homeauto NewsPM eBus Sewa: Cabinet allocates Rs 57,613 crore to run 10,000 electric buses under central scheme
PM-eBus Sewa: Cabinet allocates Rs 57,613 crore to run 10,000 electric buses under central scheme
Under the scheme, the government will select 100 cities through a competitive challenge model for the implementation of Electric Vehicle (EV) bus services.
In a significant move towards promoting green mobility, the Cabinet on Wednesday approved the 'PM-eBus Sewa' scheme with an allocation of Rs 57,613 crore, Union Minister of Information and Broadcasting Anurag Thakur said.
Under the scheme, around 10,000 new e-buses will be deployed in 100 cities across the country. The government will select the cities through a competitive challenge model to implement electric bus services.
"For augmenting city bus operations priority will be given to cities having no organised bus service," Thakur said.
The Prime Minister e-Bus Sewa Scheme should augment an already robust order backlog at companies, Goldman Sachs said on India's commercial vehicles.
The broker reiterated its buy rating on Tata Motors and Ashok Leyland for a target price of Rs 710 per share and Rs 230 per share, respectively. "Look for more details around implementation of scheme and timelines for tenders," the broker said.
The scheme facilitates the implementation of Public-Private Partnership (PPP) models, enabling private sector entities to actively participate in financing, procuring, operating, and maintaining buses across the nation.
Thakur said that the scheme will support bus operations for 10 years. While the Central government will allot Rs 20,000 crore towards the scheme, the remaining fund will come from state governments. The outlay is likely to be spent by 2027.
Furthermore, he said, infrastructure will be upgraded in 181 cities under the Green Urban Mobility Initiatives. The approved scheme encompasses the development of Bus Rapid Transit Service (BRTS) corridors to enhance the efficiency and accessibility of public transportation. These corridors will serve as dedicated pathways for e-buses, promoting smooth and uninterrupted travel for passengers.
The government also has announced the creation and deployment of the National Common Mobility Card to simplify travel across various modes of public transport, offering a seamless and user-friendly experience for commuters.
First Published: Aug 16, 2023 3:53 PM IST
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