Maharashtra Transport Minister Revives E-Bus Contract With Evey Trans, Warns Against Further Delays

Maharashtra Transport Minister Pratap Sarnaik on Friday directed Evey Trans Pvt. Ltd. to resume and ensure the timely delivery of electric buses under a revised schedule, reviving a previously stalled contract. The move comes just days after the minister had instructed Maharashtra State Road Transport Corporation (MSRTC) officials on May 26 to cancel the agreement due to non-compliance.

The directive issued Friday during a high-level review meeting held at the Mantralaya, aimed at expediting the state’s electric mobility initiatives. Present at the meeting were Additional Chief Secretary Sanjay Sethi, MSRTC Managing Director Dr. Madhav Kusekar, and Evey Trans representative K. V. Pradeep, among other senior officials.

Under the original contract, Evey Trans Pvt. Ltd. is to lease 5,150 electric buses to the MSRTC. However, only 220 buses have been delivered so far. According to sources, the company halted further supply citing outstanding dues of around Rs 40 crore. 

Minister Sarnaik, while emphasizing the urgency of meeting public transport needs, instructed the company to adhere to the revised delivery schedule. “The remaining buses must be supplied without further delays. The state cannot afford to compromise on sustainable and efficient transport services,” he said.

Highlighting the financial strain caused by the delay, Sarnaik noted that the corporation is incurring operational losses of Rs 12 per kilometer for 12-meter buses and Rs 16 per kilometer for 9- meter buses—figures that could lead to a projected total loss of Rs 3,191 crore over time. To mitigate these losses, he called for a proposal for Viability Gap Funding (VGF) to be submitted to the state government.

According minister, so far, the state has paid Rs 60 crore to Evey Trans from revenue generated by the electric buses, with an additional Rs 40 crore slated for disbursal soon. A department-wise revenue accounting system has also been set up to streamline future payments.

To address the broader financial and logistical challenges facing the electric bus initiative, Minister Sarnaik stated that he is planning to organize a high-level meeting with Chief Minister Devendra Fadnavis, Deputy Chief Minister Eknath Shinde, and Deputy Chief Minister Ajit Pawar in the coming days to resolve the financial issues.

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