A Scheme to induct over 20,000 city buses in 5 lakh plus cities including Hilly/ UT/ North East State capital cities (total: 111) will be launched to strengthen organized city bus services, improve urban mobility and ease in living. Scheme components include procurement, for city operations, of all types of new buses with clean fuel (excluding hybrid/ battery electric buses already covered under the FAME Scheme of Deptt of Heavy Industries (DHI)), associated infrastructure and opex support for a period of 5 years after procurement. An outlay of about ₹15,000 cr has been kept for this Scheme. It will boost automobile industry, generate direct/ indirect employment and facilitate the cities to adhere the Covid-19 guidelines i.e. social distancing in urban transport. Scheme will promote public transport, help in reducing congestion, pollution and accidents and promote clean air in these cities.
