PM-eBus Sewa Scheme is introducing 10,000 e-buses. What does the Central government contribute?

The union cabinet, headed by Prime Minister Narendra Modi, has given the green light to a bus scheme called ‘PM-eBus Sewa’ on 16th August 2023. The objective of this scheme is to expand city bus operations by introducing 10,000 e-buses through a Public Private Partnership (PPP) model. The scheme is designed to support bus operations for ten years.

The scheme aims to cover cities with a population of three lakh or more, including the capital cities of Union Territories, North Eastern Region, and Hill States. Priority will be given to cities that currently lack an organized bus service. It is estimated that the scheme will generate around 45,000 to 55,000 direct jobs by deploying approximately 10,000 buses for city bus operations.

The estimated cost of the scheme is Rs 57,613 crore. It is to be noted that Rs.20,000 crore out of the estimated 57,613 crore will be provided by the central government. The states/cities will be responsible for running the bus services and making payments to the bus operators. The central government’s role in supporting the bus operations is by providing subsidy to the extent specified in the proposed scheme.

Pralhad Joshi, Union Minister of Parliamentary Affairs took to X to convey the cabinet decisions on the scheme. The scheme has two segments. Segment A is to augment the city bus services in 169 cities and Segment B is to introduce Green Urban Mobility Initiatives (GUMI) in 181 cities.

Segment A aims to support for Development/ up-gradation of depot infrastructure; and Creation of behind-the-meter power infrastructure (substation, etc.) for e-buses. Segment B forecasts the green initiatives like bus priority, infrastructure, multimodal interchange facilities, NCMC-based Automated Fare Collection Systems, Charging infrastructure, etc.

The scheme boosts green mobility by promoting e-mobility and supporting behind-the-meter power infrastructure, charging infrastructure, and bus priority infrastructure. These steps in turn reduce noise and air pollution and curb carbon and Greenhouse Gas (GHG) emission.



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