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Tag: PM ebus Sewa

  • Centre Unveils Guidelines for INR 2,000-Crore Nationwide EV Charging Network to Boost Electric Mobility

    Under the Prime Minister Electric Drive Revolution in Innovative Vehicle Enhancement (PM E-Drive) programme, the Ministry of Heavy Industries (MHI) has released the operating rules for the installation of EV public charging stations (EV PCS). Under the PM E-Drive programme, the government had set aside INR 2,000 crore to install over 72,300 public EV charging stations nationwide.

    The instructions state that in order to facilitate the building of EV charging infrastructure in various places, a tiered subsidy structure will be used. Upstream infrastructure and EV charging equipment (EVSE) on government buildings, including offices, housing complexes, hospitals, and educational institutions, will be fully subsidised, as long as the chargers are accessible to the general public for free.

    Government’s Push for EV’s Expansion Through Subsidies

    The subsidy covers 70% of the cost of EVSE and 80% of upstream infrastructure for transport hubs and public sector-controlled sites such as toll plazas, bus depots, airports, OMC outlets and train stations. Streets, malls, and market complexes are among the numerous public places where an 80% subsidy is provided exclusively for upstream infrastructure.

    Anywhere that battery charging stations and swapping are installed, they are also eligible for an 80% infrastructure subsidy. The benchmark price for upstream infrastructure is INR 6.04 lakh for chargers with a capacity of up to 50 kW and INR 24 lakh for chargers with a capacity of more than 150 kW.

    Benchmark prices for EV Supply Equipment (EVSE) differ depending on the kind and capacity of the charger; for instance, a 50 kW CCS-II charger costs INR 7.25 lakh, while a 100 kW CCS-II charger costs INR 11.68 lakh. These expenses will serve as the foundation for calculating the amounts of eligible subsidies.

    Scheme Focusing on Urban Centres

    The plan will prioritise state capitals, smart cities, satellite towns connected to the metro, high-density national and state highways, and metropolitan centres with a population of one million or more. Airports, train stations and petrol stations are examples of public transportation hubs that have been designated for infrastructure support.

    Incentives will also be available to state and Union Territory governments, including their PSUs and connected agencies, central ministries, and central public sector enterprises (CPSEs) to help electrify government department fleets. Using a specialised web platform, nodal bodies will be in charge of determining high-priority sites and submitting combined bids. Bharat Heavy Electricals Limited (BHEL) has been designated as the Project Implementation Agency in order to guarantee prompt and high-quality execution.

    A two-tranche approach will be used for the subsidy disbursal, with money being granted if performance and compliance requirements are met. In order to facilitate payments, monitor usage, and enable real-time station availability, integration with the National Unified EV Charging Hub will be required.

    Quick
    Shots

    •Full subsidy for chargers and
    upstream infrastructure on government buildings if accessible to the public.

    •70% subsidy for EVSE and 80% for
    upstream infra at transport hubs, airports, bus depots, OMC outlets, etc.

    •Priority to state capitals, smart
    cities, metro-connected satellite towns, and high-density highways.

    •Airports, train stations, and petrol
    pumps identified as key charging hubs.

  • The Union Cabinet Confirms to the PM-eBus Sewa-Payment Security Mechanism (PSM) Proposal

    With an outlay of INR 3,435.33 crore, the “PM-eBus Sewa-Payment Security Mechanism (PSM) scheme” for the procurement and operation of e-buses by Public Transport Authorities (PTAs) has been approved by the Union Cabinet, which was headed by the Prime Minister Narendra Modi.

    From fiscal year 2024-25 to fiscal year 2028-29, this initiative will facilitate the deployment of over 38,000 electric buses (e-Buses). The operation of e-buses will be supported by the PSM scheme for a maximum of 12 years from the date of deployment.

    The Move Aims to Create Healthy Environment

    The majority of buses operated by Public Transport Authorities (PTAs) are currently powered by diesel/CNG, which has a harmful environmental impact. Conversely, electric buses are more environmentally friendly and incur reduced operational expenses. It was, however, anticipated that Public Transport Authorities (PTAs) would encounter difficulties in the procurement and managing administration of e-buses due to their high initial cost and reduced revenue realisation from operations.

    Public Transport Authorities (PTAs) implement these buses through the Public Private Partnership on Gross Cost Contract (GCC) model in order to mitigate the substantial capital expenditures associated with e-buses. Under the GCC model, the PTAs are not obligated to pay the initial cost of the bus. Rather, OEMs/operators can operate e-buses for PTAs by accepting monthly payments. OEMs/operators are, however, apprehensive about participating in this paradigm because of their apprehensions regarding potential payment defaults.

    A dedicated fund is established to guarantee that OEMs/operators receive payments in a punctual manner, thereby addressing this concern. In the event that PTAs fail to make payments, CESL, the implementing agency, will make the requisite payments from the scheme funds. These payments will be recovered by the PTAs/State/UTs at a later date.

    The Initiative Will Also Encourage the Use of Electric Trucks

    The scheme will also provide an allocation of INR 500 crore to encourage the adoption of electric vehicles and INR 780 crore outlay to modernise testing agencies for the EV ecosystem.

    WRI India’s executive programme director for integrated transport, clean air, and hydrogen, Pawan Mulukutla, stated that the Cabinet’s approval serves as a reminder of India’s ambitious decarbonisation objective in the transport sector, which involves the deployment of 50,000–60,000 e-buses in the coming years through initiatives such as the National Electric Bus Programme and the PM-eBus Sewa. This was imperative to enhance the project’s bankability and secure the continued involvement of private stakeholders, who were previously apprehensive about the possibility of delayed payments or defaults. He stated that this will ultimately lead to a reduction in operational costs as a consequence of increased competition.

    The Union Minister to Visit Bengaluru to Officially Launch the Electric Vehicle Testing Facility
    On August 22, 2024, Pralhad Venkatesh Joshi, Union Minister of Consumer Affairs, Food and Public Distribution, and New and Renewable Energy, will lay the foundation stone of the Electric Vehicle (EV) Testing Facility at the National Test House (NTH) RRSL Camp in Bengaluru.
    StartupTalkyNitin Konde