CESL Invites Bids to Procure Electric Cycles for Nationwide Micro-Mobility Solutions

In a move to bolster rural mobility and support economic empowerment in India, Convergence Energy Services Ltd. (CESL), under the Ministry of Power, has issued Invitation for Bids (IFB) to seek suppliers for the procurement and supply of electric bicycles in India as part of a major initiative to drive micro-mobility solutions across the country.

The project, named 'Scaling up Demand-Side Energy Efficiency Sector Project,' is backed by the Government of India in collaboration with international stakeholders, including funding from the Asian Development Bank (ADB) and technical assistance from the Global Environment Facility (GEF).

The initiative supports the government’s vision for sustainable transportation solutions, and the project is structured into three separate lots, each open for bids from qualified suppliers. This significant pilot program, titled 'Sustainable Transport for Rural Entrepreneurs through Electric Cycles' (S.T.R.E.E.), will focus on empowering rural women by improving access to reliable, affordable transportation.

The project  will be carried out in collaboration with the respective State Rural Livelihood Missions (SRLMs) and with overall support from the Ministry of Rural Development. The program will be implemented in the  States of Bihar, Kerala, and other locations across India.

In Bihar, the initiative will be a comprehensive program, involving both the deployment of electric bicycles and training for end users, specifically targeting women in Self-Help Groups (SHGs). The project in other states will focus solely on the deployment of electric bicycles to enhance mobility and entrepreneurial opportunities.

Furthermore, a local technical institute will conduct training sessions for 50 women from Self-Help Groups (SHGs), with an additional impact assessment study to analyse the effect of these bicycles on the women’s economic activities and personal independence.

Bidders interested in this project must attend a pre-bid meeting scheduled for November 12, 2024, accessible online via Microsoft Teams. This meeting will provide an opportunity for bidders to clarify technical and contractual questions directly with CESL. 

To enter the bidding process, all suppliers must register on the CESL e-procurement portal. The registration entails a one-time fee of INR 5,000, payable in INR or the international equivalents in USD, Euro, or Yen.

In addition to submitting a digital bid, suppliers must also present several critical documents, including a bid security or earnest money deposit (EMD), a demand draft or receipt for the bid document fee, and technical certifications. The bid document fee is INR 25,000, or the equivalent of USD 320, EUR 280, or JPY 45,000. The last date of bid submission is  November 26, 2024.

Moreover, CESL mandates that all electric bicycles meet the Central Motor Vehicle Rules (CMVR) certification standards. This certification must be issued by recognised agencies such as ARAI or ICAT. Additional documentation requirements include manufacturer authorisation, bulk order certification, and production capacity verification. The validity of each bid stands at 180 days, with bid securities mandated per lot as per CESL's specifications.

This project addresses a critical gap in rural transportation infrastructure. With rural regions comprising nearly 70 percent of India’s population, lack of adequate transportation remains a significant hurdle for economic growth.

The rising fuel costs and vehicle expenses have further limited the mobility of rural populations, especially women from SHGs and youth, who rely heavily on public transportation for essential activities. CESL’s initiative, through the deployment of electric bicycles, aims to provide a sustainable, accessible, and eco-friendly alternative to conventional modes of transportation, which are often unavailable or impractical in rural areas.

The S.T.R.E.E. pilot not only promises to improve transportation access but also aims to advance India's overarching objectives for clean energy and reduced carbon emissions, making this a promising model for scaling rural mobility across the country.

Through this innovative pilot, CESL is positioned to lead a transformative shift in rural India, fostering empowerment and economic opportunity through sustainable micro-mobility solutions.