The new UDF government in Kerala, led by Transport Minister CP John, has initiated steps to secure 950 electric buses under the central PM e-bus scheme. The previous LDF government had rejected the same offer in 2024, with then Transport Minister K P Ganesh Kumar claiming the state had enough buses.

Under the scheme, private companies provide the buses along with drivers and maintenance. The central government contributes ₹22 per km, while the state pays ₹32 per km, totalling ₹54 per km operating cost. The state is responsible for providing conductors. The buses come with a 12-year maintenance guarantee and can run up to 350 km on a single charge.

The previous government instead purchased 145 diesel buses and tendered for 180 more, despite diesel buses costing ₹51 per km to operate compared to just ₹27 per km for e-buses. Critics allege the rejection was due to the loss of purchase commissions that would have come with diesel bus deals.

The distribution plan includes 150 e-buses each for Kochi and Kozhikode, 100 each for Thiruvananthapuram, Kollam, Thrissur, Malappuram, and Kannur, and 50 each for Cherthala, Kayamkulam, and Kottayam.

Transport Minister CP John has directed KSRTC to urgently submit the file to the Centre to revive the proposal. The central scheme also covers charging infrastructure, insurance, and taxes as part of the operator’s responsibility. Other states like Karnataka and Tamil Nadu have already received their e-buses under the same scheme, with Bengaluru alone running over 1,400 e-buses.