India Registered 62 EV Manufacturers Under FAME-II, Parliament Told

India Registered 62 EV Manufacturers Under FAME-II, Parliament Told

The Minister of State for Heavy Industries (MHI), Krishan Pal Gurjar, in a written reply in Parliament stated that, under FAME-II, subsidies of Rs. 5,228.00 crore were disbursed for the increased deployment of Electric Vehicles (EVs) in India. He also told the Lower House that under the scheme, a total of 11,53,079 EVs were sold till 1st December, 2023.

Under FAME-II, no incentive is given to EV manufacturers. The incentive/ concession is provided to consumers (buyers/end users) in the form of an upfront reduced purchase price of hybrid and electric vehicles to enable wider adoption, which will be reimbursed to the OEM (EV manufacturers) by Union government. At present, total of 62 OEMs were registered as on 29.11.2023 to avail demand incentives under the scheme. Total claims submitted on the scheme portal till 15/11/2023 amounted to Rs. 5,094 crores out of which Rs. 3,815 crores have been disbursed so far, the minister told the Parliament. 

Under FAME-II, there is no provision for manufacturing capacity of advanced chemistry cells. Further, the Government on 12thMay, 2021 approved the Production Linked Incentive (PLI) Scheme for ‘Advanced Chemistry Cell (ACC) Battery Storage’ for achieving manufacturing capacity of 50 GWh for enhancing India’s Manufacturing Capabilities with a budgetary outlay of Rs. 18,100 crores. Additionally, 5GWh of niche ACC technologies is also covered under the scheme.

He elaborated that under FAME-II, is mainly focused on supporting electrification of public & shared transportation. It aims to support through demand incentive 7090 eBuses, 5 lakh e-3 Wheelers, 55000 e-4 Wheeler Passenger Cars and 10 lakh e-2 Wheelers. In addition, creation of charging infrastructure is also supported under the Scheme.

In addition to this, he mentioned that the Ministry of Heavy Industries (MHI) sanctioned 6,862 electric buses. A total of 3487 e-buses have been already supplied to the state transport utilities. The MHI formulated Faster Adoption and Manufacturing of Electric Vehicles in India Phase II (FAME India Phase II) Scheme for a period of five years commencing from 1st April 2019 with a total budgetary support of Rs. 10,000 crores.

Under phase-II of FAME India Scheme, subsidy amounting to Rs. 5,228.00 crore has been given to electric vehicle manufactures on sale of 11,53,079 no. of electric vehicles as on 01.12.2023.

The details of sold electric vehicles category wise are as under:

Electric Vehicle Sold Under Different Category

Further, MHI states that, it has sanctioned 6862 electric buses to various cities/STUs/State Govt. entities for intracity operations. Out of 6862 e-buses, 3487 e-buses have been supplied to STUs as on 29thNovember, 2023. Ministry of Heavy Industries has also sanctioned Rs. 800 Cr. as capital subsidy to the three Oil Marketing Companies (OMCs) of the Ministry of Petroleum and Natural Gas (MoPNG) for establishment of 7,432 electric vehicle public charging stations.

The monitoring mechanism include formulation of compliances and getting the vehicles tested through Testing Agencies as per FAME guidelines i.e. adoption of Phased Manufacturing Programme and conditions to avail Demand Incentives. Further, an Inter-Ministerial Empowered Committee “Project Implementation and Sanctioning Committee (PISC)” headed by Secretary (Heavy Industry) has been constituted for overall monitoring, sanctioning and implementation of the scheme.