and adds, “This ensures data accuracy and completeness before it reaches the DHI subsidy portal. In simpler terms, the data is only submitted once they are 100% confident in its accuracy.”
Interim subsidy programme
The Ministry of Heavy Industries recently unveiled the Electric Mobility Promotion Scheme 2024 to address uncertainties surrounding subsidies for electric vehicles. This new scheme, with a total outlay of Rs 500 crore, is aimed at promoting electric two- and three-wheelers. It will be valid for four months, from April 1 to July 31. The Electric Mobility Promotion Scheme 2024 ensures incentives for electric two- and three-wheelers sold after the expiration of the second phase of the Faster Adoption and Manufacturing of Hybrid and Electric Vehicles (FAME) scheme on March 31. FAME II, which began in 2019 with an outlay of Rs 10,000 crore originally intended to conclude in 2022, was extended until March 2024. Additionally, last month, FAME II’s budget received a boost of an additional Rs 1,500 crore.
Under FAME II, subsidies are applicable for vehicles sold until March 31 or until funds are exhausted, whichever comes first. The scheme has already provided subsidies to approximately 1.47 million electric vehicles, including 1.30 million two-wheelers, 150,613 three-wheelers, and 18,794 four-wheelers. This initiative demonstrates the government’s commitment to promoting electric mobility and encouraging the adoption of electric vehicles in the country.
Banking on a strong legacy
SISPL’s efforts are backed by its parent company, Shimnit India Pvt. Ltd., which has been in the business of high security number plate (HSRP) since 2001 and is considered a leader in the HSRP project in India. They have been awarded TAC & Conformity of Production Certificates (COP) by Central Road Research Institute (CRRI). The plant has sufficient capacity to cater to the need of the entire nation to produce blanks in a fully automatic, sensor-controlled production sequence, as per the specifications approved by the Government of India. Shimnit India Pvt. Ltd. has a state-of[1]the-art manufacturing plant in Kala Amb, Himachal Pradesh which has an annual capacity to manufacture about 27 million plates. On an annual basis, it supplies an average of over 15 million HSRPs across the country. “We deliver 98% of our orders within 24 hours of receiving them from Pan India,” says Dhruv Patel. He added that the company has a presence in 28 states with fulfilment centres spanning over 100 cities, catering to an extensive network of 2000+ dealerships nationwide.
High security registration plates
HSRPs (High Security Registration Plates) play a crucial role in enhancing vehicle security and facilitating various functions such as tracking stolen vehicles, apprehending criminals, enabling automatic toll collection, and enforcing traffic rules. These number plates are equipped with multiple security features, making them tamper-proof and highly reliable. For the company mentioned, HSRPs constitute a significant portion of their revenue, accounting for roughly 80% of their overall revenues. This underscores the importance and demand for HSRPs in the market, driven by the need for enhanced vehicle security and regulatory compliance. By providing HSRPs embedded with advanced security features, the company not only contributes to improving vehicle safety but also supports law enforcement agencies in their efforts to combat vehicle-related crimes and ensure compliance with traffic regulations.
Way forward
Dhruv Patel isn’t just a director at Shimnit India Private Limited, he’s the driving force behind their High Security Registration Plate (HSRP) operations. He’s built strong connections with both government agencies overseeing transportation (state transport departments) and the OEMs. Dhruv Patel’s vision goes beyond license plates. He spearheaded the creation of Shimnit’s technology division and Shimnit Integrated Solutions, showing his commitment to innovation. These new departments offer cutting-edge solutions for automobile manufacturers. They help them navigate the tricky world of transportation regulations using technology and consulting services. This includes everything from vehicle registration and dealership compliance to navigating the FAME subsidy programme.