No more subsidies on EVs? Govt denies media claims of FAME-II extension

The representatives of the government of India, on Thursday, stated that the FAME-II flagship programme to encourage electric transportation has not been extended past March 31.

The recent media claim about the government extending the FAME-II scheme for four months i.e. by the end of July, with a budget of Rs 500 crore for the extended period has been denied by the Ministry of Heavy Industries.

The Heavy Industries Ministry said last month that e-vehicles sold up until March 31, 2024, or until funds are available, are eligible for subsidies under the second phase of the FAME Scheme. The Faster Adoption and Manufacturing of Electric Vehicles in India (FAME-II) program's budget has been increased from Rs 10,000 crore to Rs 11,500 crore, as per the information supplied.

The ministry had stated that FAME II, its flagship programme to encourage the use of EVs in India, was "fund- and term-limited" in the statement. According to the updated budget, subsidies totalling Rs 7,048 crore may be obtained for electric two-wheelers, electric three-wheelers, and electric four-wheelers. In addition, funds of Rs 4,048 crore have been designated for the creation of capital assets, while Rs 400 crore has been made aside for the 'others' category.