Bangalore based Yulu is an electric bike maker which rents all its bike for INR 10/ hour ( 14 cents/ hour). Presently the company imports knocked down kits from China and assembles them in India. The Yulu bikes are light and use a 48 V motor to attain a top speed of 25 km/h. They have a range of 60 Km. As they are low speed electric vehicles, one does not need a driving license to ride a Yulu bike.
As per the company, it costs them approximately US$ 600 to procure one bike from China. They aim to build an inventory of a 100,000 bikes by December 2020. In this scenario, Bajaj Auto has invested approximately US$ 8 million into the company and has agreed to design and build a single seat electric bike for approximately INR 30,000 to 35,000 which is less than US$ 500. Bajaj expects to get the bike ready by 2021. Bajaj has developed expertise in electric two wheelers and launched its first electric scooter, the Chetak recently. The Chetak costs around INR 100,000, but is a premium product as compared to what Yulu needs.