New Delhi. The PM Electric Drive Revolution in Innovative Vehicle Enhancement (PM eDRIVE) scheme, recently approved by the Union Cabinet to promote the adoption of electric vehicles in the country, will have a programme to promote the manufacturing of EV components locally.
PM EDrive scheme will replace the FAME scheme. The government has sanctioned Rs 10,900 crore for this scheme. Several media reports have stated that under the PM EDrive scheme, a phased manufacturing program (PMP) will be implemented to increase the manufacturing of EV equipment in the country.
Under the scheme, EV manufacturers who source components locally will receive financial assistance without any domestic value addition requirement. To get the subsidy, the parts of the EV components have to be assembled locally. However, suppliers can import the parts.
The report quoted a senior official as saying that local EV manufacturing will be promoted under the PMP. To get subsidy under this, companies will have to comply with the rules of PMP within six months of the notification of the scheme. It was further said that the companies getting subsidy will have to ensure that the EV equipment is being manufactured in India.
The report said that in 202526, the financial assistance for electric twowheelers will be reduced to Rs 5,000 per vehicle and the subsidy for threewheelers will be reduced to Rs 25,000 per vehicle. Another official in the report said that the manufacturing facility of the company supplying EV components will be inspected twice a year to prevent misuse of subsidy.
—
– / Written By Top News Bulletin
Image Credit: KhasKhabar.