Department of Heavy Industry (DHI) has recently modified FAME II scheme.
Objective of the modification: To drive adoption of electric vehicles
Modifications
Introduction of a demand incentive of Rs. 15,000 per kWh for electric two wheelers with a maximum cap at 40% of the vehicles’ cost.
Launch of an aggregate demand for 300,000 electric three- wheelers by Energy Efficiency Services Limited.
FAME scheme
It was launched in 2015
It forms a part of National Electric Mobility Mission Plan 2020.
It aims to promote manufacturing of electric and hybrid vehicle technology and to ensure sustainable growth of the same
Phase 2 of the scheme was approved for a period of three years starting from first April 2019
It aims to generate demand by way of supporting e-buses, e 2-wheelers, e three- wheelers
By selling over 75,000 vehicles FAME has so far resulted in savings of over 20 million litres of fuel and has led to almost 40 million kg reduction in CO2.