India Launches PM E-DRIVE Scheme to Boost Electric Vehicle Adoption

The Indian government has launched the PM E-DRIVE Scheme, a significant initiative aimed at accelerating the adoption of electric vehicles (EVs) in the country. With a substantial outlay of Rs 10,900 crore, the scheme will focus on establishing charging infrastructure, developing the EV manufacturing ecosystem, and providing subsidies to encourage EV purchases.

The scheme, which will be implemented from October 1, 2024, to March 31, 2026, subsumes the existing Electric Mobility Promotion Scheme (EMPS-2024). It offers subsidies for various electric vehicles, including two-wheelers, three-wheelers, buses, and trucks.

For electric two-wheelers, the subsidy is based on battery power. In the first year, buyers can receive up to Rs 10,000, with a maximum of Rs 5,000 per kilowatt hour. This subsidy will be reduced to Rs 5,000 in the second year.

Three-wheelers, including e-rickshaws, will be eligible for a subsidy of Rs 25,000 in the first year, which will be halved in the second year. Cargo three-wheelers will receive a higher subsidy of Rs 50,000 in the first year.

To streamline the subsidy process, the government is introducing e-vouchers. Buyers can obtain these vouchers through an online portal after verifying their Aadhaar details. The e-vouchers will be submitted to dealers at the time of purchase, and the dealers will then upload them to the PM E-DRIVE portal.

The scheme also addresses range anxiety, a common concern among potential EV buyers, by promoting the installation of electric vehicle public charging stations (EVPCS). The government plans to set up 22,100 fast chargers for four-wheelers, 1,800 for buses, and 48,400 for two-wheelers and three-wheelers.

Overall, the PM E-DRIVE Scheme is a comprehensive effort to promote electric mobility in India. By providing subsidies, supporting infrastructure development, and addressing range anxiety, the government aims to make EVs more accessible and affordable for Indian consumers.