Upcoming FAME III Scheme to Push EV Adoption in India – All You Need to Know
In a significant boost for automakers in the electric vehicle (EV) sector, the government announced on Monday that it will continue its Electric Mobility Promotion Scheme (EMPS) to encourage the use of electric-powered vehicles across the country. This move underscores the government’s commitment to promoting sustainable transportation and reducing dependency on fossil fuels.
Contents
- 1 FAME III Scheme on the Horizon to Boost EV Adoption
- 2 The Role of the Automotive Industry in India’s Economic Transformation
- 3 Employment Opportunities and Support for EV Manufacturing
- 4 Positive Impact of the FAME II Scheme and Future Support
- 5 Looking Ahead: A Bright Future for Electric Vehicles in India
FAME III Scheme on the Horizon to Boost EV Adoption
Reaffirming its intent to address any challenges from the second phase of the Faster Adoption and Manufacturing of Hybrid and Electric Vehicles (FAME II) scheme, the government revealed plans to launch FAME III, the third phase of the initiative, soon. The FAME scheme has been a cornerstone of India’s strategy to accelerate the adoption of electric and hybrid vehicles, aiming to lower vehicular pollution and decrease the nation’s reliance on fossil fuels.
The Role of the Automotive Industry in India’s Economic Transformation
Speaking at the 64th annual session of the Automotive Component Manufacturers Association of India (ACMA), Heavy Industries Minister HD Kumaraswamy emphasized that India is on a path of economic transformation, with the automotive industry playing a crucial role in achieving the nation’s ambition of becoming self-reliant. Despite facing global challenges and rising logistics costs, the industry has gained significant momentum, thanks to the government’s supportive policies and close collaboration with industry stakeholders.
Employment Opportunities and Support for EV Manufacturing
Minister Kumaraswamy highlighted that the Production-Linked Incentive (PLI) scheme has generated over 35,000 employment opportunities in the automotive sector, providing a substantial boost to the industry. He also noted that the PLI scheme for storage technology continues to support the segment, which is crucial for the development of a robust EV ecosystem in India.
The PLI scheme, initially launched in March 2020, has been expanded over the years to cover more industries, reflecting the government’s broader commitment to fostering a strong manufacturing base in India.
Positive Impact of the FAME II Scheme and Future Support
The minister pointed out the positive outcomes of the Rs 11,500 crore outlay for the FAME II scheme, which are already visible in the growth and adoption rates within the EV segment. The government remains committed to providing all necessary support to enhance manufacturing capabilities, drive innovation, and support the sustainable growth of the EV industry in India.
Looking Ahead: A Bright Future for Electric Vehicles in India
With the upcoming launch of FAME III and ongoing initiatives like the Electric Mobility Promotion Scheme (EMPS) and PLI, India is steadily progressing towards its goal of increasing electric and hybrid vehicle sales. These efforts are not only aimed at reducing pollution and fossil fuel dependency but also at positioning India as a global hub for EV manufacturing.
As the government continues to work closely with the automotive industry, the future of electric mobility in India looks promising. Stay tuned for more updates on FAME III and other government initiatives that will shape the future of sustainable transportation.
