Mahindra Expands Battery-as-a-Service Model Across Entire Electric SUV Line

Mahindra has expanded its Battery-as-a-Service (BaaS) program to include its entire lineup of born electric vehicles, specifically the XEV 9S and XEV 9e. This strategy separates the cost of the battery from the initial vehicle purchase price, significantly lowering the barrier to entry for consumers. Under this model, the starting price for the XEV 9S drops to Rs 12.65 lakh, while the XEV 9e starts at Rs 13.90 lakh ex-showroom. This represents an upfront acquisition cost reduction of approximately Rs 8 lakh compared to traditional purchase models.

The financial structure of the BaaS program is designed for transparency. Buyers are subject to an effective usage cost of Rs 3.75 per kilometer. This figure is derived from an initial battery EMI of Rs 6,975, assuming a daily running average of 60 kilometers. Additionally, the program has been extended to include all variants of the BE 6 Sporteq, which was previously restricted to specific trims with the smaller 59kWh battery. The starting price for the BE 6 Sporteq under this new BaaS initiative is now Rs 11.45 lakh, making it highly competitive within the Indian electric SUV market.

Mahindra's move aligns with a broader industry shift as automakers look to accelerate EV adoption in India. Following the introduction of the BaaS concept by JSW-MG Motor India, firms including Tata Motors, Maruti Suzuki, Toyota, Hyundai, and Citroen have also been evaluating or implementing similar ownership structures. Industry analysts note that by shifting to a pay-per-use model, Mahindra aims to mitigate consumer concerns regarding high initial capital expenditures. This competitive pricing strategy is expected to drive higher showroom footfall and increase market share, positioning Mahindra as a leader in the transition to sustainable domestic transport.