The Electric Vehicle (EV) market is expected to grow compounded annually to touch $150 billion by 2030. To reach the target as a catalyst government is stepping various initiatives for the promotion of Electric Vehicle.
From 2019 to 2021, in just 2 years the counting of registered E-vehicle has risen from 1,61,314 to 2,80,962.
The Faster Adoption and Manufacturing of Hybrid and Electric Vehicle in India (FAME India) scheme formulated by the government is in Phase-II of execution. The execution time for phase-II is 5 years and the supporting budget is Rs 10,000 crore of EV.
Phase-II of the scheme focuses on introducing 7090 e-buses, 5 lakh e-three wheelers and 55000 e-4 wheelers and 10 lakh 2-wheelers. FAME India scheme was introduced by the Ministry of Heavy Industries in 2015 to promote Electric/hybrid vehicles.
To make things more affordable, the GST on EVs have been reduced to 5% from the ongoing 12%. For charger/charging station is 5% from 18%.
The incentive is linked to battery capacity i.e. Rs. 10,000/KWh for e-3W and e-4W with a cap of 20% of the cost of the vehicle. Further, the incentive/ subsidies for e-2W has been increased toRs. 15,000/KWh from Rs. 10,000/KWh with an increase in cap from 20% to 40% of the cost of vehicle w.e.f. 11th June 2021.
This information was given by the Minister of State for Heavy Industries Shri Krishan Pal Gurjar in a written reply in the Rajya Sabha.
Reference: pib.gov.in