Mahindra & Mahindra (M&M) has announced the expansion of its innovative Battery-as-a-Service (BaaS) program to encompass its entire Electric Origin SUV portfolio. This strategic move makes BaaS available for the newly introduced XEV 9S and XEV 9e models, following its successful rollout with the BE 6 SPORTEQ earlier this month.
The BaaS program is designed to substantially lower the initial acquisition cost of electric vehicles (EVs) by separating the battery's purchase price from the vehicle itself. Instead, customers opt for a monthly rental fee based on usage.
Lowering EV Entry Barriers
Under the expanded BaaS scheme, the XEV 9S SUV now starts at an attractive ₹12.65 lakh (ex-showroom), with the battery rental priced at ₹3.75 per kilometer. Similarly, the XEV 9e is available from ₹13.90 lakh (ex-showroom), also featuring the same effective usage cost for battery financing.
Mahindra stated that the program has garnered an "overwhelming response" from customers nationwide. This feedback has validated the demand for ownership solutions that mitigate common barriers to EV adoption, particularly the high upfront cost associated with battery packs.
Building on Past Success
The company initially introduced BaaS with its BE 6 SPORTEQ, starting at ₹11.45 lakh (ex-showroom), also with a battery rental of ₹3.75 per kilometer. The positive reception for this model encouraged Mahindra to extend the service across all variants of the BE 6 SPORTEQ and now to its flagship Electric Origin SUVs.
While Mahindra is expanding its BaaS offerings, it's worth noting that JSW MG Motor India was among the pioneers in the Indian market to introduce a similar battery service model with its MG Windsor. For JSW MG Motor, such schemes contribute a notable 5-7% to their total EV sales, indicating a strong market appetite for flexible battery ownership options.