 "What is the FAME India Scheme?")
The government of India formulated the Faster Adoption and Manufacturing of (Hybrid &) Electric Vehicles in India (FAME India) scheme in 2015 under the National Electric Mobility Mission Plan (NEMMP) 2020.
The scheme aims to promote the manufacturing of electric and hybrid vehicle technology and ensure sustainable growth through subsidies for the purchase of electric vehicles (EVs). The FAME scheme also intends to mitigate the issue of pollution and enforce the use of renewable energy sources for transportation needs.
The scheme aims to provide incentives to:
- Manufacturers involved in the development of electric vehicles
- Manufacturers involved in the development of lithium-ion batteries and electric motors
It focuses on four areas of development;
- Technology development
- Demand creation
- Pilot projects
- Charging infrastructure
Phase-wise implementation of scheme
Phase I of FAME scheme was initiated between 2015 and 2019 to induct affordable and efficient electric and hybrid vehicles in the country. Phase II was introduced in 2019 with an outlay of Rs 10,000 crore over the period of three years to boost faster adoption of EVs as well as to start the installation of necessary charging stations.
The scheme has been extended from time to time with the last extension allowed for a period up to March 31, 2024. In Union Budget 2023-24, the government doubled the subsidy outlay of FAME 2 at Rs 5,172 crore, which is 78 per cent more than the previous budget. Towards encouraging the faster adoption of EVs, the FAME II scheme offers 50 per cent more subsidy at Rs 15,000 per kWh on electric bikes and scooters in India.
Through the FAME scheme, the government plans to support 1 million e-2Ws, 500,000 e-3Ws, 55,000 4Ws and 7,000 buses. The latest data on the number of vehicles sold and subsidy provided (state-wise) is available on the digital dashboard of the Ministry of Heavy Industries.
Key modalities of FAME
The scheme is implemented and monitored by the National Automotive Board under the Department of Heavy Industry.
The incentive amount extended under FAME is determined according to different categories of vehicles like Mild Hybrid, Strong Hybrid, Plug-in Hybrid, and Pure Electric technologies and battery specifications.
The official website to gather information about the FAME scheme is https://fame2.heavyindustry.gov.in/.
 "EV makers face legal action over wrongful FAME II incentive claims")
