Megha Group unit has delivered less than 10% of Mumbai EV bus order year after deadline: Report

The company said that it was facing problems procuring raw materials in time due to the tensions between India and China.

Jul 5, 2024 - 15:30
Megha Group unit has delivered less than 10% of Mumbai EV bus order year after deadline: Report

A subsidiary of Megha Engineering and Infrastructure Limited, has supplied only 185 out of 2,100 electric buses that were to be delivered before August 2023 to the Brihanmumbai Electric Supply and Transport Undertaking, an autonomous body under Mumbai’s civic corporation, reported The Indian Express on Friday.

The subsidiary, EveyTrans Private Limited, received the work order in May 2022. According to the response received on a Right to Information application by the newspaper, it delivered 20 buses in 2022, 72 buses in 2023 and 93 buses this year till July 4.

On Friday, The Indian Express reported that the 15th finance commission had allocated Rs 620 crore to the Brihanmumbai Municipal Corporation for air quality management over three years. Of the total, the civil body sanctioned Rs 493 crore to the Brihanmumbai Electric Supply and Transport Undertaking.

The civic transport and electricity provider, however, spent only Rs 205.8 crore towards advance payment to EveyTrans, according to the newspaper.

Officials of the Brihanmumbai Electric Supply and Transport Undertaking told the newspaper that the payments are staggered as the buses are being delivered in a phased manner.

“The rules state that 20% of manufacturing cost should be paid to the agency in advance after the work order is issued,” the newspaper quoted an unidentified official as saying. “Following this,...

Read more