PM E-DRIVE Scheme
Context
Recently, the Ministry of Heavy Industries, launched the PM E-DRIVE Scheme to promote green mobility and strengthen the electric vehicle (EV) ecosystem in India.
- With an outlay of ₹10,900 crore, the scheme is expected to accelerate the adoption of EVs while boosting local manufacturing and sustainability.
Relevance:
GS-02 (Government policies and interventions)
About the PM E-DRIVE Scheme
- Objective and Funding:
- The scheme was notified on September 29, 2024.
- It aims to foster green mobility and build a robust EV manufacturing ecosystem.
- It subsumes the earlier Electric Mobility Promotion Scheme (EMPS) 2024, operational for six months.
- Salient Features:
- E-vouchers have been introduced to simplify the process for EV buyers to claim demand incentives.
- Focus Areas:
- ₹500 crore each allocated for e-ambulances and e-trucks, aiming to improve emergency transport and curb pollution from traditional trucks.
- Scrapping certificates from ministry-approved centres is mandatory to avail subsidies for e-trucks.
- ₹780 crore allocated for upgrading vehicle testing agencies.
- Components of the Scheme:
- Subsidies: ₹3,679 crore dedicated to demand incentives for EVs, including two-wheelers, three-wheelers, e-ambulances, and e-trucks.
- Capital Asset Grants: ₹7,171 crore allocated for procuring e-buses, setting up EV charging stations, and upgrading testing facilities.
- Administration: ₹50 crore reserved for running the scheme, IEC activities, and Project Management Agency fees.
- Impact on EV Adoption:
- EV registrations increased by 25.64% from FY 2023-24 to FY 2024-25 (April to November).
- Targeted support includes 14,028 e-buses, 2,05,392 e-3 wheelers, 1,10,596 e-rickshaws and e-carts, and 24,79,120 e-2 wheelers.
- User-Friendly Features:
- Individual buyers can generate e-vouchers through the PM E-DRIVE app after Aadhaar-based e-KYC.
- Non-individual buyers can use the PM E-DRIVE portal for voucher generation.
- Boost to Local Manufacturing:
- The Phased Manufacturing Programme ensures components are sourced from local manufacturers, encouraging Make in India and supporting medium and small enterprises.
- Environmental and Economic Goals:
- Encourages the shift to sustainable transportation by reducing reliance on fossil fuels.
- Strengthens domestic production capabilities, fostering economic growth alongside environmental benefits.
Related Posts
