GreenCell Mobility, an electric mobility firm, has obtained Rs 3.07 billion in green financing from the Japan-based Sumitomo Mitsui Banking Corporation (SMBC). The aim is to install a fleet of 350 electric buses across eight cities in Uttar Pradesh.
Throughout the course of a 10-year concession agreement with the Uttar Pradesh government, the loan from SMBC will make it easier to purchase, run, and maintain GreenCell’s 9-meter pure electric air-conditioned buses. The fleet is part of the Faster Adoption and Manufacturing of (Hybrid &) Electric Vehicles (FAME II) government programme.
The project offers a fixed per-kilometer fee, minimising traffic-related risks and providing a steady revenue stream, similar to an annuity. The e-bus fleet is expected to lower carbon emissions by around 235,000 tonnes over the duration of the contract.
