Asian Development Bank (ADB), Asian Infrastructure Investment Bank (AIIB), and Clean Technology Fund (CTF) have provided $55 million in financing to electric bus manufacturer GreenCell Express to develop 255 battery-powered electric buses (e-buses).
Additionally, it will receive grants totalling $325,000 from the Climate Technology Fund (CTF) and $5.2 million from the Climate Innovation and Development Fund of Goldman Sachs and Bloomberg (CIDF). According to the announcement, the decarbonization of 100 e-buses using solar power and battery energy storage systems will be partially funded by this CIDF grant.
Over 600 e-buses are currently in operation across 21 cities as part of GreenCell’s 1,400 e-bus projects implemented in Maharashtra, Gujarat, Uttar Pradesh, New Delhi, and Madhya Pradesh. Also, it plans to serve 5 million people annually on 56 intercity routes around India. It wants to increase passenger safety by adding new security systems like cameras, tracking, and panic buttons connected to command controls for quick response.
“With GreenCell Express Private Limited (GEPL) offering, we bring to the intercity bus travel segment electric buses that reinforce safe, seamless travel experience for new age Indian travellers, especially our women,” said Sumit Mittal, Chief Operating Officer (COO) & Director- Finance, GreenCell Mobility.
GreenCell Mobility Private Limited (GreenCell), a platform company of Green Growth Equity Fund (GGEF), owns all of the shares of GEPL. GGEF is an Indian alternative investment fund run by EverSource Capital to attract institutional funding for the country’s green infrastructure.
“Electrifying transportation is a key driver of reducing greenhouse gas emissions in our cities. This funding accelerates our agenda of promoting and investing in clean and sustainable businesses in India to achieve India’s climate objectives and Sustainable Development Goals,” said EverSource Capital Managing Director and Chief Executive Officer (CEO) Dhanpal Jhaveri.