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Final guidelines of PME E-drive: Rs 2,000 crore worth incentives for charging stations

The PM Electric Drive Revolution in Innovative Vehicle Enhancement (PM E-DRIVE) scheme, with an outlay of Rs 10,900 crore was notified in Sept for the upcoming 2 years. The scheme dedicated Rs 2,000 crore for charging infrastructure.
PrashantPrashant21-Nov-24 6:13 PM
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Final guidelines of PME E-drive: Rs 2,000 crore worth incentives for charging stations

The final guidelines of the new PM E-Drive scheme to distribute Rs 2,000 crore incentives for establishing public electric vehicle (EV) charging stations are scheduled to be released within a month, citing Additional Secretary of the Ministry of Heavy Industries, Hanif Qureshi, the Indian Express reported on Tuesday. 


To boost the local manufacturing capacity of electric vehicles, the ministry will ensure the effective implementation of the scheme by publishing detailed guidelines. The guidelines were notified in late March this year and are designed to welcome investments from EV manufacturers worldwide, Qureshi highlighted while speaking at an event of the Federation of Indian Chambers of Commerce & Industry (FICCI) 


The PM Electric Drive Revolution in Innovative Vehicle Enhancement (PM E-DRIVE) scheme, with an outlay of Rs 10,900 crore was notified in Sept for the upcoming 2 years. The scheme dedicated Rs 2,000 crore for charging infrastructure which is two times more than the precious FAME-2 scheme.


According to Qureshi, the ministry has developed draft guidelines on how to distribute the entire amount of incentives and conducted several stakeholder engagements. The ministry is currently expecting state governments' responses to the draft guidelines that have been distributed to them.


Qureshi said, “Basically, there will be committees formed in each state at the level of the Chief Secretary where the demand for chargers in the state will be aggregated. Each state will also be sending a proposal to the Ministry of Heavy Industries, and then both will be sanctioned,” the Indian Express Reported. 


Qureshi went on to say that incentives will be given out based on factors like the quantity of EVs in a city and the volume of traffic on the roadways. "Whether or not a state has an EV policy and whether or not it has some of its own incentives will determine our priorities. Because we might get proposals worth more than Rs 2,000 crore," Qureshi stated.


The upcoming guidelines are expected to dedicate some of their incentives for upstream infrastructure developed by financially challenged electricity distribution companies (DISCOMs)


Qureshi further stated that within three to four weeks, the comprehensive rules for the March-noticed Scheme to Promote Manufacturing of Electric Passenger Cars in India (SPMEPCI) will be released. Under the scheme, if a company agrees to invest $500 million in establishing a local factory, the import duties on automobile models costing more than $35,000 will be reduced from 100% to 15%.



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