Electric bus makers on a roll as states like Maharashtra and Karnataka send in large orders

• Companies manufacturing electric buses including Ashok Leyland, JBM Auto, Olectra Greentech have gained a lot of momentum with the government’s plan towards reducing carbon emissions.
• Shares of these companies have skyrocketed up to 830% in the last one year as investors spot emerging opportunities in the electric vehicle businesses.
• The latest development in the EV space is a $1 billion investment in automaker Tata Motors by private equity firm TPG.

As India moves towards its plan to reduce carbon emissions, companies that are into electric vehicle (EV) manufacturing are becoming the front runners in the zero carbon race.

Even investment firms are shifting some of their funds towards companies aiding the government to tackle the climate crisis and make a smooth transition towards electric vehicles. The latest development in this regard is the $1 billion investment in automaker Tata Motors by private equity firm TPG.

Moreover, state governments are inviting tenders to buy electric buses for public transport facilities. This gives a strong order push to companies manufacturing electric buses like Ashok Leyland, JBM Auto, Olectra Greentech, Tata Motors and Eicher Motors.

Shares of these companies have skyrocketed up to 830% in the last one year as investors spot emerging opportunities in the electric vehicle space.

While India is among the world's most polluted cities, the government has been pushing automakers to switch to EVs to promote clean air and reduce costly oil imports.

Recently, Maharashtra environment minister Aaditya Thackeray announced that Mumbai’s entire public transport buses will go electric by 2028.


Public buses getting replaced by electric buses bring a huge opportunity for these few electric bus makers in the country. Under its EV Policy 2021, the Maharashtra government has embarked on a vision to electrify public transport in Mumbai and other cities including Pune, Nagpur, Nashik, Aurangabad and Amravati.

Meanwhile, the Karnataka government is all set to acquire 1,500 electric buses in the next three years.

Ashok Leyland

The company manufactures automobiles, commercial vehicles, and engines. In 2016, Ashok Leyland debuted its first electric bus. Recently, Ashok Leyland won the Bangalore Metropolitan Transport Corporation tender for 300 non-air conditioned electric buses.

JBM Auto

The Gurugram-based automaker was founded in 1996 with JBM Auto being the flagship company of JBM Group. The company has diversified into bus manufacturing with an aim to become a globally benchmarked producer of modern intra-city buses.

Last month, the company received orders for 500 electric buses and some compressed natural gas (CNG) buses from Delhi, Bengaluru and Uttar Pradesh along with other corporate clients. Besides, it will also be supplying electric buses for Bengaluru Metropolitan Transport Corporation (BMTC).

Olectra Greentech

The Hyderabad-based electric bus and insulator manufacturing company Olectra Greentech is among the leading players in the space. The company has a healthy order book for 1,325 e-buses out of which 87 buses are already delivered. It made a profit of ₹5.65 crore in the June quarter compared to ₹3.26 crore loss in the same quarter last year.

Besides, the company’s stock has created immense wealth for investors in the last one year as it surged over 800%.

Tata Motors

Tata Motors seems to be ahead of everyone with its latest $1 billion investment from US based private equity TPG for electric vehicle business. In August, the company delivered 35 Starbus electric buses, as a part of the larger order of 340 electric buses to Maharashtra’s transport department.

Eicher Motors

In 2008, Eicher Motors collaborated with Volvo Group for selling trucks and buses under company name VE Commercial Vehicles. The company debuted with an EV bus named “Skyline Pro” in 2018. Since then, the company has been actively participating in tenders floated by various state transport undertakings and other government agencies.

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