PM E-DRIVE: Modi government to issue certificates highlighting EV subsidies
What's the story
The Indian government has rolled out the PM E-DRIVE scheme, a ₹10,900 crore initiative to boost electric vehicle (EV) adoption.
Under this program, EV buyers will get a special certificate detailing the financial assistance they've received from the central government.
The aim is to make sure consumers know exactly what subsidy benefits they have under this scheme.
Contents
Certificate and subsidy process
The PM E-DRIVE certificate will have the buyer's name and photo, the name of the original equipment manufacturer (OEM), and an image of Prime Minister Narendra Modi.
This is to ensure that every customer knows that their subsidy comes directly from the Ministry of Heavy Industries.
The process for availing this subsidy is simple and fast, involving an eAadhaar-based KYC authentication via a mobile app at the dealership.
Subsidy specifics
Innovative facial authentication and subsidy details
Following the KYC process, customers will go through facial authentication, which is a first for any government-backed initiative.
After that, they'll take a selfie at the dealership, and this will be uploaded to the PM E-DRIVE portal along with their e-voucher.
The whole thing takes about five minutes.
The scheme, which runs from October 1, 2024, to March 31, 2026, offers subsidies based on battery power at ₹5,000 per kilowatt hour (kWh) for electric two-wheelers in its first year.
Scheme reach
Scheme's impact and future plans
The PM E-DRIVE scheme is all set to give a boost to around 24.79 lakh electric two-wheelers, over 3.16 lakh electric three-wheelers, and about 14,028 electric buses.
As it enters its second year, the subsidy rate for two-wheelers will be slashed to ₹2,500 per kWh. Plus, the total benefit won't go beyond ₹5,000 in this phase of the scheme.
Extra benefits
Additional incentives and infrastructure development
Three-wheelers, including the e-rickshaws, will get a demand incentive of ₹25,000 in the first year and ₹12,500 in the second year.
For cargo three-wheelers (L5 category), they'll receive a benefit of ₹50,000 in the first year, and ₹25,000 in the second year.
The scheme also aims to set up electric vehicle public charging stations (EVPCS) in certain cities with high EV penetration and on chosen highways.
Allocation details
Allocation for EVPCS and incentives
The PM E-DRIVE scheme has set aside a whopping ₹2,000 crore to roll out 22,100 fast chargers for electric cars, 1,800 fast chargers for buses, and 48,400 fast chargers for two/three-wheelers.
So far, the scheme has already dished out subsidies and demand incentives worth ₹3,679 crore, to encourage different types of EVs, including e-ambulances and e-trucks.
Plus, there's an extra ₹500 crore specifically for boosting e-trucks under this initiative.