India and US joined forces to introduce 10,000 electric buses on the streets of India
"It is one of the reasons the United States government is working with our friends in the Government of India to get more electric buses on the streets of Indian cities. So, we have launched an initiative to have 10,000 electric buses be on Indian streets," he said. The United States and India launched a mechanism that will facilitate deployment of 10,000 made-in-India electric buses in cities across the country, bringing into reality a joint vision first announced during Prime Minister Narendra Modi's official state visit to the White House.
According to a joint statement issued earlier this month, India and the United States will provide joint support for a payment security mechanism for expanding electric mobility in India, giving a boost to the PM e-Bus Sewa scheme that aims to procure 10,000 electric buses for cities that lack adequate public transport. The statement on the meeting between Prime Minister Modi and US President Joe Biden said the two leaders spoke of the importance of "decarbonising the transport sector". Modi and Biden met at the prime minister's residence before the start of the G20 Leaders' Summit.
India had launched the National Electric Bus Programme (NEBP) in June last year with an aim to deploy 50,000 new e-buses across the country by 2027 in a phased manner. "This new initiative between the governments of India and the United States shows how public and private partners can work together to lower emissions and promote electric mobility. Through this new partnership, the US government, including the US Agency for International Development (USAID) and the office of the US Special Presidential Envoy for Climate, will partner with public and private-sector entities to accelerate electric bus financing," a statement by the US Embassy in New Delhi said.
"A key component of this project will be a new payment security mechanism (PSM) that will accelerate new and more sustainable investments by lowering financial risks. By mitigating risk for lenders, the PSM leads to improved loan terms and reduced financing costs, facilitating smoother project implementation. Ultimately, this partnership sets a new model for international cooperation in the field of electric mobility," it added.