Tata Motors will use a diesel Engine on the People’s Car Tata Nano. The Engine will be developed by FEV. FEV Is also working with Mahindra on electric-diesel Hybrid Scorpio.

A Hybrid Variant is also in the Pipeline. As reported by ET, the car will sport the world’s first 800 cc, turbo charged, CRDi diesel engine. The diesel powertrain Nano will probably roll out in 2009. While Bosch is working on the CRDi system for the Nano, Honeywell Turbo India is working on the turbo charger.

In the Auto Expo 2008, Nano was shown in Petrol variant with 623cc, two cylinder, MPFI Engine. Even then, Tata Motors chairman Ratan Tata had indicated that the company would follow the launch of the petrol variant with a diesel variant.

FEV is an independent engine and powertrain systems research, design and development company, headquartered in Aachen, Germany. Globally, it provides complete concept-to-production (C2Pâ„¢) support to the transportation industry, commercial engine manufacturers and the emerging hybrid and fuel-cell industries. The company designs, prototypes and develops advanced gasoline-, diesel- and alternative-fueled engines, as well as advanced vehicle powertrain concepts, electronic control systems and hybrid-electric vehicles. FEV also is a global supplier of advanced test cell, instrumentation and test equipment.

Source: ET & FEV