India: 800,000 E-Buses by 2030

According to the Indian daily newspaper "The Economic Times" (ET), the government is working on a plan to replace 800,000 diesel buses - more than a third of all buses on the subcontinent's roads - with electric buses over the next seven years. Specifically, it envisions deploying 200,000 electric buses for state transport corporations, 550,000 for private operators, and 50,000 for schools and passenger transport by 2030, as senior government sources explained to ET. The project is expected to replace the third stage of the FAME program (Faster Adoption and Manufacturing Electric Vehicles) and position India as a global production hub for electric vehicles. The Indian government is not only focused on environmental concerns but also on establishing an entire electric ecosystem in public transport. This aims to accelerate the development of widespread charging infrastructure, generate investments, achieve scaling that reduces per-unit costs, and simultaneously create manufacturing jobs.

Higher Ambitions than Europe

For comparison: In 2022, around 138,000 electric buses were registered in China, while only 4,150 were registered in Europe. In 2023, the number of electric buses sold in Europe is expected to have barely exceeded the 5,000 mark. Approximately 4,000 electric buses are currently operating on Indian roads, compared with 2.3 million diesel and CNG buses in the country.

High Costs

According to estimates from the Indian industry, approximately 13.2 to 16.5 billion euros are required to procure 100,000 electric buses in the country at current costs. The government is currently consulting stakeholders to design the contours of the program, which could be unveiled in the next fiscal year. The main focus of the discussions was on awarding large procurement contracts to lower the cost per unit and subsequently distribute the vehicles to transport operators. Only 140,000 of the current 2.3 million buses in India are operated by municipal enterprises; the rest are in the hands of private companies.