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PM e-Drive scheme to expand e-bus use beyond urban areas

Financial Express Chandigarh

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May 26, 2025

THE GOVERNMENT IS considering key changes to the PM Electric Drive Revolution in Innovative Vehicle Enhancement (PM e-Drive) scheme, which may soon permit electric buses originally intended for intra-city use to operate on intercity routes, as well as in schools, tourist spots, and hilly or coastal areas.

- NITIN KUMAR

This move comes in response to limited demand from the cities initially targeted by the programme.

Initially, 14,028 electric buses were planned for deployment in nine major cities — Delhi, Mumbai, Kolkata, Chennai, Bengaluru, Hyderabad, Ahmedabad, Surat, and Pune — through a centralised tender process managed by Convergence Energy Services (CESL), a subsidiary of Energy Efficiency Services.

However, only five cities submitted formal requests, covering around 10,900 buses. The remaining 3,128 buses are now being considered for repurposing under the revised plan.

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