The minister had last month said the work on FAME 3 was in the final stage.
04 Sep 2024 | 12585 Views | By Kiran Murali and Yukta Mudgal
The government is expected to finalize the third leg of the Faster Adoption and Manufacturing of (Hybrid and) Electric Vehicle (FAME) scheme in one or two months, according to the Minister of Heavy Industries HD Kumaraswamy.
“Several suggestions are coming for FAME 3. Even Prime Minister’ Office has given ...
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The government is expected to finalize the third leg of the Faster Adoption and Manufacturing of (Hybrid and) Electric Vehicle (FAME) scheme in one or two months, according to the Minister of Heavy Industries HD Kumaraswamy.
“Several suggestions are coming for FAME 3. Even Prime Minister’ Office has given some suggestions,” he said while speaking on the sidelines of ASSOCHAM’s National Conference on Electric Mobility today.
The minister had last month said the work on FAME 3 was in the final stage. When asked about the timeline for the launch for the scheme, the minister today said: within one month or two it will be cleared,”
The third phase of the FAME scheme will replace the temporary Electric Mobility Promotion Scheme (EMPS) 2024, which is set to expire by the end of September.
The EMPS scheme, initially valid for four months and later extended for two more months, was launched with a total outlay of Rs 500 crore after the FAME 2 scheme expired on March 31 to ensure continuity in incentives for electric two and three-wheelers.
The FAME 2 scheme was rolled out in 2019 with an initial outlay of Rs 10,000 crore for three years ending in 2022. It was later extended to March 2024 with an additional outlay of Rs 1,500 crore. The initial target of the scheme was to support 10 lakh electric two-wheelers, 5 lakh electric three-wheelers, 55,000 passenger cars, and 7,000 electric buses.
Several new-age OEMs, particularly two-wheeler ones, and industry bodies have been pushing the government for a continuity in subsidies. The demand subsidy given under the scheme has been instrumental in driving the early-stage adoption of electric vehicles in the country.