Indian authorities have been actively working to bring in the electric vehicle (EV) culture in India. Part of this is covered by the strict emission norms for IC engines being put in place while the other half comes in the form of subsidies offered to those opting for EVs in the country.
A recent plan poised to power the latter half is a maximum rebate of Rs 50,000 up for grabs for the citizens buying electric vehicles. The subsidy will be based upon the vehicle model in consideration and the corresponding size of its battery. In addition, the interest rates on loans for such EVs are also being cut down.
Currently just a plan, the subsidies are aimed to increase the adoption of EVs in the country. The plan also includes other cost cutting measures for EV owners in the form of parking fee, registration fee and road tax waiver. While most of these benefits are limited to state legislation?as of now, they might become a pan India policy soon.
Sarthak Dogra/ IndiaTimes
Also read:?Bill Gates Uses Toys To Educate Us About Climate Change And What We Can Do To Stop It
All these incentives will constitute a part of the upcoming second phase of FAME India scheme, expected to be approved by the Union Cabinet this month. The second phase will see a total spending of Rs 5,500 Crore across five years as per officials.
EV adoption in India faces several issues as of now, an important one being the higher prices of such vehicles in comparison with their gasoline powered counterparts. The incentives aim to solve this, by making it more economical for the citizens to opt for such vehicles.
Sarthak Dogra/ IndiaTimes
Also read:?We Installed EV Chargers In Our Office And Here's How They Power Our Travel Needs Now
Other challenges include the lack of charging infrastructure to sustain a huge fleet of EVs. The second phase of the FAME scheme will also focus on this, with plans to build charging infrastructure and providing subsidies for the same in the pipeline. To encourage auto makers to bring in their EV offerings in India, the government had earlier also reduced the import duties on several components for electric vehicles.
As the companies start coming up with their EV products in the country, such incentives and the corresponding infrastructure shall be put in place with the second phase of the FAME scheme. Previously though, there has been a considerable delay in the roll-out of the phase, since its first announced roll-out date of April 2017. Hopefully, this time, the scheme will follow its schedule and match the increasing adoption of EVs from all other verticals while also empowering them.