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Govt may blacklist Tata Motors for delaying E-bus deliveries

 Tata Motors in March 2018, had won a contract for supplying 40 electric buses each to the cities of Guwahati, Kolkata, Jaipur, Jammu & Kashmir, and Lucknow, the deadline of which according to the report has been missed.



twitter-logo BusinessToday.In        Last Updated: April 4, 2019  | 15:07 IST
Govt may blacklist Tata Motors for delaying E-bus deliveries
Tata Motors may get blacklisted by the government for delaying the delivery of e-buses to transport departments of six cities.

Tata Motors may get blacklisted by the government for delaying the delivery of e-buses to transport departments of six cities.

The automobile manufacturer has been pulled up by the government for failing to honour the deadline regarding the timely deliveries of the vehicles along with a warning that it could be proscribed from getting future contracts under FAME II if the dispatches are not expedited.

The said deliveries have been delayed on account of battery issues and lags in the manufacturing process, an ETAuto report said.

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Tata Motors in March 2018, had won a contract for supplying 40 electric buses each to the cities of Guwahati, Kolkata, Jaipur, Jammu & Kashmir, and Lucknow, the deadline of which according to the report has been missed.

The automobile manufacturer had been awarded the contract to supply e-buses to the above six cities under the first phase of Faster Adoption and Manufacturing of Hybrid and Electric Vehicles in India (FAME India) scheme by different state governments.

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The Centre under the FAME India scheme gave a 60 percent subsidy to states to procure e-buses either as outright purchases or on a supply-operate basis. However, the states now stand to lose the subsidy if these e-vehicles are not secured in time.

Also Read: No production of Tata Nano for third month in row, no sales in March

The Madhya Pradesh government has already issued a notice to Tata Motors with regards to delay in the said deliveries, an official from the Indore City Transport Department told the news website. Meanwhile, other states have also imposed liquidated damages on the automobile manufacturer for the hold-up.

The Uttar Pradesh Transport Department Directorate is also reported to have levied a Rs 3.42 crore fine on Tata Motors for not supplying the e-buses to the Lucknow transport department.

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Also Read: Cabinet clears Rs 10,000 crore FAME II scheme to promote EVs, hybrid vehicles

(Edited by Manali)

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