Cabinet approves PM E-DRIVE Scheme for electric vehicles

The Union Cabinet has approved the proposal of the Ministry of Heavy Industries for the implementation of the 'PM Electric Drive Revolution in Innovative Vehicle Enhancement (PM E-DRIVE) Scheme' to promote electric mobility in the country.

The scheme, with an outlay of Rs 10,900 crore over a period of two years, aims to promote the use of electric ambulances and trucks.

Though PM E-DRIVE does not the mention the provisions for electric cars, it has provided subsidies and demand incentives worth Rs 3,679 crore for electric two-wheelers (E2W), three-wheelers (E3W), trucks and other emerging EVs.

The scheme aims to support 24.79 lakh E2Ws, 3.16 lakh E2Ws, and 14,028 electric buses.

The Ministry of Heavy Industries is also rolling out e-vouchers for EV customers to avail themselves of incentives under the scheme.

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Under the scheme, Rs 500 crore will be allocated for deployment of e-ambulances. The performance and safety standards of these ambulances will be formulated in consultation with the Ministry of Health and Family Welfare, Ministry of Road Transport and Highways, and other stakeholders.

A sum of Rs 4,391 crore has been provided to procure 14,028 e-buses by state transport undertaking/public transport agencies, while Rs 500 crore has been allotted to incentivise adoption of electric trucks.

The scheme aims to address a range of issues in the EV ecosystem including range anxiety and the lack of sufficient public charging infrastructure.

It proposes the installation of 22,100 fast chargers for electric four-wheelers, 1,800 fast chargers for e-buses, and 48,400 fast chargers for E2Ws and E3Ws and has allotted Rs 2,000 crore for the same.