New Delhi, Feb. 17 -- The ministry of heavy industries (MHI) has approved subsidies for 9,800 e-buses under the PM E-drive scheme in Bengaluru and Hyderabad, according to two people aware of the development.

The Centre has approved Bengaluru's demand for 7,000 e-buses and Hyderabad's demand for 2,800 such buses, the people said.

This comprises around 70% of the government's target to subsidise the procurement of 14,028 e-buses in nine metro cities by FY26 under the Rs.10,900-crore PM E-drive scheme.

With an outlay of Rs.4,391 crore, the e-bus subsidy allocation comprises about 40% of the scheme's allocation and forms the biggest share of the PM E-drive scheme.

The ministry of heavy industries is waiting for demand certificates from ot...