In perhaps the first such initiative, General Motors India has entered into an alliance with the Reva Electric Car Company for producing and selling small electric cars.

To begin with, Reva will supply the technology for converting a combustion engine, petrol ‘Chevrolet Spark’ into an electric car, which will run on battery. This partnership may eventually be used on the Chevy Spark outside India as well and could even encompass other cars from the GM stable worldwide.

GM India president Karl Slym said the two companies have been collaborating on development of an electric small car for the last 10 months and prototypes are already ready, but commercial production will take another 12 months. The first electric Chevy Spark cars will roll out of GM’s facilities at Hallol and Talegaon by the end of 2010.

Reva chairman Chetan Maini said, since his company has developed an enhanced energy management system, it is possible to use any of the common battery types such as lithium-ion or lead-acid for the Chevy Spark.

Slym said the emphasis through this entire collaboration would be on developing a car which is affordable and easy to maintain. The electric Spark will need only an electric socket for charging and this can be done even from the convenience of a customer’s home.

Though GM is working on hybrid and fuel cell cars globally, it does not seem to have any plans to bring these alternate fuel powered vehicles to India anytime soon since this country lacks the infrastructure for such vehicles.

Neither partner was willing to talk about either the investment earmarked for this project or the pricing of the electric Spark, but both gave an assurance about its ultimate “affordability”.

Maini also allayed apprehensions about the car’s pickup and drivability, saying his company has already developed and showcased vehicles that can attain speeds of over 100 kmph and seat four people comfortably.

Reva, which introduced electric cars in India way back in 2000, has managed to sell only 3,000 units across the globe till now. So does GM expect the electric Spark to drive in any substantial volumes?

Slym says that this car would be another variant in the Spark lineup but, given the energy situation right now, “I would think the electric version would sell in thousands and not hundreds, as one would have though some years back”.

After its second manufacturing facility is ready near Bangalore, Reva’s total capacity would reach 36,000 units per year.