New Delhi, April 29 (IANS) The Ministry of Heavy Industries held a high-level meeting on Wednesday to deliberate on financing mechanisms required to accelerate the adoption of electric buses and trucks in the private sector.
Officials at the meeting, chaired by Heavy Industries Secretary Kamran Rizvi, discussed the financing challenges for the adoption of e-buses and e-trucks, the current status of financing these heavy vehicles, and potential solutions to address the challenges, as well as the government support required, according to an official statement.
Key support mechanisms for finance under consideration include partial credit guarantee schemes to de-risk lending by financial institutions, as well as interest subvention schemes aimed at reducing the cost of borrowing for private sector buyers, it said.
Public transport, particularly buses, forms the backbone of mobility across India, while trucks play a critical role in freight movement by carrying a substantial share of domestic goods. At the same time, the commercial vehicle segment contributes significantly to road transport emissions, fuel consumption, and particulate matter pollution. In this context, the electrification of buses and trucks is essential for achieving India’s decarbonisation targets and advancing the nation’s Net Zero by 2070 goal, the statement noted.
The meeting saw wide participation from key stakeholders across the financial and industrial ecosystem, including the Finance Ministry’s Department of Financial Services and the World Bank. Major public and private sector banks participated, along with NBFCs and apex institutions, including SIDBI, NIIF, bus operators, truck operators, vehicle manufacturers, and other key stakeholders, along with industry bodies such as the Society of Indian Automobile Manufacturers (SIAM), All India Motor Transport Congress (AIMTC), and Bus Operators Confederation of India (BOCI).
This initiative reflects the proactive approach of the Ministry of Heavy Industries towards enabling the transition to electric mobility in the commercial vehicle segment. By bringing together government departments, multilateral institutions, financial entities and industry stakeholders on a common platform, the ministry aims to develop actionable financing solutions that address key barriers to EV adoption, thereby supporting India’s broader goals of energy security, emission reduction and indigenous advanced manufacturing under the vision of Aatmanirbhar Bharat and ViksitBharat@2047, the statement added.
–IANS
sps/vd
Link to photos: https://www.pib.gov.in/PressReleaseDetail.aspx?PRID=2256729®=3&lang=1