Promotion of Electric Vehicles
In order to promote manufacturing of electric and hybrid vehicle (xEV) technology and to ensure sustainable growth of the same, the Government notified FAME-India Scheme (Phase-I) w.e.f. 1stApril 2015 for a period of 2 years with a total outlay of Rs. 795 Crore. The Phase-I of the Scheme was extended from time to time and the last extension was allowed till 31st March 2019 with an increase in the total outlay to Rs. 895 crore.
Phase-I of the Scheme were implemented through four focus areas namely Demand Creation, Technology Platform, Pilot Project and Charging Infrastructure. Under Demand Creation focus area of the scheme, about 2.78 lakh electric/ hybrid vehicles (xEVs) were supported with a total demand incentives of Rs. 343 Crore [Approx] for purchase of xEVs under this scheme. Also, 465 buses were sanctioned to various cities and States under this Scheme. In addition to the above, several projects were approved/sanctioned under Technology Platform, Pilot Project and Charging Infrastructure focus areas of the scheme.
Based on outcome and experience gained during the Phase-I of FAME India Scheme and after having consultations with all stakeholders including Industry and Industry Associations, Department of Heavy Industry finalized, with the approval of Cabinet,and , notified the Phase-II of FAME India Scheme on 8th March 2019, which is for a period of three years commencing from 1stApril 2019 with a total budgetary support of Rs. 10,000 crore. This phase will mainly focus on supporting electrification of public & shared transportation, and aims to support through subsidies 7000 e-Buses, 5 lakh e-3 Wheelers, 55000 e-4 Wheeler Passenger Cars and 10 lakh e-2 Wheelers. In addition, creation of charging infrastructure will be supported in selected cities and along major highways to address range anxiety among users of electric vehicles. This Phase of FAME Scheme envisages support for setting up of adequate public charging infrastructure to instill confidence among EV users, through active participation and involvement of various stakeholders including Government agencies, industries and Public Sector Enterprises (PSEs). A budget provision of Rs. 1000 Crore for a period of 3 years [2019-20 to 2021-22] has been earmarked for establishment of charging infrastructure under this Phase of FAME Scheme.