Exploring Maharashtra’s ambitious E-bus rollout plans
With the Maharashtra State Road Transport Corporation (MSRTC) observing its 75th anniversary in June 2023, its motto— ‘Gaav tithe rasta, rasta, tithe ST’, meaning ‘Where there is a road, there is state transport’—has truly stood the test of time.
In 75 years of operations, its ever-growing fleet of over 15,000 buses has relentlessly served every nook and corner of the state, operating nearly 60 lakh kilometres per day. And as it heads into its centenary years, the Corporation has decided to make another ambitious leap – to electrify its fleet. It is in this light, that we look at the Corporation’s plan to electrify 25% of its rural bus fleet, with the addition of 5,150 new electric buses (e-buses) —unheard of in India’s state road transport landscape.
Why is this important?
To put this achievement in perspective, traditionally, Indian State Transport Undertakings (STUs) have focused on electrifying city (urban) bus fleets due to the ease and cost-efficiency of setting up urban charging infrastructure. In this context, MSRTC’s decision to order 5,150 e-buses for rural operations is groundbreaking, rooted in this simple but uncommon logic—Why can’t citizens from rural areas, who serve as a backbone to Maharashtra’s economy, enjoy the same quality of service with AC e-buses as citizens in cities?
This bold move by MSRTC has not only positioned it as a pioneer but has also provided a blueprint for other STUs looking to undertake similar electrification interventions in the future.
So, how did MSRTC begin this transformation journey for its iconic red buses known as the Red Fairy or Laal Pari?
How it all began
While electrification started with the procurement of 150 e-buses under the FAME II scheme in 2021, the true push for transitioning at this scale came with the Bombay High Court (HC) appointing a High Power Committee in 2022 to revive the operations of MSRTC. The committee submitted a revival plan to the Bombay HC which was subsequently approved. This particular plan outlined the need to scale up MSRTC’s fleet size from its existing 15,000 buses to 22,000 buses within just three years by the year 2025.
To achieve this, MSRTC opted for the Public-Private Partnership (PPP) model. The Corporation developed a plan to stagger purchasing of e-buses in two segments—5,150 e-buses and 500 diesel buses on Gross Cost Contract (GCC), and another 2,200 diesel buses on outright purchase.
This incorporation of 5,150 e-buses will also help them achieve a significant fleet electrification target above 25% by 2025, which aligns with the state electrification policy.
Lessons from MSRTC’s Journey
While the intent was set right from 2022, there are many lessons to be learned from the MSRTC’s journey, which was not without its challenges. Being one of the first STUs to take up electrification, the path towards it was lesser known.
- Ensuring manufacturers customise bus body specifications for rural needs
When MSRTC set out to procure e-buses for district operations in 2022, no manufacturer was making e-buses to cater to the specific needs of rural operations. Majority of the e-buses were being manufactured for urban settings.
The Corporation then sought specific models of buses, by adding clauses in the tender for bus body specifications under AIS (Automotive Industry Standards) 34, 52, 153, 140 that have regular floor design and good ground clearance unlike some of the existing variants. This ensured that these e-buses were built with robust quality to navigate to navigate the narrow roads and difficult terrains in rural areas, where roads may not be in the best conditions.
- Identifying the right types of buses
While district and rural buses serve as the backbone of Maharashtra, serving the routes with medium to low demand with e-buses had to be taken up tactfully. To ensure that the buses procured do not end up running empty, MSRTC decided to procure two types of buses, keeping in mind traffic demand, ridership patterns, load factors, and headway.
The first type was 12m buses; – 2,800 of the total consignment were of this dimension. These buses are primarily tailored for high-traffic and high-demand scenarios, earmarked for express routes connecting major districts, metropolitan cities, and prominent pilgrim and tourist destinations.
The second type was 9m buses, totaling 2,350 vehicles, specifically allocated for with mid to low demand routes, emphasising connectivity between district headquarters, taluk-level towns, and villages. These routes often serve as vital lifelines for residents in more remote areas.
3. Selecting strategic locations for charging infrastructure
One significant challenge was selecting locations for charging infrastructure. Not all depots could support EV charging infrastructure due to high costs and power supply issues.
Thus, MSRTC chose depots based on these three criteria: depots with existing operations, ideally located to minimise dead kilometres, and those in close proximity to high-tension power supply lines.
By selecting depots that fulfilled these three criteria, they could reduce cost for extensive new electrical infrastructure development. Furthermore, depots with overnight bus parking facility for maintenance were also prioritised.
The depots were also given e-buses in a staggered manner to address any potential operational disruptions due to power supply failures. MSRTC decided that at any point, only 30%-50% of the selected depot fleet will be electric, while the remaining 70%-50% will consist of Compressed Natural Gas (CNG)/Liquefied Natural Gas (LNG) and diesel buses, serving as backup. However, in bigger cities where multiple depots are in proximity to one another, MSRTC intends to develop a few depots as 100% electric depots.
The total cost associated with this process is estimated at INR 650 crores, for which, MSRTC has sought financial assistance from the state government.
- Selecting the optimum routes to ensure success
While e-buses are a sustainable choice for the future, to ensure financial viability, the route selection was a meticulous process.
MSRTC developed a strategy that focused on electrifying routes with the highest ridership, high earnings per kilometre, and the lowest bus replacement ratio. The effort to identify such routes was entirely in-house, drawing upon the extensive ground-level expertise and insights from various divisions within the Corporation.
Future of the Red Fairy
The discourse of sustainable transport often focuses solely on urban areas and their residents, highlighting the need for infrastructure like electric buses, cycling tracks, e-vehicles, and so on.
However, with this one initiative, MSRTC has ensured that an entire generation of citizens from rural areas of Maharashtra will have their first experience in smooth, electric buses rather than noisy diesel-powered ones. This shift has the potential to redefine their perspective on the true benefits of a bus- a mode they will use not out of compulsion, but by choice.
As MSRTC moves forward with an alternative fuel strategy beyond electrification, by adding 50 CNG buses to its fleet and retrofitting 6,000 existing diesel buses to operate on LNG and CNG, the move could further push the cause of clean air in rural areas.
MSRTC’s overall shift to a Gross Cost Contract model for the 5,150 new e-bus and 500 diesel buses, will also enable it to achieve cost efficiency, something which all STUs are aiming for in the long run. The model helps to mitigate the risks associated with heavy up-front capital investment because the actual purchase of buses is not their responsibility and maintenance expenses e are also taken care of by the contractors.
With such multi-pronged reforms in place, MSRTC could set a steady course for the next few decades riding on the e-red fairy and being a role model for other transport operators across the country.
For more insights read the detailed report
Written by Donita Jose, Senior Associate, Communications and Development, ITDP India
With Technical Inputs from Aditya Rane, Senior Associate – Transport Systems and Electric Mobility, ITDP India