320-x-100_uti_gold.jpg" alt="Advertisement">
Government to clear FAME 3 scheme for faster EV adoption in 1-2 months: Minister
Follow us Now on Telegram ! Get daily 10 - 12 important updates on Business, Finance and Investment. Join our Telegram Channel
The Centre is likely to clear the third Faster Adoption and Manufacturing of (Hybrid and) Electric Vehicle (FAME) scheme to further promote electric vehicle (EV) adoption in one or two months, Minister of Heavy Industries, HD Kumaraswamy, said on Wednesday.
The government is reportedly considering a proposal worth Rs 11,500 crore for FAME III with incentives over the two-year period. The scheme is likely to have incentives for electric buses, three-wheelers and two-wheelers.
At the Assocham’s ‘National Conference on Electric Mobility’ here, Kumaraswamy said several suggestions have been received for FAME III and the scheme “will be cleared” within the next two-three months.
The FAME India) scheme was launched in 2015 to promote the adoption of electric/hybrid vehicles (xEVs) in India. Additionally, the programme's outlay was increased from Rs 10,000 crore to Rs 11,500 crore.
Under Phase II of the scheme, claims of 16,71,606 electric vehicles for Rs 6,825 crore have been submitted for reimbursement of subsidy by the OEMs (EV manufacturers).
The Centre said that 6,862 electric buses were sanctioned for intra-city operations under the FAME-II scheme. Out of 6,862 e-buses, 4,853 e-buses have been supplied till July 31.
To further accelerate the adoption of electric vehicles, the government is now planning to launch FAME 3.0.
Meanwhile, the government has approved 50 of the 74 applications it received from automakers for the PLI schemes in the EV sector, and remaining 24 applications are under review. According to approved applicants under the main PLI scheme, investments reached Rs 17,896 crore and incremental sales crossed Rs 3,370 crore (up to March 31).
Among other key initiatives of the ministry are PLI Advanced Chemistry Cell (ACC) scheme with an approved outlay of Rs 18,100 crore for 50 GWh, the Electric Mobility Promotion Scheme (EMPS) scheme with an outlay of Rs 778 crore and the SMEC initiative is aimed at attracting global EV investments with a minimum commitment of Rs 4,150 crore.
Last month, the number of EVs registered in FY24 increased significantly by 42.06 per cent as compared to FY23.
