The Hyundai Creta Electric price in India has sharply reduced with a new Battery-as-a-Service (BaaS) option. With the Hyundai Creta Electric BaaS ownership model, buyers can purchase the electric SUV at a starting price of Rs 10.99 lakh (ex-showroom), while paying the rental charge of Rs 3.90 per kilometre for the battery instead of purchasing it upfront. In India, the starting Hyundai Creta Electric price (with battery) is Rs 18.02 lakh (ex-showroom). The new reduced price makes the BaaS scheme an attractive option for those looking for an alternative to pay less at the time of purchase. But does the lower entry price also mean or convert to lower ownership costs? There's no one-size-fits-all answer. Here's a comprehensive look at how the Hyundai Creta Electric BaaS model works
and its monthly running costs. Also read on to know whether the Hyundai Creta Electric BaaS option is worth considering or not.
What is BaaS?
Battery-as-a-Service (BaaS) is a new way of owning an electric vehicle without paying a high upfront cost. Instead of paying for the car and its battery together, prospective buyers can use the BaaS option and only pay for the vehicle at the time of purchase. The battery is provided separately on a rental basis, and customers will be charged according to the number of kilometres they drive. We all know that the battery is unarguably the most expensive part of an EV. Hence, by removing its cost from the purchase price, the car becomes much more affordable initially. In India, many automakers such as Tata, Maruti, and MG offer BaaS options with their select models. Tata recently introduced the BaaS option with the Tiago EV. Hyundai has introduced this option for the Creta Electric to attract buyers who want to switch to an EV without paying the full cost upfront.
How Does The Hyundai Creta EV BaaS Option Work?
If you opt for the Battery-as-a-Service plan, you will not pay the full cost of the Hyundai e-SUV (including battery) at the time of purchase. With this ownership model, you will only pay for the car. The battery will be made available through a subscription-like model, where the usage fee is calculated according to the number of kilometres driven.
For instance, the SUV can now be bought at a starting price of Rs 10.99 lakh (ex-showroom). In return, owners pay a battery usage charge starting from Rs 3.90 per kilometre. Simply put, someone who drives less will spend less on battery rental, while those with higher monthly running will have a bigger recurring expense. The company is yet to announce a detailed variant-wise price list under the BaaS scheme, but customers will continue to get the same battery options and features available on the regular Creta Electric.
Hyundai Creta Electric BaaS Entry Price and Monthly Expenses Explained
The lower entry price is the singular major highlight of this plan. While the standard Hyundai Creta Electric starts at Rs 18.02 lakh (ex-showroom), the BaaS option lowers that significantly to Rs 10.99 lakh (ex-showroom). How? By separating the battery cost from the vehicle price. However, buyers need to keep in mind that the lower purchase price comes with a recurring battery rental charge of Rs 3.90 per kilometre. This means your monthly expense will increase depending on how much you drive. For example, if you drive around 1,000 km in a month, the battery rental will be Rs 3,900, adding up to Rs 46,800 in a year. If your usage increases to 2,000 km every month, the battery rental rises to Rs 7,800 per month or Rs 93,600 annually.
It's also a major thing to note that this amount is only for the battery subscription. You will still have to pay other ownership expenses alongside for charging the vehicle, along with insurance, servicing. So, that's true that the Creta Electric is much more affordable to buy initially with BaaS; its long-term cost will largely depend on how much you drive.
Is The BaaS Option Worth It?
The BaaS option can be a good choice if your main goal is to reduce the amount you pay at the time of purchase. However, these savings should be weighed against the recurring battery rental. If you are someone who covers longer distances every month, the battery rental charges can add up over time. In such a scenario, buying the battery along with the car may prove to be the more economical option in the long run. So, before choosing either option, you should estimate how much you are likely to drive each month and how long you plan to keep the SUV. If you will mostly use the Creta Electric for daily city commutes, then the BaaS plan is a good option to consider. But if you are someone who drives frequently or covers high monthly distances may be better off choosing the standard ownership model.
