Why we need Battery as a Service?

GOAL & DESCRIPTION

A facility to accelerate deployment of electric buses by providing batteries to electric buses on a subscription basis to reduce upfront costs for the bus operators.

It could lower the upfront capital cost of electric buses for bus owners/operators by 40%- 50%.

Stakeholder	Key Benefits
BaaS	•Short-medium term: Revenue stream as the equity investors •Long term: First mover advantage in the electric mobility and energy storage
Bus Owners	•Short-medium term: Savings in operation cost;  No technology risk for maintenance •Long term: Reduced capital expenditure to achieve cost parity with diesel buses
Capital Providers	•Short term: Enter an emerging sector and leverage the first mover advantage. •Long term: Opportunity to earn high returns for equity investors and less off-taker risk for debtors given the lower default rates in the private commercial vehicle sector

Barrier	Our Solutions
High upfront costs of electric buses compared to diesel	BaaS owns the battery and provides it to the bus owner on subscription basis, thus reducing the upfront cost for the bus operator.
Informational barriers causing high perceived risk	BaaS engages in providing PoC and offers innovative financing options for electric bus deployment to encourage buy-in from stakeholders
High cost of financing with shorter loan tenor	BaaS targets creating long-term financing for bus operators by facilitating a specific line of credit.
Overreliance on subsidies to accelerate EV adoption	BaaS aims to pilot and scale-up commercially viable projects. Once it is concluded with commercial viability, it is expected to attract more private investors in the EV space.