Q: Technology mix will be governed by the energy mix in the automotive industry. For the commercial vehicles, how close to or how different will the technology mix be from the passenger vehicle industry in the coming years?
A: There is an overlap of technologies for the passenger vehicle and commercial vehicle segments, but at the components level, they are designed to suit a particular application. Diesel, petrol, CNG, and electric are there in both (PVs and CVs). However, depending on the application and use cases, there will be differences. The sizing and the specific duty cycle-based requirements would be tailored for the application.
Q: How will the energy mix look like?
A: Energy mix is an interesting question. Net zero-emission for commercial vehicles is at an early stage. But I would say, for commercial vehicles, there’s a good focus on both, diesel and CNG, depending on the vehicle category. If it’s a small commercial vehicle (SCV), there is gasoline, bi-fuel or battery electric. That’s how it is. But in categories of vehicles like 407 onwards there will be a polarisation between diesel and CNG.
Q: So, it is electric in the small commercial vehicles; CNG and diesel around the 407 category. Upwards of that we will see a transition from diesel to, let’s say, hydrogen fuel cell. Is that roughly the possible transition in commercial vehicles?
A: No, it is like this: from 407 onwards diesel and CNG, and then depending on the category of vehicle and duty cycle, you may also have battery electric vehicles. Hydrogen fuel cell is mainly for haulage purpose – freight carrying, long distance travel, or highway vehicles.
Q: From a sustainability perspective, which one allows you more levers to use and accelerate faster to net zero: commercial vehicles, because of the application and usage cycles, or passenger vehicles, because of the volumes?
A: If you look at what we call scope three emissions (tailpipe emissions), the commercial vehicles have higher emissions purely because they run much longer. A passenger car would run around 30 km a day while a commercial vehicle runs anywhere between 100 and 600 km a day. So, the distance travelled, the km covered, by the commercial vehicle is very high and therefore there will be higher emissions from them.
In operating cost, electric vehicles will beat even CNG. In the case of total cost of ownership (TCO), which also includes the vehicle cost, I think the Ace EV will come very close, because even the CNG prices are going up.
Q: Will the efforts to develop and launch petrol CVs continue? Or will there be some change in plans because of the changing TCO dynamics with developments in electrification?
A: What we have launched (Ace EV) is meant for cargo application. That means it’s a fixed duty cycle. E-commerce companies have a defined duty cycle. Therefore, it’s a product meant for them. A diesel or gasoline vehicle, for example, is for long range. Even CNG with bi-fuel is for long-range vehicles.
Now, as you create more and more vehicle options for the customer, there has to be the growth of the external ecosystem like charging infrastructure. We can’t make the Ace EV with a 1000 km range. Depending on the footprint and the size of the vehicle, we can actually do the best that it can deliver. There has to be a concurrent progress on the infrastructure side.
Q: Are you also working on ethanol, flex-fuel versions of CVs?
A: Wherever we are offering gasoline, it has to be done because it is notified.
Q: Will you be working on a ground up electric CV?
A: Yes, as and when it is required, why not? Right now it’s only the beginning of electrification on the commercial vehicle side. We’re looking at all the options. From the R&D perspective, the horizon is 10 years.
Q: In the Tata Motors ecosystem, JLR has made good progress in EV technology. Though not quite the same application, is there any kind of exchange of ideas while developing an electric CV?
A: That option is there. We look at, we talk, and they talk. JLR is an integral part of the Tata UniEVerse (consortium of Tata Group companies).
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Tata Sons and group companies are well-capitalised with robust balance sheets and every major company has staged a turnaround in the last four years to contribute in a significant manner to group profits, says Tata Sons chairman N Chandrasekaran.
In the Indian market too, Tata Motors said it faces strong competition from domestic and foreign automobile manufacturers. “Improving infrastructure and growth prospects in India, compared to those of other mature markets, have attracted a number of international companies to India, either through joint ventures with local partners or through independently owned operations in India,” it said.
Tata Motors Group is now operating as three independent business units of Commercial Vehicles, Passenger Vehicles and Jaguar Land Rover, offering differentiated value propositions to their different customer segments whilst leveraging backend and corporate synergies where possible, felt the chairman.