Indian Economy News

New scheme to boost EV adoption manufacturing in India: Additional Secretary of the Ministry of Heavy Industries, Mr. Hanif Qureshi

  • IBEF
  • March 19, 2024

The Electric Mobility Promotion Scheme (EMPS), unveiled by the Ministry of Heavy Industries, aims to bolster India's electric vehicle (EV) industry in line with the vision of Atmanirbhar Bharat. Operative for four months, the scheme focuses on accelerating EV adoption and manufacturing, particularly targeting electric two-wheelers (e2W) and three-wheelers (e3W). With an allocated budget of US$ 60.3 million (Rs. 500 crore) between April 1, 2024, and July 31, 2024, the scheme aims to facilitate the purchase of 3,72,215 EVs, thereby promoting the growth of eco-friendly transportation options and nurturing the EV manufacturing ecosystem.

Under the EMPS, efforts are directed toward enhancing the availability of affordable and sustainable public transportation alternatives. While the government is committed to fostering industry growth through existing programs and initiatives, there are no plans for specialized incentive schemes for startups. Alongside the EMPS, India's ambitious production-linked incentive (PLI) scheme for automobiles has attracted applications from major industry players, further signalling the country's commitment to advancing the EV sector and promoting self-reliance in mobility solutions.

Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.