What is the value proposition of a CNG bike vs EV & ICE models? Bajaj Auto’s Rakesh Sharma answers

economictimes.indiatimes.com:

Rakesh Sharma, ED, Bajaj Auto, explains the logic behind launching a CNG motorcycle. He says the company expects this to be a pivotal point in the development of the two-wheeler industry in the country. And if we have to take the government at face value, which there is no reason to disbelieve, the CNG network is going to grow even further and faster, every month 100 new pumps are being added. That means CNG will have ubiquitous availability. At this point, their estimate is only 60%, but it will go to 80%.
Let us begin with this CNG bike launch. What is the value proposition of this model versus the EV and the ICE models?
Rakesh Sharma: Well, for the full lowdown you will have to come to Pune on 5th; by 2 pm we are unveiling the new bike. For now, suffice to say that it is the outcome of a very intense exercise over the last two to three years. We will be showcasing through this, the power of innovation at Bajaj Auto. It addresses a very large market size. Almost 70% of the one million per month market of motorcycles has some level of sensitivity to fuel economy.

Our whole effort was that we have to make a significant difference to it. Otherwise, making an incremental difference, which we have been trying, gets us marginal benefits. People do not shift for incremental differences and that is where our experience with CNG over the last 20 years through the three-wheeler came into play. We were the first to launch the RE, the three-wheeler based on the CNG fuel. So that cuts the fuel expenses which are amongst the