Expanded Budget for FAME II Initiative with an Additional ₹1,500 Crore
The Ministry of Heavy Industries has announced an increase in the financial outlay for the second phase of the Faster Adoption and Manufacturing of Electric Vehicles (FAME) scheme. The additional funds amount to ₹1500 crore, bringing the total outlay for the FAME-II scheme to ₹11,500 crore.
Under the FAME-II scheme, subsidies have been provided for the adoption and manufacturing of electric vehicles. As of January 31, the scheme has seen the sale of more than 13 lakh EVs, with subsidies worth ₹5,790 crore distributed.
The majority of the subsidized EVs under the FAME-II scheme were two-wheelers, with 11.86 lakh receiving subsidies. Three-wheelers and four-wheelers also benefited, with 1.39 lakh and 16,991 receiving subsidies respectively.
The FAME-II scheme initially aimed to promote the growth of 10 lakh electric two-wheelers, 5 lakh electric three-wheelers, 55,000 passenger cars, and 7000 electric buses. However, as of now, the scheme has provided subsidies for less than half of the initial target for passenger cars and electric buses. The scheme has seen more than twice the initial target of electric three-wheelers and more than 13 times the initial target of electric two-wheelers.
It is worth noting that no specific details about the distribution or usage of the increased funds were provided, nor were there any details about the government's overall strategy for promoting electric vehicles. Furthermore, no information about the timeline or duration of the FAME-II scheme was provided, and no details about the impact of the increased funds on the electric vehicle industry were available.
Despite these gaps, the enhanced funding for the FAME-II scheme is a significant step towards promoting the adoption and manufacturing of electric vehicles in India. The increased funds will undoubtedly contribute to the growth of the electric vehicle industry and help India move towards a more sustainable and eco-friendly future.
As the FAME-II scheme continues to evolve, it will be interesting to see how the increased funds are utilized and the impact they have on the electric vehicle industry. With the growing demand for electric vehicles and the government's commitment to promoting their adoption, it is clear that the future of electric vehicles in India is bright.
