Mumbai, May 14 -- The share of electric buses in new bus sales in India is expected to reach 35-40 percent by FY2035, from the current level of around 7 percent states a recent report titled 'Electrifying India's Bus Industry - The Decade of Transformation' by KPMG.

It indicates that the bus sector is entering a phase of structural change with the shift being driven by urbanisation, sustainability commitments and government-led mobility initiatives.

The report notes that the Indian bus market, which typically averages 35,000 to 50,000 units annually, is transitioning due to electrification and infrastructure investment. Buses currently account for nearly 57 percent of passenger-kilometres travelled in the country. Data shows that 16,300...