Ather Energy Planning To Introduce Battery As A Subscription Model

Recent reports claim that Ather Energy is gearing up to launch the Battery As A Service(BaaS) subscription model for its two-wheelers soon. While its existing electric scooters which includes the 450 range and the Rizta are already available with fixed battery, Ather’s BaaS model will in all likely feature with its upcoming range of affordable electric scooters that will be based on the new EL platform. 

The BaaS subscription model will allow Ather Energy to price its upcoming electric scooters affordably. Wherein, instead of purchasing the entire scooter, buyers can rent the battery separately. This cuts the upfront cost dramatically since batteries make up 30-50% of an electric vehicle's total price. Customers pay for battery usage through monthly subscriptions or per kilometre charges. This makes electric scooters much more affordable compared to traditional petrol scooters.

(Also Read: Ather's EL Scooter Platform To Debut In August)

Ather isn't alone in this approach. Hero MotoCorp, which owns the largest stake in Ather Energy, will launch BaaS for its Vida VX2 electric scooters as well. The latter is slated to launch tomorrow. In the car segment, JSW MG Motor already offers this model for its Windsor EV.

This battery rental plan comes as Ather expands rapidly across multiple fronts. The company is doubling its retail network whilst developing next-generation charging technology and a new affordable scooter platform called EL. Competition is intensifying as established players expand their electric offerings. TVS plans a new scooter by the fourth quarter of FY25. Bajaj is developing electric vehicles for delivery riders. Ather must diversify its product range to maintain its competitive edge. 

(Also Read: Ather Partners With ThunderPlus For Fast Charging Stations)

(Source: Autocar Professional)