Hyderabad: Convergence Energy Services Limited (CESL), a subsidiary of Energy Efficiency Services Limited (EESL), has successfully concluded India’s largest mega tender for 10,900 electric buses under the PM E-DRIVE Scheme, drawing nationwide attention and praise.

In a statement on Sunday, CESL said that the initiative is expected to reduce over four million tonnes of CO₂ emissions across five major cities, marking a significant step toward India’s Net Zero target by 2070.

The PM E-DRIVE Scheme—PM Electric Drive Revolution in Innovative Vehicle Enhancement—administered by the Ministry of Heavy Industries (MHI), aims to modernise public transport and curb pollution.

CESL CEO Akhilesh Kumar Dixit expressed gratitude to MHI and the Ministry of Power (MoP) for their support in enabling transparent demand aggregation and competitive tendering. He said the initiative will substantially reduce India’s carbon footprint, improve air quality and provide a cleaner, quieter and cost-effective alternative to diesel buses. The scheme represents a paradigm shift from buying buses to Mobility as a Service (MaaS).

Under Phase I, tenders for 10,900 e-buses were issued, with technical bids opened on November 14, 2025, and price bids on December 23, 2025. Sixteen bidders participated in the process. The procurement covers major cities and State Transport Undertakings (STUs): Bengaluru with 4,500 buses, Delhi with 2,800, Hyderabad with 2,000, Surat with 1,600, and Ahmedabad with 1,600 buses. The fleet includes AC and non-AC variants, spanning Standard Floor, Low Floor, and Bus Rapid Transit (BRT) models.

CESL’s demand aggregation model achieved Gross Cost Contract (GCC) rates lower than previous city-level rates for e-bus operations, it added.

The aggregation model brought GCC rates on par with or below CNG and diesel buses, making electric mobility financially viable. It further noted that transparent bidding, standardized specifications, and large-scale deployment accelerated adoption timelines, enabled charging infrastructure development, and reduced procurement risks for operators.

As part of the scheme, Hyderabad, as one of India’s fastest-growing cities, received 2,000 e-buses, reflecting its strategic role in the National Electric Mobility Roadmap. CESL affirmed that the PM E-DRIVE Scheme will play a pivotal role in sustainable economic development and environmental protection, setting a benchmark for future green mobility initiatives.