Transport officials look to start e-bus services by next year

The announcement of 100% tax exemption for electric vehicles endorses the State government’s policy of promoting clean energy. The State government has already finalised operation of electric buses (e-buses) all over the State with a major portion of them to be operated in Chennai through the Metropolitan Transport Corporation (MTC).

A senior official of the Institute of Road Transport (IRT) said the tender calling for finalising the contractor for purchasing 500 e-buses was over and once the selection of the two consultants for implementing the project was over, the first phase of launching e-buses would get under way. While 525 e-buses had been allotted for six cities, the Metropolitan Transport Corporation (MTC), which was the sole operator in the city, was yet to be allotted any.

The senior official of the IRT said the State government planned to operate e-buses through two funding sources — from the FAME 2 policy of the Central government and KfW, the German Development Bank. He said while there had been a delay in getting funds from the FAME 2 project, e-buses would start running by next year at least through KfW funding.

The senior official of IRT said the agreement between the State government and KfW, which was signed on September 26 last, envisaged funding for purchasing a total of 2,000 electric buses and 10,000 new buses with BSVI engines.


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