 "After FAME-II, EMPS 2024 to fuel faster adoption of e-2W and e-3W")
The Ministry of Heavy Industries has launched the Electric Mobility Promotion Scheme 2024 (EMPS 2024) with an outlay of Rs 500 crore. This initiative is geared towards encouraging the adoption of electric vehicles (EVs) across the country. The Centre announced the new scheme following the conclusion of the second phase of the Faster Adoption and Manufacturing of Electric Vehicles (FAME-II) programme on March 31, 2024.
The scheme came into force today (April 1) and will continue till the end of July this year. EMPS 2024 focuses on subsidising the purchase of electric two-wheelers (e-2Ws) and electric three-wheelers (e-3Ws) for four months.
The scheme will incentivise the adoption of electric vehicles (EVs) in India. Here’s what the scheme offers:
The scheme aims to support a total of 3,72,215 electric vehicles, comprising 3,33,387 e-2Ws and 38,828 e-3Ws. Among the e-3Ws, there are 13,590 rickshaws and e-carts and 25,238 e-3Ws in the L5 category. To promote advanced technologies, incentives will only be extended to vehicles equipped with advanced batteries. In addition to commercial use, privately or corporate-owned registered e-2W will also be eligible under the scheme.
The latest scheme will offer subsidies of up to Rs 10,000 for electric two-wheelers. Additionally, a subsidy of up to Rs 25,000 will be provided for the purchase of small three-wheelers like e-rickshaws and e-carts, with a target of supporting around 41,000 such vehicles, and a subsidy of up to Rs 50,000 will be provided for large three-wheelers.
FAME-II, introduced in 2019, has provided subsidies on sales of approximately 1.2 million two-wheelers, 141,000 three-wheelers, and 16,991 four-wheelers. More than Rs 5,829 crore has been disbursed under the FAME-II scheme.
The Centre had granted a four-month extension to the second phase of the FAME-II programme. EMPS is being seen as a bridge scheme that will run for four months (from April 1) to minimise disruption in EV sales due to the FAME programme lapsing. EMPS is expected to pave the way for a comprehensive electric vehicle scheme, likely to be unveiled in the FY25 budget post-elections.