Latest news with #FAME-I
India.com
10 hours ago
- Automotive
- India.com
Centre Supports Over 18.84 Lakh EVs Under FAME Schemes: Minister
New Delhi: The government has supported a total of 18,84,905 electric vehicles (EVs) under the Faster Adoption and Manufacturing of (Hybrid and) Electric Vehicles in India (FAME India) schemes till June 30 this year, the Parliament was informed. Under the FAME-II scheme, the government supported 16,29,600 vehicles. The FAME-II scheme sanctioned a total of Rs 912.50 crore for installation of 9,332 EV PCS, out of which 8,885 EVPCS have been installed (as on June 30), said Minister of State for Steel and Heavy Industries, Bhupathiraju Srinivasa Varma, in a written reply in the Lok Sabha. The FAME schemes were applicable all across the country, including tier 2 and tier 3 cities. The FAME-I Scheme duration was 2015-2019 and the duration of FAME-II scheme was 2019-2024. Under the FAME-I scheme, 2,55,305 EVs were supported by the government, the minister informed. Under FAME-I, approximately 520 charging stations/infrastructure were sanctioned with an amount of Rs 43 crore. The key objectives of FAME-II scheme are to encourage adoption of electric and hybrid vehicles by the way of market creation, demand aggregation and other related activities; promote domestic technology for development of electric vehicles and its components ecosystem and promote manufacturing of Zero Emission Vehicles (ZEV) and hybrid vehicles within the country by the way of supporting manufacturing ecosystem. It also helps in creating strong, globally competitive, viable and self-sustaining xEV industry and contributing to country's efforts for low emission intensive economy as agreed in COP 21, the minister said. The National Electric Mobility Mission Plan (NEMMP) 2020 is a National Mission document providing the vision and the roadmap for the faster adoption of electric vehicles and their manufacturing in the country. As part of the NEMMP 2020, the Ministry of Heavy Industries formulated the FAME India scheme in 2015 to promote adoption of electric/ hybrid vehicles (xEVs) in India.
Time of India
11 hours ago
- Automotive
- Time of India
Over 18.8 lakh EVs supported under FAME schemes till June 2025: Govt
The government has extended support to more than 18.84 lakh electric vehicles (EVs) under the FAME India schemes as of June 30 this year, Minister of State for Steel and Heavy Industries, Bhupathiraju Srinivasa Varma, informed the Lok Sabha in a written reply. According to the minister, the FAME-II scheme accounted for the majority of the support, covering 16,29,600 EVs. The earlier FAME-I scheme, which ran from 2015 to 2019, supported 2,55,305 vehicles, reports IANS . The government has also sanctioned ₹912.5 crore for the installation of 9,332 public charging stations (PCS) under FAME-II. Of these, 8,885 charging stations have been installed across the country as of June-end. The schemes are applicable nationwide, including in tier 2 and tier 3 cities, and aim to accelerate adoption of electric and hybrid vehicles through demand creation, domestic technology development, and manufacturing support for zero-emission vehicles (ZEVs). FAME scheme Under FAME-I, approximately 520 charging stations were sanctioned with a budget outlay of ₹43 crore, Varma added. The FAME (Faster Adoption and Manufacturing of Hybrid and Electric Vehicles in India) programme was launched in 2015 as part of the National Electric Mobility Mission Plan (NEMMP) 2020. While FAME-I concluded in 2019, FAME-II was active from 2019 to 2024, with the objective of promoting a robust EV ecosystem and aligning with India's emission reduction commitments under COP 21.
Time of India
28-05-2025
- Automotive
- Time of India
EV two-wheeler sales soared 34x in 4 years, but market share stuck at 4%: Study
Electric vehicle (EV) sales in India have grown rapidly across segments in the last decade, but adoption rates remain modest despite significant fiscal support, a new study by the Institute for Energy Economics and Financial Analysis (IEEFA) has found. The report, From Incentives to Adoption, presents a 10-year review (2014–2023) of government subsidies and policy interventions under FAME-I, FAME-II, Production Linked Incentives (PLI), and state schemes, and assesses their effectiveness across five EV segments. In the electric two-wheeler (E2W) segment, sales jumped from 19,333 units in FY2019 to over 6.5 lakh units in FY2023. However, the adoption rate – the share of electric vehicles in overall two-wheeler sales – was only 4% by the end of 2023. 'FAME-II's higher subsidy intensity (28.65%) compared to FAME-I (14.32%) boosted absolute E2W sales by up to 9 times, but had limited impact on the overall market composition,' the report states. According to Charith Konda, Energy Specialist at IEEFA and one of the co-authors, 'The government should continue offering purchase subsidies to sustain momentum but clearly communicate a phased-down trajectory for the longer term.' In the electric three-wheeler passenger (E3WP) segment, early policy support under FAME-I drove a 10x market multiplier effect. Around 27,000 additional vehicles were directly attributed to subsidies under FAME-I, with total sales reaching 2.67 lakh units by March 2019. The segment, however, matured during the FAME-II period and showed limited incremental impact from later subsidies. The electric three-wheeler cargo (E3WC) category saw a market share rise from 0.03% in 2015 to over 31% by 2023. The study found this growth was largely driven by operating cost advantages rather than central subsidies. A 1% reduction in operating cost led to a 0.563% increase in sales, highlighting the role of business economics in commercial segments. In the electric four-wheeler commercial (E4WC) category, sales improved after FAME-II and PLI schemes were implemented. A one-standard-deviation increase in subsidy intensity led to a 5% rise in sales. However, the adoption rate was still less than 1%. States that implemented incentives saw 211% higher sales growth than those that did not. For electric four-wheelers in the private segment (E4WP), sales grew due to new model launches and consumer demand, but adoption rates remained below 2%. The report highlights the need for continuing support in this segment. The report found that both FAME-I and FAME-II failed to make a statistically significant impact on electric bus (e-bus) adoption. Only 4,766 units were subsidised against a target of 7,262, and the sector continues to face structural barriers such as limited financing access and high upfront costs. 'Coordinated central and state action, pairing targeted purchase incentives, infrastructure rollout, and manufacturing scale-up can help electric cars compete effectively with their counterparts in India's commercial vehicle market,' said Saurabh Trivedi, Sustainable Finance Specialist at IEEFA. The study recommends continued fiscal support, investment in public charging infrastructure, interest rate subvention for buses, and targeted financing support for smaller commercial operators. 'As India transitions from FAME schemes to PM E-DRIVE and other similar initiatives, policymakers must recognise that each EV segment requires tailored intervention,' Konda added. The report draws on panel data of 21,526 observations over 10 years, offering a first-of-its-kind empirical assessment of India's EV subsidy performance using econometric techniques such as difference-in-differences and synthetic control methods.
Time of India
28-05-2025
- Automotive
- Time of India
EV two-wheeler sales soared 34x in 4 years, but market share stuck at 4%: Study
New Delhi: Electric vehicle (EV) sales in India have grown rapidly across segments in the last decade, but adoption rates remain modest despite significant fiscal support, a new study by the Institute for Energy Economics and Financial Analysis (IEEFA) has found. The report, From Incentives to Adoption, presents a 10-year review (2014–2023) of government subsidies and policy interventions under FAME-I, FAME-II, Production Linked Incentives (PLI), and state schemes, and assesses their effectiveness across five EV segments. In the electric two-wheeler (E2W) segment, sales jumped from 19,333 units in FY2019 to over 6.5 lakh units in FY2023. However, the adoption rate – the share of electric vehicles in overall two-wheeler sales – was only 4% by the end of 2023. 'FAME-II's higher subsidy intensity (28.65%) compared to FAME-I (14.32%) boosted absolute E2W sales by up to 9 times, but had limited impact on the overall market composition,' the report states. According to Charith Konda, Energy Specialist at IEEFA and one of the co-authors, 'The government should continue offering purchase subsidies to sustain momentum but clearly communicate a phased-down trajectory for the longer term.' In the electric three-wheeler passenger (E3WP) segment, early policy support under FAME-I drove a 10x market multiplier effect. Around 27,000 additional vehicles were directly attributed to subsidies under FAME-I, with total sales reaching 2.67 lakh units by March 2019. The segment, however, matured during the FAME-II period and showed limited incremental impact from later subsidies. The electric three-wheeler cargo (E3WC) category saw a market share rise from 0.03% in 2015 to over 31% by 2023. The study found this growth was largely driven by operating cost advantages rather than central subsidies. A 1% reduction in operating cost led to a 0.563% increase in sales, highlighting the role of business economics in commercial segments. In the electric four-wheeler commercial (E4WC) category, sales improved after FAME-II and PLI schemes were implemented. A one-standard-deviation increase in subsidy intensity led to a 5% rise in sales. However, the adoption rate was still less than 1%. States that implemented incentives saw 211% higher sales growth than those that did not. For electric four-wheelers in the private segment (E4WP), sales grew due to new model launches and consumer demand, but adoption rates remained below 2%. The report highlights the need for continuing support in this segment. The report found that both FAME-I and FAME-II failed to make a statistically significant impact on electric bus (e-bus) adoption. Only 4,766 units were subsidised against a target of 7,262, and the sector continues to face structural barriers such as limited financing access and high upfront costs. 'Coordinated central and state action, pairing targeted purchase incentives, infrastructure rollout, and manufacturing scale-up can help electric cars compete effectively with their counterparts in India's commercial vehicle market,' said Saurabh Trivedi, Sustainable Finance Specialist at IEEFA. The study recommends continued fiscal support, investment in public charging infrastructure, interest rate subvention for buses, and targeted financing support for smaller commercial operators. 'As India transitions from FAME schemes to PM E-DRIVE and other similar initiatives, policymakers must recognise that each EV segment requires tailored intervention,' Konda added. The report draws on panel data of 21,526 observations over 10 years, offering a first-of-its-kind empirical assessment of India's EV subsidy performance using econometric techniques such as difference-in-differences and synthetic control methods.
