LONG-TERM BARGAIN

The funny looking, eco-friendly car can be a good low-cost second vehicle

The other day, when the Reva was launched—re-launched rather—in Delhi with the state Government offering sops, I thought I’d check out the tiny eco-friendly car. One look and you know the electric-powered Reva cannot be anyone’s primary car, just one that can be used for chores and errands.
Build: The shape of the vehicle is peculiar but it grows on you. The body is built of ABS plastic, which the company claims is dent proof. The steering wheel is a tad small, the instrument panel of bad quality, the hand brake difficult to use and the brakes hard. The curved windscreen is nice, but the hatch is a little troublesome. And if you want to fold up the rear seats to make space, you’ve got rubber straps to hook them to!
Drive: Start the car and it comes on without an engine hum. The Reva does not have a clutch either but the handling was good. I drove the car at about 50 kmph, and loved the feel of its spunky engine.
Seating: Enough for two adults if you are not too tall. Two small children can be accommodated in the rear.
Air conditioner: Brilliant, the test drive unit cooled up pretty fast.

Beyond just the smiles you get when you drive along, there are a few things to remember about the Reva:
Changing the battery: The 8-battery set has a warranty of one year only. The company says you will not need to change them for at least 3 years. But given that a battery life is 18-24 months, you have to prepared to pay Rs 60,000 every two years for a replacement set.
Maintenance cost: The company claims a maintenance cost of Rs 600 every three months for service done at your door step. But it’s more likely that you will also have to spend an extra Rs 200 for basic maintenance like replenishing the battery water, etc.
So, does it make sense to buy this car? Well, a company buying the car makes a lot of sense since it can claim 80 per cent depreciation in the first year. To an individual buyer in Delhi, the sops (no registration tax, no VAT, no excise) makes the Reva an interesting option. Elsewhere, it could interest the quirky and those committed to the environment. But, having said that, it could become the mode of transport for a young couple in metros if they drive at odd hours to work 15-20 km apart. A businessman offering small services (computer repairs, A/C servicing, etc) can also think of the car for himself and/or a team member. The car is cheap to run and can be charged at the customer’s end.
One more question: Is there a future for the car? The biggest cost component from my view is the ABS body. Reva could have used fibreglass and brought down the cost. Besides, the Reva is not a hybrid, which uses both electricity and fuel. As it is, it cannot switch to a biofuel for a drive longer than the 80 km it can run on one 8-hour charge. Also, besides the charging points at home, none are available in the public places. You cannot charge it at your usual parking lots, but with shopping malls now installing 15 amp power sockets that a Reva requires for charging, maybe a mall parking could be a pitstop.
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The Above article appeared in the Indian Express, on Sunday July 13, 2008.