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India’s PM E-DRIVE Scheme: ₹10,900 Crore Boost for EV Transformation

New Delhi – The Ministry of Heavy Industries has announced the launch of the PM Electric Drive Revolution in Innovative Vehicle Enhancement (PM E-DRIVE) Scheme, signaling a major push towards India’s transition to electric mobility. With an allocation of ₹10,900 crore, this two-year initiative aims to bolster the adoption and infrastructure of electric vehicles (EVs) across the country.

The scheme targets a wide spectrum of EV categories, including electric two-wheelers (e-2Ws), three-wheelers (e-3Ws), e-Trucks, e-buses, e-ambulances, and public EV charging stations. It also emphasizes upgrading testing agencies to ensure the quality and safety of these vehicles.

Addressing Past Challenges

Building on the lessons learned from the first two phases of the Faster Adoption and Manufacturing of Hybrid and Electric Vehicles (FAME) scheme, PM E-DRIVE introduces measures to address key challenges:

  1. Localization Focus: The Phased Manufacturing Program (PMP) will continue, emphasizing the gradual localization of EV components to strengthen the “Make in India” initiative.
  2. Compliance and Integrity: Provisions are in place to ensure compliance by Original Equipment Manufacturers (OEMs), with applicants required to sign an Integrity Pact to prevent financial malpractices.
  3. Enhanced Monitoring: Testing agencies will conduct annual strip-down tests and Periodic Surveillance Assessments (PSA) to ensure adherence to PMP standards.

Progress Under FAME-II

During the five years of the FAME India Scheme Phase-II, 1,321 electric buses were allocated to the National Capital Territory (NCT) of Delhi, underscoring the government’s commitment to greening public transportation. However, the state of Kerala has yet to benefit from electric bus allocations under this phase.

A Vision for a Greener Future

The PM E-DRIVE Scheme reflects the government’s resolve to overcome past challenges and drive the EV revolution forward. “With these comprehensive measures, we aim to build a robust and sustainable EV ecosystem in India,” said Bhupathiraju Srinivasa Varma, Minister of State for Heavy Industries and Steel, in a written reply to the Lok Sabha today.

The scheme is expected to act as a catalyst for India’s EV sector, accelerating the country’s journey towards a cleaner and more sustainable future.

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