New Delhi, March 11
The annual sales volume of electric buses in the country is expected to reach more than 17,000 units in FY27 -- nearly 15 per cent growth from total bus sales volume of 4 per cent in FY24, a report showed on Tuesday.
Electric buses account for 4 per cent of India's annual bus registrations, with 3,644 units sold in FY24, reflecting an 81 per cent year-on-year growth.
The transition to cleaner fuels has decreased conventional diesel and petrol buses' market share from 97-98 per cent a decade ago to 90 per cent in FY24, according to the report by CareEdge Ratings.
“Till now, e-bus penetration had been limited to a few larger cities, but gradually e-buses are being rolled out in more cities, which is expected to result in widespread adoption of e-buses across the country,” said Arti Roy, Associate Director at CareEdge Ratings.
Government support has also been demonstrated through various policy initiatives, which is expected to continue in the foreseeable future.
India's potential for electric buses (e-buses) is significant, with only six e-buses per million people compared to the world average of 85.
Currently, e-bus adoption is limited to a few states and cities, but widespread adoption is expected to drive exponential sales growth in the medium term.