HD Kumaraswamy, the Union Minister for Heavy Industries and Steel, outlined India’s commitment to bolstering charging infrastructure to accommodate the rising adoption of electric vehicles (EVs) throughout the nation. This initiative comes at a time when the government is keen on promoting sustainable transportation solutions.
During his address at the seminar organized by the Federation of Indian Chambers of Commerce and Industry (FICCI) in collaboration with the Ministry of Heavy Industries, Kumaraswamy reiterated the government’s dedication to enhancing the EV charging network. He revealed plans for the installation of 10,763 public charging stations across India as part of the Faster Adoption and Manufacturing of Hybrid and Electric Vehicles (FAME-II) scheme.
A significant announcement was made regarding the introduction of e-vouchers for prospective EV buyers. This innovative approach is designed to provide access to demand incentives under the newly approved PM E-DRIVE (PM Electric Drive Revolution in Innovative Vehicle Enhancement) scheme. “This e-voucher system represents a novel strategy to encourage the adoption of electric vehicles,” Kumaraswamy stated, assuring attendees that further details regarding this initiative are in the final stages of development and will be disclosed shortly.
The PM E-DRIVE scheme, which recently gained approval from the Union Cabinet, aims to facilitate the swift uptake of EVs by offering immediate financial incentives while also fostering the necessary charging infrastructure. Kumaraswamy highlighted the overarching goals of this initiative, which include reducing environmental pollution, enhancing air quality, and bolstering the electric vehicle manufacturing sector in India.
The scheme encompasses several groundbreaking measures, including a dedicated ₹500 crore fund earmarked for the deployment of e-ambulances, another ₹500 crore aimed at promoting the adoption of electric trucks, and a substantial ₹2,000 crore allocated for the establishment of 22,000 fast chargers for electric four-wheelers, alongside 1,800 for e-buses and 48,400 for e-two and three-wheelers.
Reflecting on the achievements of the FAME-II initiative, Kumaraswamy pointed out that an impressive 93 percent of the targeted vehicles have received financial incentives, with 92 percent of the allocated ₹11,500 crore already utilized. The scheme has notably contributed to public transportation, with 4,853 e-buses supplied out of the 6,862 that have been authorized for intra-city operations as of July 31, 2024.
Dr Hanif Qureshi, the Additional Secretary of the Ministry of Heavy Industries, affirmed that over 92 percent of the objectives set under the FAME-II scheme have been successfully met. Meanwhile, FICCI President and Mahindra Group CEO & MD, Dr Anish Shah, emphasized the transformative nature of the FAME-II policy for India’s electric vehicle sector.
He noted that the electric three-wheeler market, which was virtually nonexistent three years ago, now makes up 20 percent of the overall market, with projections indicating full market penetration within the next five years. Vinod Aggarwal, the Immediate Past President of the SIAM and MD & CEO of VE Commercial Vehicles, discussed the significant role of the FAME-II scheme in promoting e-mobility across India.
He highlighted the remarkable growth in the market for electric two-wheelers, three-wheelers, and passenger vehicles, noting that sales of passenger EVs surged by over 90 percent, while electric two-wheeler sales experienced a growth of more than 30 percent compared to the previous year.
Vikrampati Singhania, Vice President of the ACMA and MD of J K Fenner India, underscored the critical role of the auto component industry in advancing sustainable mobility. He emphasized the necessity for ongoing innovation, research and development, and technological advancements to remain competitive in the rapidly evolving EV and autonomous vehicle markets. Singhania advocated for increased investment in R&D, local manufacturing, and collaborative efforts to stimulate future growth within the industry.
