Rs 5,294 cr subsidy provided to EV makers under phase-II of FAME scheme: Centre – EQ
In Short : The Indian government has reportedly provided a subsidy of Rs 5,294 crore to electric vehicle (EV) manufacturers under the second phase of the Faster Adoption and Manufacturing of Hybrid and Electric Vehicles (FAME) scheme. This initiative aims to promote the adoption of electric vehicles and contribute to sustainable and cleaner mobility in the country.
In Detail : New Delhi [India] : The Ministry of Heavy Industries has given a subsidy amounting to Rs 5,294 crore to electric vehicle manufacturers on the sale of 1.1 million electric vehicles under phase-II of ‘Faster Adoption and Manufacturing of (Hybrid &) Electric Vehicles in India’, Minister of State for Heavy Industries Krishan Pal Gurjar said in a written reply in Rajya Sabha on Monday.
Further, the minister said his ministry sanctioned 6,862 electric buses to various cities, its transport corporations, and other government entities for intracity operations. Out of 6862 e-buses, 3487 e-buses have been supplied to state transport corporations.
The Ministry of Heavy Industries has also sanctioned Rs 800 crore as a capital subsidy to the three state-owned Oil Marketing Companies (OMCs) for the establishment of 7,432 electric vehicle public charging stations.
Further, the Ministry of Heavy Industries has launched two production-linked incentive schemes to promote domestic manufacturing of advanced automotive technology products including electric vehicles and advanced chemistry cells.
Production Linked Incentive (PLI) Scheme for Automobile and Auto Component Industry was announced with a budgetary outlay of Rs 25,938 crore. The scheme provides incentives up to 18 per cent of eligible sales of electric vehicles and their components.
The government had approved the Production Linked Incentive (PLI) scheme on Advanced Chemistry Cells (ACC) Battery Storage for manufacturing of Advanced Chemistry Cell (ACC) in the country with a budgetary outlay of Rs 18,100 crore.
The scheme incentivises the establishment of Giga scale ACC manufacturing facilities in the country for 50 Giga Watt hour (GWh). These ACCs will be used in batteries which are aimed to promote the widespread adoption of electric vehicles.
