- The Government notified Faster Adoption and Manufacturing of Electric Vehicles in India Phase II (FAME India Phase II) Scheme with a budgetary outlay of Rs. 10,000 crore for a period of five years commencing from 1stApril, 2019 to promote hybrid/ electric technology in transportation so as to reduce dependency on fossil fuels and to address issues of vehicular emissions. As far as e-Buses, electric three wheelers (e-3W) and electric four wheelers (e-4W) are concerned, the scheme provides subsidy to those vehicles which are used in public transportation or for commercial use. For electric two wheelers (e-2W), privately owned vehicles are also provided with subsidy.
FAME II intends to support 7,090 e-Buses, 5 lakh e-3 Wheelers, 55,000 e-4 Wheeler Passenger Cars (including Strong Hybrid) and 10 lakh e-2 Wheelers. Further details about the FAME II India scheme can be seen on the website at https://heavyindustries.gov.in/fame-ii.
- The Government on 12thMay 2021 approved Production Linked Incentive (PLI) scheme, ‘National Programme on Advanced Chemistry Cells (ACC) Battery Storage’ in order to promote manufacturing in the country. The budgetary outlay of the scheme is Rs. 18,100 crores. The scheme envisages to establish a cumulative ACC battery manufacturing capacity of 50 GWh. The details of the scheme may be seen at https://heavyindustries.gov.in/pli-scheme-for-national-programme-on-advanced-chemistry-cell-acc-battery-storage.
- Production Linked Incentive (PLI) Scheme for Automobile and Auto Component Industry with a budgetary outlay of Rs. 25,938 crore provides financial incentives to boost domestic manufacturing of Advance Automotive Technologies (AAT) products (including electric vehicles and their components).The details of the scheme may be seen at https://heavyindustries.gov.in/pli-scheme-automobile-and-auto-component-industry.
Scheme has been formulated by the Ministry of Heavy Industries and NITI Aayog on subsidy or loan at low-interest rate on electric vehicles to promote the sale of the electric vehicles.
However, incentives/subsidies are being provided to buyers of electric vehicles in the form of an upfront reduction in the purchase price of electric vehicles under Phase-II of FAME-India Scheme. The incentive is linked to battery capacities i.e., 10,000KWh for e-3W and e-4W with a cap 20% of the cost of vehicle. Further, the incentive/subsidies for e-2 wheeler has been fixed @10,000/- per KWh with cap 15% of the cost of vehicle w.e.f., 01.06.2023.
The information regarding manufacture of electric vehicles is not maintained by the Ministry. The data regarding the number of sold vehicles in India including electric and petrol/diesel vehicles (as per information from Ministry of Road Transport and Highways, MoRTH), is annexed.
