Three Indian Govt Schemes To Promote Use Of EVs In Country
Shri Krishan Pal Gurjar, Union Minister of State for Heavy Industries today informed the Rajya Sabha in a written reply to a question that three schemes have been formulated by the Ministry of Heavy Industries to promote the use of electric vehicles in the country and to make their manufacturing cost-effective.
Faster Adoption and Manufacturing of Hybrid and Electric Vehicles in India (FAME India): The Government notified Phase II of the FAME India Scheme initially for a period of three years commencing from 1 April 2019 with a total budgetary support of Rs. 10,000 crores. The Scheme was extended for a further period of 2 years up to 31 March 2024. Under FAME-India Scheme phase-II, incentives are provided to buyers of electric vehicles in the form of an upfront reduction in the purchase price of electric vehicles. The incentive is linked to battery capacity i.e. Rs. 10,000/KWh for e-3W and e-4W with a cap of 20 per cent of the cost of the vehicle. Further, the incentives/ subsidies for e-2W have been increased to Rs. 15,000/KWh from Rs. 10,000/KWh with an increase in cap from 20 per cent to 40 per cent of the cost of the vehicle w.e.f. 11 June 2021.
Production Linked Incentive (PLI) Scheme for Automotive Sector: The Government on 15 Sep 2021 approved the PLI Scheme for the Automotive Sector with a budgetary outlay of Rs. 25,938 crores. Electric vehicles are covered under this PLI scheme.
PLI Scheme for Advanced Chemistry Cell (ACC): The Government on 12 May 2021 approved the PLI Scheme for manufacturing of ACC in the country with a budgetary outlay of Rs. 18,100 crores. The scheme envisages to establish a competitive ACC battery manufacturing set-up in the country for 50 GWh. Additionally, 5GWh of niche ACC technologies is also covered under the Scheme.
(PIB)
