Archives: Central Govt Initiatives

Department of Heavy Industry (DHI)

National Electric Mobility Mission Plan

NEMMP

Government of India launched the National Electric Mobility Mission Plan (NEMMP) 2020 in year 2013. It aims to achieve national fuel security by promoting hybrid and electric vehicles in the country. There is an ambitious target to achieve 6-7 million sales of hybrid and electric vehicles year on year from year 2020 onwards. Government aims to provide fiscal and monetary incentives to kick start this nascent technology.

With the support from the Government, the cumulative sale is expected to reach 15-16 million by year 2020. It is expected to save 9500 million litre of crude oil equivalent to saving INR 62000 Cr. It is envisaged that early market creation through demand incentive, in-house technology development and domestic production will help industry reach a self-sufficient economy of scale in the long run by year 2020.

Money

Under NEMMP, Government plans to incentivize buyers of hybrid and electric vehicles. The incentive shall be administered through an efficient and effective electronic mechanism/portal for incentive disbursement. Under this mechanism the manufacturer will reduce the purchase price of a hybrid and electric vehicle (the purchase price will be reduced by the level of the eligible predetermined incentive amount) at the time of selling to the buyer, and the same will be reimbursed to them by the Government.

 

Department of Heavy Industry (DHI)

 

FAME India Scheme – Phase II

Faster Adoption and Manufacturing of Electric Vehicles in India Phase II (FAME India Phase II) was
launched on 1st April 2019, for promotion of Electric Mobility in the country. The scheme with total
outlay of Rs 10,000 Crores over a period of three years, effective from 1st April 2019. This scheme
is the expanded version of the FAME India Phase I scheme which was launched on 1st April 2015, with
the total outlay of INR 895 crores. Considering the COVID-19 pandemic lockdown, Government of India
extended FAME India Scheme Phase II for 2 years till 31st March 2024

 

Financial Outlay

Total fund requirement for this scheme is INR 10,000 crores over three years from 2019-20 to 2021-22,
extended till 31st March 2024

Impact

The main objective of the scheme is to encourage faster adoption of electric and hybrid vehicle by
way of offering upfront incentive on purchase of Electric Vehicles and by way of establishing a
necessary charging infrastructure for EVs and carrying out various awareness activities. The scheme
will help in addressing the issue of environmental pollution and fuel security. The scheme aims to
deploy around 15.62 lakhs EVs across all vehicle categories. The category wise vehicle numbers are
provided in below chart

Dashboard for FAME India Scheme

To update regarding progress of FAME India Scheme, Department of Heavy Industries have launched an interactive dashboard. The dashboard provides deployment status of EVs including e-buses and public charging stations under FAME India Scheme Phase I and Phase II.

Dashboard

Phased Manufacturing Programme

To remove the inferior quality products from the market and promote indigenous development of EVs and its components in India, Government of India launched Phased Manufacturing Program (PMP) with the objective of domestic manufacturing of EVs, its assemblies / sub-assemblies, and parts / sub-parts. Under this scheme, Government aims to provide manufacturing base in India for various EV components like battery packs, lithium-ion cells, AC / DC charger, motor and motor controller, power control unit, etc.
Additionally, Government has also approved Production Linked Incentive (PLI) Scheme for manufacturing of Advance Chemistry Cell (ACC) to reduce import dependence on ACC batteries. Under PLI Scheme, National Programme on Advanced Chemistry Cell (ACC) Battery Storage has been developed. The scheme foresees setting up of a cumulative ACC manufacturing capacity of 50 GWh for ACCs and an additional cumulative capacity of 5 GWh for Niche ACC Technologies, with a budgetary outlay of INR 18,100 crore
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Ministry of Power (MoP)

Delicensing of setting up of charging stations

Ministry of Power on 13.04.2018 has issued clarification on Charging Infrastructure for Electric Vehicles with reference to the provisions of the Electricity Act, 2003, clarifying that the charging of EV batteries through charging station does not require any license under the provisions of Electricity Act, 2003.

 

 

 

NITI Aayog

National Mission on Transformative Mobility and Battery Storage

The Union Cabinet chaired by Hon’ble Prime Minister Narendra Modi approved setting up of a National Mission on Transformative Mobility and Battery Storage, to drive clean, connected, shared, sustainable and holistic mobility initiatives.

The Mission will develop strategies for transformative mobility and Phased Manufacturing Programme (PMP) for EVs, EV components and batteries. PMP will focus on Battery, raw materials, electrochemistry, end of life treatment, cell manufacturing, modules, battery packs. PMP would support setting up of large-scale, export-competitive integrated batteries and cell-manufacturing Giga plants in India, as well as localize production across the entire EV value chain. The Mission’s objective is to coordinate with relevant Central Ministries/ Departments and States in integrating various initiatives for mobility transformation in India.

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Ministry of Finance (MoF)

MOF

GST reduction on Lithium-ion batteries

To reduce the overall cost of EVs, Ministry of Finance reduced GST on Li-ion batteries from 28% to 18%.

Ministry of Housing and Urban Affairs (MoHUA)

Amendments in Model Building Byelaws (MBBL – 2016) for Electric Vehicle Charging Infrastructure

Ministry of Housing and Urban Affairs (MoHUA) has made amendments to the Model Building Byelaws (MBBL) 2016 and Urban Regional Development Plans Formulation and Implementation (URDPFI) Guidelines 2014 making provisions for establishing Electric Vehicle Charging Infrastructure. Amendments is issued considering guidelines & standards issued by Ministry of Power for charging infrastructure of electric vehicles.

The Guidelines will act as a guiding document to the State Governments and Union Territories to incorporate the norms and standards of Electric Vehicle Charging Infrastructure in their respective Building Bye Laws.

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MoHUA

Department of Heavy Industry (DHI)

FAME India Scheme – Phase I

As part of the NEMMP 2020, Department of Heavy Industry formulated a Scheme, Faster Adoption and Manufacturing of (Hybrid &) Electric Vehicles in India (FAME India) Scheme in the year 2015 to promote manufacturing of electric and hybrid vehicle technology and to ensure sustainable growth.

Phase-I of the scheme was initially launched for a period of 2 years with total fund allocation of INR 795 cr., commencing from 1st April 2015, which was subsequently extended from time to time and the last extension was allowed up to 31st March 2019 with additional outlay of INR 100 cr. Phase I of FAME India Scheme was implemented through four focus areas namely:

Phase

The demand incentive was available to buyers of EV in the form of an upfront reduced purchase price to enable wider adoption. Also, grants were sanctioned for specific projects under Pilot Projects, R&D/Technology Development and Public Charging Infrastructure components under the scheme.
In the phase I of the scheme, about 2.78 lakh EVs were supported with a total demand incentive of around INR 343 Crore. In addition, 465 buses were sanctioned to various cities/states under this scheme. The details of funds earmarked and utilized under Phase-I of FAME India Scheme is tabulated below:

 

S. NO. Financial Year Fund Allocated Fund Utilization
1 2015-16 Rs 75 Crore Rs 75 Crore
2 2016-17 Rs 144 Crore Rs 144 Crore
3 2017-18 Rs 165 Crore Rs 165 Crore
4 2018-19 Rs 145 Crore Rs 145 Crore
Total Rs 529 Crore Rs 529 Crore

 

Ministry of Road Transport & Highways (MoRTH)

Green licence plates (2018)

All Battery-Operated Vehicles to exhibit registration mark in yellow colour on green background for transport vehicles and for all other cases, in white colour on green background



Advised States to minimise road tax on EVs and licence to drive electric scooters to those in the age group of 16-18 years (2019)

– MoRTH advised states to waive road tax on EVs to maximum possible extent such that to further reduce the upfront purchase cost of EVs .

– EVs are exempted from permit requirement for plying as transport vehicle

– License to people of age group (16-18 years) to drive electric scooters


Sale and registration of Electric Vehicle without batteries (2020)

To reduce the upfront cost of electric two-wheeler and electric three-wheeler, MoRTH allowed sale and registration of e-2W and e-3W without batteries


Wayside Amenity (2021)

To improve commuters’ experience on National Highways for both, passengers and truckers, the National Highways Authority of India (NHAI) will develop world class ‘Wayside Amenities’ at more than 600 locations across 22 states along the National Highways in the next five years

Fuel Station Electric Vehicle ChargingFacilities Food Court Retail Shops ATM Toilets with showerfacility Clinic Village Haat for local handicrafts etc Children Playing Area The amenities will include numerous facilities for passengers such as:

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The facilities such as Electric Vehicle charging stations will help in promoting use of electric
vehicles, thus, reducing pollution. The amenities will also promote local economy by generating
employment opportunities and help local people to market their unique produce/ handicrafts etc. at
village haats developed at the amenities

NHAI will develop these wayside amenities across the country with a combined area of over 3,000
hectares. These will offer huge opportunities for investors, developers, operators and retailers.
Currently, NHAI is offering Wayside Amenities on Public Private Partnership model for development
and operation on existing highways.

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All upcoming greenfield/brownfield National Highway projects will be provisioned to have wayside
amenities and logistic parks. NHAI has started Land identification & monetization plan for
development and real estate consultants have been engaged for designing of the amenities after
studying the local suitability.


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Ministry of New and Renewable Energy (MNRE)

Alternate fuel for surface Transportation Programme

mnre

Ministry of New and Renewable Energy (MNRE) is implementing broad research, design, development, and demonstration programme on Alternate Fuels for Surface Transportation (AFST). MNRE had issued guidelines/scheme on 12th November 2010. A provision was made to provide Central Financial Assistance (CFA) as a subsidy to the end-users for purchasing of new indigenous battery-operated vehicles (2, 3, and 4 wheelers).

Battery operated vehicles (BOVs) must have test report certifications from Automotive Research Association of India (ARAI) or Vehicles Research Development Establishment (VRDE) or International Centre for Automotive Technology (ICAT). The Ministry has supported 47,000 BOVs of different models of different carrying capacity.

Additionally, MNRE has also been supporting broad based research, design, development, and demonstration programme for the development of motor, controller, charger, chassis, battery, and battery management system, etc., as per the research and development guidelines of the Ministry. The Ministry of Heavy Industries and Public Enterprises, Department of Heavy Industry has set up a National Council for Electric Mobility (NCEM) and a National Board for Electric Mobility (NBEM) for mission mode approach to expand electric mobility and manufacture of electric vehicles (including hybrid) and their components. MNRE is a permanent member in the NCEM as well as in the NBEM.


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