PM-eBus Sewa Scheme: Green Transit

  Sep 06, 2023

Green Transit Revolution: The PM-eBus Sewa Scheme Primer

 The Big Picture:

The Centre stands on the brink of revolutionizing public transportation, emphasizing eco-friendliness. Coming up: Guidelines for the PM-eBus Sewa scheme, underpinning a budget of ~57,613 crore.

Main Points:


Scheme's Overview:

Announcement Date: August 16.
Objective: Infusion of 10,000 e-buses across 169 cities.
Operational Mode: A decade-long public-private partnership (PPP).
Oversight Body: Ministry of Housing and Urban Affairs.

Budget Insights:

Scheme Budget: A hefty ~57,613 crore.
Centre’s Part: A slice of ~20,000 crore, with states pooling in the remainder.

Roles & Responsibilities:

E-Bus Procurement: The mantle falls to Convergence Energy Services (CESL).
Wider Goal: CESL supports the larger vision: 50,000 e-buses by 2027 under NEBP.

Current E-Bus Scenario:

FAME-II Result: From the approved 7,210 e-buses, just 2,435 hit the roads.
Sales Data: From 2014, 816,356 buses sold; e-buses? A mere 0.63%!

Distinct Features:

Operational Scope: PM-eBus Sewa eyes cities with 300k residents vs. FAME-II’s 4 million.
Incentive Model: A kilometer-based bonus activated post a six-month operational success.
Sourcing Rule: Both schemes echo the same sentiment: Source 50% raw materials locally.

Benefits to State Transport:

Subsidy Origin: The Centre.
Payment Responsibility: Lies with the states.
Golden Opportunity: State transport units can tap into the central ‘payment security fund’.

More Features:

Financial Security: A ~4,126 crore payment security fund gears up to assist 38,000 e-bus procurements. Green Drive: The scheme gears up to fuel the Green Urban Mobility push, designating funds for charging hubs in 181 cities.


The PM-eBus Sewa isn't just about green transport. It's a manifestation of India's urban green dream. As the nation gears up for this electric shift, SRIRAM's IAS invites you to stay informed and engaged. Dive deeper with us on our and connect on Telegram, Instagram, and Facebook.


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