India’s electric bus (e-bus) market has rebounded strongly, registering a 37% year-on-year growth to 2,241 units in the first half of FY26 (April-September 2025), according to data from the Vahan dashboard analyzed by Livemint and Sustainable Bus. This marks a reversal from the marginal decline in FY25, driven by robust demand in states like Delhi, Tamil Nadu, Maharashtra, and Odisha, where public transport electrification is accelerating under schemes like PM-eBus Sewa. For urban planners, EV manufacturers, and policy experts searching India electric bus sales H1 FY26, e-bus growth Delhi Tamil Nadu, or Olectra PMI e-bus market, the surge—led by Olectra Greentech and PMI Electro Mobility—highlights India’s push toward sustainable mobility, with 4% of annual bus registrations now electric. Total e-bus sales reached 2,100 units in H1 calendar 2025 (January-June), up 33% from 1,571 units, per Sustainable Bus, signaling a market poised for 20% CAGR through 2029. As the government tenders for 10,000 e-buses under PM-eBus Sewa, projections estimate 2.48 billion USD by FY29, though challenges like charging infrastructure persist.
Delhi alone accounted for a significant share, with sales quadrupling in some metrics, underscoring state-led initiatives’ impact.
State-Wise Growth: Delhi, Tamil Nadu Lead the Rebound
The 37% H1 FY26 growth (2,241 units vs. 1,635 in H1 FY25) was propelled by key states, with Delhi emerging as the frontrunner amid aggressive public transport electrification.
- Delhi: Sales quadrupled to 1,000+ units, driven by DTC’s 1,800 e-bus tender and FAME-II subsidies.
- Tamil Nadu: Up 50% to 500 units, with MTC adding 300 e-buses.
- Maharashtra: 30% rise to 400 units, focused on Mumbai and Pune metro fleets.
- Odisha: Quadrupled to 125 units from 31, via state tenders.
Other states like Karnataka and Gujarat contributed 200 units combined.
| State | H1 FY25 Sales | H1 FY26 Sales | YoY Growth |
|---|---|---|---|
| Delhi | 250 | 1,000+ | +300% |
| Tamil Nadu | 333 | 500 | +50% |
| Maharashtra | 308 | 400 | +30% |
| Odisha | 31 | 125 | +300% |
| Total | 1,635 | 2,241 | +37% |
Market Leaders: Olectra and PMI Dominate
Olectra Greentech and PMI Electro Mobility led with 40% market share, supplying 900 units combined. Switch Mobility and Tata Motors followed with 300 and 250 units.
- Olectra: 500 units, boosted by Delhi and Tamil Nadu tenders.
- PMI: 400 units, focusing on mid-size cities.
- Projections: 3.6-fold growth to 8,000 units in FY27, per CareEdge.
Policy Boosts and Challenges Ahead
The PM-eBus Sewa scheme, tendering 10,000 e-buses, and FAME-III incentives (up to 40% subsidy) fuel growth. However, infrastructure gaps—only 5,000 public chargers vs. 50,000 needed—pose hurdles.
- Opportunities: Rs 1.17 billion market in FY25, growing to Rs 2.48 billion by FY29 (20.66% CAGR).
- Challenges: High upfront costs (Rs 2-3 crore per bus) and grid strain.
Conclusion: India’s E-Bus Momentum Accelerates
India’s 37% e-bus sales growth to 2,241 units in H1 FY26 signals a green transport shift, led by Delhi and Olectra. As PM-eBus rolls out, the market gears for 8,000 units in FY27. For sustainability, it’s a charge forward—will infrastructure keep pace? The buses roll green. mint
