REVA bids for Fiat's Sicily plant

REVA is on the brink of buying Fiat's Sicily plant.

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The REVA Electric Car Company is looking at franchising it's electric car business. This strategy, which it hopes will bring them substantial growth will be replecated in many markets around the world where electric cars get a strong welcome.

One of these partners in question is looking hard at producing Reva's electric cars in a current Fiat plant in Sicily. "Our strategy is to regionalize the assembly of electric cars, and we are seeking venture partners who can access expertise and funds around the world. We are involved in several early stage discussions and no decision has been taken with regards to locations or partners. " Keith Johnston, Reva Electric car company. 

It is not yet confirmed if the plant that REVA is jointly bidding for with Simone Cimino, a Sicilian financier, is the same premise as Termini Imerese, Fiat’s plant in northern part of Sicily, that produces the Fiat Panda and Lancia Musa.

Fiat's chief executive Sergio Marchionne had announced in June 2009 their plans to shut this plant as a cost-cutting measure. Fiat wants to shut down the facility after incurring heavy losses on production (1000 Euro per car). Around 1,400 Fiat employees and 1,100 indirect labourers would be affected by this move. Hundreds of Fiat workers had objected the move and had gone on strike in January 2010, but Marchionne said the move was "irreversible."

The Sicilian government plans to build infrastructure needed for solar charging of the electric vehicles and is keen on reducing its dependence on oil. The government’s three-point agenda is;
set-up a manufacturing capacity for electric vehicles; set-up infrastructure for electric cars; like battery manufacturing, charging points and sales, service and spares, and have a back up company that would provide electricity to these cars.

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