Union Cabinet Approves PM E-DRIVE Scheme to Accelerate Electric Vehicle Adoption

The Union Cabinet has approved the PM E-DRIVE Scheme with an outlay of Rs 10,900 crore to boost electric vehicle adoption in India for the next two years. The scheme will support electric two-wheelers, three-wheelers, e-buses, and provide subsidies for various EVs, replacing the FAME programme.

The Union Cabinet has greenlit the PM E-DRIVE Scheme, allocating Rs 10,900 crore over two years to enhance electric vehicle adoption in India. This new initiative supersedes the nine-year-old FAME programme that ended in March.

Chaired by Prime Minister Narendra Modi, the decision came during a Union Cabinet meeting, as disclosed by Information and Broadcasting Minister Ashwini Vaishnaw. The scheme aims to support the deployment of 24.79 lakh electric two-wheelers, 3.16 lakh e-three wheelers, and 14,028 e-buses, along with the establishment of 88,500 charging sites.

Subsidies totalling Rs 3,679 crore are earmarked to encourage the purchase of electric two-wheelers, three-wheelers, e-ambulances, e-trucks, and other EVs. In addition, Rs 4,391 crore will be used for procuring e-buses under state transport bodies while Rs 500 crore each has been set aside for e-ambulances and e-trucks. The previous FAME initiative was launched in April 2015.

(With inputs from agencies.)