Context: The Cabinet, led by Prime Minister Narendra Modi, has given the green light to the “PM-eBus Sewa” scheme aimed at enhancing urban bus operations with 10,000 electric buses on a Public Private Partnership (PPP) model.

PM-eBus Sewa Scheme

• Aim: To enhance green mobility in the cities.

• Coverage: The scheme will cover cities of Three lakh and above population as per census 2011 including all the Capital cities of Union Territories, North Eastern Region and Hill States. 

• Duration: The scheme will support bus operations for a duration of 10 years.

• Under this scheme priority will be given to cities having no organized bus service

• Operation Responsibility: States or cities will be responsible for running the e-bus services and making payments to the bus operators.

• Employment Generation: The scheme aims to generate 45,000 to 55,000 jobs and reduce noise, air pollution, and carbon emissions.

Segments: The scheme has two segments

Segment 1: In 169 cities, 10,000 e-buses will be deployed using a public-private partnership (PPP) model.

• Infrastructure will also be developed or upgraded to support the new e-buses, including the creation of behind-the-meter power infrastructure like substations.

Segment 2: In 181 other cities, infrastructure will be upgraded under the green urban mobility initiatives

• Behind-the-meter power infrastructure like substations will be created.

• Initiatives will focus on bus priority, infrastructure, multimodal interchange facilities, automated fare collection systems and charging infrastructure.

Support for operation: States or cities will be responsible for running the bus services and making payments to the bus operators. 

• The Central government will support these bus operations by providing subsidies to the extent specified in the scheme.

Key Benefits of the Scheme

• Around 45,000 to 55,000 direct jobs are expected to be generated via the scheme.

• The adoption of electric mobility services will help reduce noise and air pollution in Indian cities and also curb carbon emissions. 

• The scheme is also expected to bring in economies of scale for the procurement of electric buses through aggregation.

Other Schemes of Government for Green Mobility

• NTPC’s hydrogen-based FCEV project

• FAME India and FAME II schemes for EV incentives

• Promotion of green hydrogen and FCEVs like Toyota Mirai

• Participation in the global EV30@30 campaign

• Roadmap for 20% ethanol blending by 2025

• Amendments to the National Policy on Biofuels, 2018