The Delhi Transport Department has invited bids to select service providers to deploy high-speed and low-speed electric scooters and e-bicycles to enhance last-mile connectivity to metro stations and bus stands within the Dwarka sub-city.

The service providers must deploy a combined fleet of 2,000 high-speed and low-speed electric scooters and 1,000 e-bicycles for seven years and ten months from the agreement’s signing date. The agreement also has a provision for a three-year extension.

The last day to submit the bids is October 20, 2023. Bids will be opened on the same day.

Bidders must submit an earnest money deposit of ₹3.6 million (~$43,317).

The lowest bidder (L1) bidders must submit a performance bank guarantee of ₹5.4 million (~$64,976), whereas the L2 bidders must submit ₹3.6 million (~$43,313).

The selected bidders must bear the capital, operation, and maintenance costs. However, they are entitled to retain revenue generated from membership sales, rental income obtained from rentals, and advertising revenue from branding on the vehicles.

The service providers can take an initial membership fee of ₹1,000 (~$12) from users.

Bidders must demonstrate their combined experience operating a diverse e-fleet, including high-speed e-scooters (with motor power exceeding 250W), low-speed e-scooters (with motor power below 250W), and e-cycles over the last six years. Additionally, they must possess a minimum of one year of experience in any of these specified e-fleet segments.

They should also have experience providing a mobile app for booking and digital payments.

Bidders must have a minimum average annual turnover of ₹90 million (~$1.08 million) during the last three financial years. They should have a positive net worth as of the last financial year.

In the event of a shortfall in the number of deployed e-scooters and e-cycles compared to the agreed-upon milestones, the selected service providers will incur a penalty of ₹500 ($6) per vehicle per week, with a maximum cap of ₹5 million ($60,157).

To ensure the high-quality performance of the e-fleet, the selected bidders must uphold a 90% availability rate for these vehicles, ensuring they remain in optimal condition and well-maintained. Failure to meet this standard will result in a performance deduction of ₹100 (~$1.2) per vehicle per day.

In July, Delhi’s Transport Department ordered all ride-hailing and delivery aggregators in the National Capital Territory to switch their entire fleet to electric by April 1, 2030.

The Delhi government issued the Delhi Electric Vehicle Policy 2020 to boost electric vehicle adoption in the capital city. It aimed to speed up EV adoption, primarily in two-wheelers, public and shared transport vehicles, and goods carriers.