New Delhi, Feb. 12 -- The national capital, India's largest market for electric buses, has been included in the PM e-Bus Sewa-Payment Security Mechanism (PSM) Scheme that has already onboarded 15 Indian states, two government officials aware of the development said.

The Centre has also released the first tranche of Rs.500 crore for the Rs.3,435.33-crore scheme, envisioned to provide payment security in the event of default by public transport authorities (PTAs) to e-bus bidders, operators, or original equipment manufacturers, the people added, on the condition of anonymity.

The heavy industries ministry's October 2024 scheme aims to accelerate the deployment of 38,000 e-buses.

Mint reported on 25 November 2025 that the 2,800 e-buses al...