PM Narendra Modi launched new PM E-DRIVE Scheme to boost EV adoption in India
The Indian goverment has taken a bold step towards a sustainable and electric mobility future for India and making it widely accessible for the citizens.
The government provides to companies by several subsidy schemes. Among the was the FAME and FAME II subsidies, the Modi government has renewed the old scheme and gave a green flag for the new PM E-Drive Scheme.
New PM E-Drive Scheme
The new PM E-Drive Scheme (PM Electric Drive Revolution in Innovative Vehicle Enhancement Scheme aims to promote electric mobility in India. The cabinet has approved this new scheme with a budget of Rs. 10,900 Crore which the government plans to distribute over the coming two years.
This new scheme was first proposed by the Ministry of Heavy Industries which aims to boost the EV development and adoption and improve the overall infrastructure in India.
New Announcement from Nitin Gadkari
Minister of Road Transport and Highways, Nitin Gadkari announced this scheme via his LinkedIn. The new scheme offers subsidies for electric two-wheelers, three-wheelers, ambulances, trucks, buses, and offer various e-vouchers for the EV buyers.
The new scheme includes Rs. 2,000, aiming to improve the charging infrastructure with 48,000 fast chargers for electric two and three wheelers, 22,100 fast chargers for electric four-wheelers and 1,800 fast chargers for e-buses.
The government will also prioritize to scrap old vehicles and allocate Rs. 500 for electric trucks aligning with government’s new Vehicle Scrapping Policy.
New E-Voucher System and Purchase Process
The PM E-DRIVE Scheme offers a Aadhaar-authenticated e-voucher system via scheme’s online portal. The new system allows the subsidies to be sent directly into the buyer’s bank account via their registered mobile number. The new scheme also offers a streamlined purchase process to boost EV adoption.
Focus on E-Ambulances & Budget for e-Buses
The new PM E-Drive Scheme will also promotes e-ambulances via their new budget allocation of Rs. 500 Crore. It will offer more eco-friendly transportation option for the healthcare sector, collaborating with the Road Transport & Highways Ministry.
The new scheme also allocated Rs. 4,391 Crore to procure new 14,028 electric buses in the country. It will target several big cities such as Delhi, Mumbai, Kolkata, Bengaluru, and Chennai. It will also offer scrapping the old vehicles and prioritize new e-buses in the cities.
New Incentives for Electric Trucks & Improved Charging Infrastructure
In order for reducing the emisions with the use of heavy vehicles, the new PM E-Drive Scheme offers incentives of Rs. 500 Crore for the purchase of electric trucks. Truck buyers can avail these benifits with scrapping certificated with government authorized centres.
Along with that, the new scheme also allocated Rs. 2,000 Crore for the development and improvement of India’s current charging infrastructure. It will help buyers to reduce range anxiety with installing more electric chargers for both two or three wheeler and four-wheelers.
This scheme will help to install 48,000 fast chargers for electric two and three wheelers, 22,100 fast chargers for electric four-wheelers, and other 1,800 fast chargers for e-buses. These fast chargers will be installed in cities with the most EV presence along with major highways and long-distance travel.
New E-Drive Scheme to Modernize Vehicle Testing Agencies
The new PM E-Drive will also allocate additional Rs. 780 Crore to modernize vehicle testing agencies which comes under the Ministry of Heavy Industries. It also offers more equipment and ease of access of these agencies and certify enhanced safety, reliability, and improve industry standards in vehicle safety and quality.