Government Allocates Rs. 5,294 Crore Subsidy for Sale of 11,79,669 EVs in FAME II Scheme by December 11, 2023
India’s Ministry of Heavy Industries helped get more electric vehicles (EVs) on the road. They supported this by giving money to encourage people to buy EVs. In a program called FAME India, they provided a big subsidy of Rs. 5294.00 crore. With this help, 11,79,669 EVs were sold, including 10,42,110 two-wheelers, 1,22,690 three-wheelers, and 14,869 four-wheelers.
Moreover, The government approved 6862 electric buses for city use, and by November 29, 2023, they’d already given 3487 of these buses to State Transport Undertakings (STUs). To support charging these buses, they’ve set aside Rs. 800 crore to help three Oil marketing Companies set up 7432 public charging stations.
To help make more high-tech cars and batteries in our own country, the government has set up two plans that offer benefits to companies. One plan gives money incentives for selling electric cars and parts, while the other supports making big battery factories for advanced technology. The first plan, called PLI Scheme for the Automobile and Auto Component Industry, has a budget of Rs. 25,938 crore and offers financial rewards up to 18% for selling electric vehicles and their parts. The second plan, ‘National Programme on Advanced Chemistry Cells (ACC) Battery Storage,’ has a budget of Rs. 18,100 crore to encourage building large-scale battery factories for advanced tech.
The Ministry’s multifaceted approach underscores its commitment to driving sustainable and widespread EV adoption across the nation. The overarching FAME India Phase II Scheme, which will run for five years starting on April 1, 2019, with budgetary support of Rs. 10,000 crore, focuses on electrifying public and shared transportation. The scheme aims to incentivize 7090 e-buses, 5 lakh e-3 wheelers, 55,000 e-4 wheeler passenger cars, and 10 lakh e-2 wheelers, along with supporting the creation of necessary charging infrastructure.