The Maharashtra government has scrapped a ₹10,000 crore contract with Olectra Greentech Ltd and Evey Trans Pvt Ltd for failing to meet delivery deadlines on a major electric bus project. The contract, signed in July 2023, aimed to add 5,150 electric buses to the Maharashtra State Road Transport Corporation (MSRTC) fleet over two years, starting from November 2023.
As of May 2025, only 240 buses had been delivered, far short of the revised target of 1,000. In response, Transport Minister and MSRTC Chairman Pratap Sarnaik ordered the cancellation of the deal. MSRTC had previously issued seven show-cause notices and levied penalties totaling ₹4 crore due to repeated delays and breaches of contract.
The agreement was one of the largest of its kind globally, designed to boost sustainable public transport across the state. However, the consortium’s failure to meet timelines has sparked doubts about its capacity to deliver on such large-scale commitments.
Olectra Greentech responded by stating they had not yet received formal notice of the contract’s termination. The company reaffirmed its dedication to providing eco-friendly and cost-effective transport solutions.
The episode highlights the critical importance of dependable partnerships and strict compliance with deadlines in the transition to electric mobility.
