Bajaj Unveils World’s First CNG Motorcycle: Freedom at ₹95K

At between ₹95,000 and ₹1,10,000, Bajaj Auto has revealed the first CNG-powered motorcycle in the world, the Freedom With a 2 kg CNG tank and a 125cc petrol engine, this creative bike can run totally on CNG. With 102km per kilogram on CNG and 65km per litre in petrol mode, the business boasts outstanding fuel economy. The running cost of the Freedom is roughly half that of a standard 125cc motorbike given CNG’s cost of ₹76.6 per kilogram vs petrol at ₹94.72 per litre in Delhi.

With its affordability and environmental advantages, Rajiv Bajaj, managing director of Bajaj Auto, underlined the potential of this bike to transform the commuter market. In line with more reasonable rates in ASEAN markets, he advised the government to cut the Goods and Services Tax (GST) on two-wheelers from 28% to 12%. “We have priced the bike below ₹1 lakh; but, the government should help by lowering GST to support clean fuels,” he remarked.

Comprising bikes with engines between 100 and 125cc, the commuter sector is a sizable market in India, making about 75% of total sales. Hero MotoCorp has competition from Bajaj Auto, with a 16.2% share even though it controls this market with a 55%. With more than 10 million bikes sold yearly, the market has not yet rebounding to the peak sales of 2018-19.

The Freedom by Bajaj Auto seeks to take a sizable chunk of the commuter market. With present monthly sales of 650,000 units in this sector, Bajaj aims for an aggressive 30% penetration, translating initially to 200,000 units and maybe reaching 500,000 at 80% penetration.

Though CNG vehicles are becoming more and more popular in passenger and three-wheeler markets, problems still exist including long lines and few refilling stations. Head of institutional equity research at Incred Capital Pramod Amthe pointed out that although CNG bikes save a lot of mileage, they might be under competition from electric cars, which run the lowest fuel costs.

First found in Maharashtra and Gujarat, the Freedom will spread to other areas by the next quarter. With an aim of achieving 50,000 units by year-end, Bajaj Auto targets monthly sales of 10,000 units.

With its dual gasoline and CNG powers, the Bajaj Freedom 125 redefines the commuter motorbike market. Its 125cc engine generates 9.5 horsepower and 9.7 Nm of torque, so providing a combined range of 330km. Built on a trellis frame with telescopic forks and a connected monoshock suspension, the bike also sports LED headlamps, a rear LCD display with Bluetooth connectivity, and a claimed lower emissions than standard petrol bikes.

Though it offers consumers a special mix of efficiency and eco-friendliness, the Freedom 125 currently has no direct rivals except for models like the TVS Raider 125.