<p>Bengaluru: Bengaluru may soon surpass Delhi in public transport bus numbers as the union government has approved 7,000 electric buses for the IT Capital — the highest for any city — under a newly launched scheme. </p><p>Under the PM E-DRIVE scheme, Bengaluru will receive 7,000 e-buses, while Hyderabad will get 2,800. </p><p>Currently, the Bengaluru Metropolitan Transport Corporation (BMTC) has 6,500-odd buses, including about 1,300 non-AC e-vehicles. It will also lease 320 AC e-buses soon. At over 8,000, Delhi currently has the most buses among all cities in India. </p>.Pink Line on track for Dec 2026 opening, civil work 93% complete.<p>Policymakers and mobility experts agree that given Bengaluru's public transport requirements, the BMTC requires 10,000 to 12,000 buses. </p><p>Transport Minister Ramalinga Reddy told <em>DH</em> that buses under the PM E-DRIVE scheme would be procured over three years. However, during this period, many overage vehicles will also need to scrapped, he added. </p><p>As per BMTC rules, a bus that runs 11 lakh kilometres or turns 15 years has to be scrapped. It is estimated that the BMTC needs to retire approximately 10% of its fleet annually. </p><p>Over the next three years, even if the BMTC loses 2,000 buses — roughly 30% of its current fleet — the addition of 7,000 buses under the scheme will still expand its total fleet to well over 10,000. </p>.<p>The PM E-DRIVE scheme, notified by the Ministry of Heavy Industries on September 29, 2024, provides Rs 4,391 crore in subsidies for the procurement of 14,028 e-buses in nine large cities with a population of 40 lakh or more. </p><p>Rs 4,000 crore was allocated for the scheme in the 2025-26 union budget. </p><p>Although a new scheme, it incorporates elements of the FAME schemes, which ran from April 1, 2015, to March 31, 2024, and provided Rs 12,395 crore to promote electric vehicles. </p><p>Karnataka has agreed on a payment security mechanism for PM E-DRIVE, according to a senior official in the know. </p>.Bengaluru home to second highest number of India’s most valuable companies: Hurun.<p>The BMTC will deposit money into an escrow account to pay the bus manufacturer on a per-kilometre basis under the Gross Cost Contract (GCC) model, with a minimum daily assured distance. Except for conductor salaries, all other operational expenses will be borne by the bus manufacturer. </p><p>The Centre will provide a subsidy of Rs 35 lakh per standard bus (10-12 metres), Rs 25 lakh (midi bus, 8-10 metres) and Rs 20 lakh (minibus, 6-8 metres). </p><p>Only e-buses with an ex-factory price of less than Rs 2 crore are incentivised under this scheme. </p>
<p>Bengaluru: Bengaluru may soon surpass Delhi in public transport bus numbers as the union government has approved 7,000 electric buses for the IT Capital — the highest for any city — under a newly launched scheme. </p><p>Under the PM E-DRIVE scheme, Bengaluru will receive 7,000 e-buses, while Hyderabad will get 2,800. </p><p>Currently, the Bengaluru Metropolitan Transport Corporation (BMTC) has 6,500-odd buses, including about 1,300 non-AC e-vehicles. It will also lease 320 AC e-buses soon. At over 8,000, Delhi currently has the most buses among all cities in India. </p>.Pink Line on track for Dec 2026 opening, civil work 93% complete.<p>Policymakers and mobility experts agree that given Bengaluru's public transport requirements, the BMTC requires 10,000 to 12,000 buses. </p><p>Transport Minister Ramalinga Reddy told <em>DH</em> that buses under the PM E-DRIVE scheme would be procured over three years. However, during this period, many overage vehicles will also need to scrapped, he added. </p><p>As per BMTC rules, a bus that runs 11 lakh kilometres or turns 15 years has to be scrapped. It is estimated that the BMTC needs to retire approximately 10% of its fleet annually. </p><p>Over the next three years, even if the BMTC loses 2,000 buses — roughly 30% of its current fleet — the addition of 7,000 buses under the scheme will still expand its total fleet to well over 10,000. </p>.<p>The PM E-DRIVE scheme, notified by the Ministry of Heavy Industries on September 29, 2024, provides Rs 4,391 crore in subsidies for the procurement of 14,028 e-buses in nine large cities with a population of 40 lakh or more. </p><p>Rs 4,000 crore was allocated for the scheme in the 2025-26 union budget. </p><p>Although a new scheme, it incorporates elements of the FAME schemes, which ran from April 1, 2015, to March 31, 2024, and provided Rs 12,395 crore to promote electric vehicles. </p><p>Karnataka has agreed on a payment security mechanism for PM E-DRIVE, according to a senior official in the know. </p>.Bengaluru home to second highest number of India’s most valuable companies: Hurun.<p>The BMTC will deposit money into an escrow account to pay the bus manufacturer on a per-kilometre basis under the Gross Cost Contract (GCC) model, with a minimum daily assured distance. Except for conductor salaries, all other operational expenses will be borne by the bus manufacturer. </p><p>The Centre will provide a subsidy of Rs 35 lakh per standard bus (10-12 metres), Rs 25 lakh (midi bus, 8-10 metres) and Rs 20 lakh (minibus, 6-8 metres). </p><p>Only e-buses with an ex-factory price of less than Rs 2 crore are incentivised under this scheme. </p>