Best-Eveytrans Subsidy Dispute Halts 2,100 Electric Bus Deliveries In Mumbai
A subsidy payment dispute has disrupted BEST’s 2,100 electric bus contract after supplier EveyTrans said it cannot continue deliveries beyond 686 buses due to financial stress. The company claimed it received subsidies for only 10 buses despite supplying hundreds. It has proposed exiting the contract while continuing a separate 2,400-bus order under revised delivery timelines.
Best-Eveytrans Subsidy Dispute Halts 2,100 Electric Bus Deliveries In Mumbai | FPJ Photo
Mumbai: A major subsidy payment dispute has emerged between BEST and electric bus supplier EveyTrans, with the company informing the civic transport undertaking that it cannot continue deliveries under the 2,100 electric bus contract beyond the 686 buses already supplied. The company has cited severe financial stress caused by non-receipt of subsidy payments for most of the buses delivered under the project.
Only 10 buses got ₹15 lakh subsidy each
According to sources, the 2,100-bus contract was structured with a subsidy component of ₹15 lakh per electric bus. However, despite supplying 686 buses, EveyTrans has reportedly received subsidy payments for only 10 buses. The company has argued that the delay in subsidy disbursal has significantly impacted its cash flow and made it financially unviable to continue executing the contract in its present form.
To address the situation, EveyTrans has submitted a proposal to BEST seeking permission to discontinue further deliveries under the 2,100-bus agreement. At the same time, the company has reaffirmed its commitment to the separate 2,400 electric bus contract, which does not carry any subsidy component. Under the proposal, EveyTrans has offered to begin deliveries from August 2026 with 50 buses per month, gradually increasing the supply to 100 buses per month.
ALSO READ
Existing charging infrastructure to be used
Sources said the proposal also seeks utilisation of the charging infrastructure that has already been created for the combined requirements of both contracts. The company believes this arrangement will allow the ongoing expansion of Mumbai's electric bus fleet without additional infrastructure investments.
The issue is significant because BEST's electric bus expansion plans depend heavily on timely deliveries from suppliers. Any disruption in procurement could affect fleet augmentation and the city's transition towards cleaner public transport.
EveyTrans has maintained that it remains committed to working with BEST to find a mutually acceptable solution. The proposal is currently under examination by BEST, and a decision is expected after discussions between both sides.
To get details on exclusive and budget-friendly property deals in Mumbai & surrounding regions, do visit: https://budgetproperties.in/
RECENT STORIES
-
-
-
-
-