The Tamil Nadu State Transport Corporation (TNSTC), Coimbatore Region, is preparing to introduce 75 electric buses following the 2025-26 State Budget announcement. To support this transition, the corporation is assessing the feasibility of installing EV charging stations at two key locations: Ondipudur and Sungam depots.
Charging Infrastructure and City Operations
According to officials, since electric buses have a limited range, they will primarily be used for city services rather than long-distance routes. The installation of charging stations is part of a depot modernization project, funded through an agreement between the Government of Tamil Nadu and Germany-based Kreditanstalt für Wiederaufbau (KfW). The initiative aims to promote climate-friendly urban transportation across major cities in the state.
The 2025-26 budget has allocated funding for a total of 950 electric buses in Chennai, 75 in Coimbatore, and 100 in Madurai. A designated operator will be identified to manage the new fleet, and there are no plans to increase manpower for operating these buses.
Government Support for E-Bus Expansion
The introduction of electric buses aligns with national initiatives to expand sustainable public transport. The PM e-Bus Sewa Payment Security Mechanism (PSM) scheme, launched on October 28, 2024, with an outlay of ₹3,435 crore, aims to deploy over 38,000 electric buses across India. This scheme ensures payment security for e-bus operators in case of delays or defaults by Public Transport Authorities (PTAs).
Additionally, the Ministry of Power, on September 17, 2024, issued revised guidelines under the “Guidelines for Installation and Operation of Electric Vehicle Charging Infrastructure – 2024”. The Sulur and Ondipudur depots will set up their charging stations following these new protocols to create an efficient and interoperable EV charging network.
Policy Incentives for EV Adoption
Various ministries are actively supporting the shift towards electric mobility:
The Ministry of Finance reduced GST on EVs from 12% to 5% to make them more affordable.The Ministry of Road Transport and Highways (MoRTH) introduced green license plates for battery-operated vehicles and exempted them from permit requirements.
States have been advised to waive road tax on EVs, further promoting adoption.With these developments, Coimbatore is set to enhance its public transport infrastructure, making it more eco-friendly and sustainable for the city’s growing needs.
