New Delhi, May 14 (IANS). The share of electric buses in India in annual sales may increase to 35-40 percent by FY35, which is currently around 7 percent. During this period, the share of EV buses in public transport may increase to more than 85 percent. This information was given in the report released on Thursday.
The KPMG report said that India has annual sales of 35,000 to 50,000 units and is now entering a new period of electrification. Government procurement and investment in infrastructure will be the next growth factors for the sector.
The report further said that as about 57 per cent of the total distance traveled by passengers in India is covered by buses, electrification of this sector will play an important role in the country’s clean mobility and carbon emission reduction ambitions.
Rohan Rao, Automotive Partner and Electric Mobility Lead, KPMG India, said, “The shift to electric buses in India is no longer limited to policy initiatives, but is becoming a structural transformation opportunity for the broader mobility ecosystem. The electrification of public transport has already gained strong momentum, supported by government procurement programmes, cost improvements and increased investment in infrastructure.”
Going forward, the focus will be on building a scalable ecosystem combining domestic manufacturing, financing innovation, charging infrastructure expansion and operational efficiency to support sustainable long-term growth in both the public and private transport sectors, he said.
The report said that around 62,000 e-bus tenders have been issued in India, of which around 46,000 buses have been allocated under various government schemes. There were approximately 16,300 electric buses running on Indian roads by March 2026, reflecting both strong uptake and deployment challenges.
More than 90 percent of the current e-bus deployment in India has been through government-run tenders and public transport undertakings. The report further said that tenders are expected to be issued for around 40,000 additional electric buses by FY 2030 through Central and state-led initiatives.
–IANS
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