No need for new subsidies or incentives for EV ecosystem: Piyush Goyal

Piyush Goyal, Minister Of Commerce and Industry, has said that the Indian electric vehicle(EV) ecosystem is self-sustained and does not require any new subsidies or incentives. The remark came when the minister was attending a meeting with representatives of the EV sector. In the meeting, the representatives of various businesses have reportedly agreed that they no longer require subsidy after the ongoing scheme concludes. 

The Union Minister said, "Today we had an engagement with auto companies, including some startups in the space. Electric mobility is ready and set to fly, they do not need newer incentives or subsidies. The existing subsidies will be there for some more time and will give the appropriate kick-start to the EV ecosystem," NDTV reported.

The Union Minister also discussed the development of infrastructure for battery charging and swapping during the discussion with industry representatives. The minister also spoke on the enterprises' autonomy in selecting their own business plans.

Notably, in an effort to draw in international EV producers, the government introduced an electric vehicle policy in March of last year. The government provided concessions to businesses establishing manufacturing plants under the policy. A minimum investment of USD 500 million was required for these production facilities.

In addition, the government declared that 10,763 public charging stations would be installed nationwide as part of the government’s previous FAME-II scheme. The government also offers incentives to EV owners under this program, such as lowering the cost of electric vehicles.

Meanwhile, the ongoing scheme PM E-DRIVE aims to promote electric mobility by supporting 24,791,20 electric two-wheelers, 110,596 e-rickshaws and e-carts, 205,392 electric three-wheelers (L5), and 14,028 e-buses. Additionally, the program promotes EV public charging infrastructure, e-trucks, e-ambulances, and the expansion of testing organisations.