**Executive Summary**
This document, posted on February 3, 2026, by PIB Delhi, outlines various government schemes designed to promote the adoption and manufacturing of Electric Vehicles (EVs) and their charging infrastructure in India. These schemes include FAME India, PLI Auto, PLI ACC, PM E-DRIVE, SPMEPCI and PM e-Bus Sewa-Payment Security Mechanism (PSM) Scheme. There is no state-wise allocation in any of the schemes implemented by the Ministry of Heavy Industries.
**Key Points / Main Content**
* **Faster Adoption and Manufacturing of Electric (&Hybrid) Vehicles in India (FAME) India Scheme:**
* Second phase implemented from April 1, 2019, to March 31, 2024, with an outlay of Rs. 11,500 crore.
* Allocation of Rs.912.50 crore has been made under the FAME-II Scheme for setting up of electric vehicle public charging stations (EV PCS) on pan India basis including Tripura.
* **Production Linked Incentive (PLI) Scheme for Automobile and Auto Component Industry in India (PLI-Auto):**
* Approved on September 23, 2021, with a budgetary outlay of Rs. 25,938 crore.
* Aims to enhance manufacturing capabilities for Advanced Automotive Technology (AAT) products, including EVs with minimum 50% Domestic Value Addition (DVA).
* As of January 26, 2026, a cumulative incentive of Rs. 2,377.56 crore has been disbursed, with Rs. 2,319.88 crore going to EV manufacturers.
* **Production Linked Incentive Scheme on National Programme on Advanced Chemistry Cell (ACC) Battery Storage:**
* Approved on May 12, 2021, with a budgetary outlay of Rs. 18,100 crore.
* Aims to establish a competitive domestic manufacturing ecosystem for 50 GWh of ACC batteries.
* **PM Electric Drive Revolution in Innovative Vehicle Enhancement (PM E-DRIVE) Scheme:**
* Implemented from April 1, 2024, to March 31, 2028, with an outlay of Rs. 10,900 crore.
* Aims to support electric vehicles (e-2W, e-3W, e-Trucks, e-buses, and e-Ambulances) and EV public charging stations.
* Provides demand incentives to buyers in the form of upfront price reduction.
* Allocation of Rs.2,000 crore has been made under the PM E-DRIVE scheme for setting up of electric vehicle public charging stations (EV PCS) on pan India basis including Tripura.
* Allocates 13,800 e-buses in two phases for deployment in 7 four million plus cities.
* **PM e-Bus Sewa-Payment Security Mechanism (PSM) Scheme:**
* Notified on October 28, 2024, with an outlay of Rs. 3,435.33 crore.
* Aims to support the deployment of more than 38,000 electric buses.
* Provides payment security to e-bus operators in case of default by Public Transport Authorities (PTAs).
* **Scheme for Promotion of Manufacturing of Electric Passenger Cars in India (SPMEPCI):**
* Notified on March 15, 2024, to promote the manufacturing of electric cars in India.
* **Charging Infrastructure:**
* Setting up electric vehicle charging stations is an unlicensed activity.
* The Ministry of Power issued guidelines to strengthen EV charging, including on National Highways, promoting a connected and interoperable charging ecosystem.
**Impact Analysis**
**Automobile and Auto Component Manufacturers**
* **Impact:** Opportunity to benefit from financial incentives under the PLI-Auto Scheme to enhance manufacturing capabilities and attract investments.
* **Action Required:** Apply for the PLI-Auto Scheme and meet the requirements for Advanced Automotive Technology (AAT) products and Domestic Value Addition (DVA).
**ACC Battery Manufacturers**
* **Impact:** Opportunity to benefit from financial incentives under the PLI ACC Scheme to establish a competitive domestic manufacturing ecosystem.
* **Action Required:** Apply for the PLI ACC Scheme and meet the requirements for manufacturing ACC batteries.
**Electric Vehicle Buyers (Consumers/End Users)**
* **Impact:** Benefit from demand incentives in the form of upfront price reduction for e-2Ws, e-3Ws (e-rickshaws & e-carts), e-3Ws (L5), e-trucks, and e-ambulances under the PM E-DRIVE Scheme.
* **Action Required:** Purchase eligible electric vehicles to avail of the incentives.
**Public Transport Authorities (PTAs)**
* **Impact:** Supported in the deployment of electric buses through the PM e-Bus Sewa-Payment Security Mechanism (PSM) Scheme.
* **Action Required:** Participate in the PM e-Bus Sewa-Payment Security Mechanism (PSM) Scheme to deploy more than 38,000 electric buses.
**Private Entrepreneurs**
* **Impact:** Encouraged to set up electric vehicle charging stations.
* **Action Required:** Follow the guidelines issued by the Ministry of Power for setting up charging stations.
Key Entities Referenced
Faster Adoption and Manufacturing of Electric (&Hybrid) Vehicles in India' (FAME India) Scheme: A scheme to promote the adoption and manufacturing of electric and hybrid vehicles in India.
Production Linked Incentive (PLI) Scheme for Automobile and Auto Component Industry in India (PLI-Auto): A scheme to enhance India's manufacturing capabilities for Advanced Automotive Technology products.
Production Linked Incentive Scheme on National Programme on Advanced Chemistry Cell (ACC) Battery Storage: A scheme for manufacturing of ACC in India to establish a competitive domestic manufacturing ecosystem.
PM Electric Drive Revolution in Innovative Vehicle Enhancement (PM E-DRIVE) Scheme: A scheme to support electric vehicles and public charging stations, providing demand incentives to buyers.
PM e-Bus Sewa-Payment Security Mechanism (PSM) Scheme: A scheme to support the deployment of electric buses by providing payment security to e-bus operators.
Ministry of Heavy Industries
PROMOTION OF ELECTRIC VEHICLES
Posted On: 03 FEB 2026 4:42PM by PIB Delhi
The Government is actively promoting Electric Vehicles (EVs) and their charging infrastructure across the
country including the state of Tripura by implementing following schemes :
i. Faster Adoption and Manufacturing of Electric (&Hybrid) Vehicles in India' (FAME India)
Scheme : The second phase of FAME India scheme was implemented for a period of 5 years i.e.
01.04.2019 till 31.03.2024 with an outlay of Rs.11,500 crore.
ii. Production Linked Incentive (PLI) Scheme for Automobile and Auto Component Industry in
India (PLI-Auto): The Government approved this scheme on 23.09.2021 for Automobile and Auto
Component Industry in India for enhancing India's manufacturing capabilities for Advanced
Automotive Technology(AAT) products with a budgetary outlay of Rs.25,938 crore. The scheme
proposes financial incentives to boost domestic manufacturing of AAT products including EVs with
minimum 50% Domestic Value Addition (DVA) and attract investments in the automotive
manufacturing value chain.
iii. Production Linked Incentive Scheme on National Programme on Advanced Chemistry Cell
(ACC) Battery Storage: The Government on 12.05.2021 approved PLI Scheme for manufacturing
of ACC in the country with a budgetary outlay of Rs.18,100 crore. The scheme aims to establish a
competitive domestic manufacturing ecosystem for 50 GWh of ACC batteries.
iv. PM Electric Drive Revolution in Innovative Vehicle Enhancement (PM E-DRIVE) Scheme:
This scheme with an outlay of Rs. 10,900 crore is implemented w.e.f. 01.04.2024 till 31.03.2028.
The scheme aims to support electric vehicles including e-2W, e-3W, e-Trucks, e-buses and e-
Ambulances. The scheme also includes support for EV public charging stations and upgradation of
testing agencies. Under this scheme, demand incentive is provided to buyers (consumers/end users)
of e-2Ws, e-3Ws (e-rickshaws & e-carts), e-3Ws (L5), e-trucks and e-ambulances in the form of an
upfront price reduction at the time of purchase of the electric vehicle.
v. PM e-Bus Sewa-Payment Security Mechanism (PSM) Scheme: This Scheme notified on
28.10.2024, has an outlay of Rs.3,435.33 crore and aims to support deployment of more than 38,000
electric buses. The objective of scheme is to provide payment security to e-bus operators in case of
default by Public Transport Authorities (PTAs).vi. Scheme for Promotion of Manufacturing of Electric Passenger Cars in India (SPMEPCI):
This scheme was notified on 15.03.2024 to promote the manufacturing of electric cars in India.
Charging Infrastructure:
Setting up of electric vehicle charging stations is an unlicensed activity and private entrepreneurs can also
participate in the activity. The Ministry of Power issued the “Guidelines for Installation and Operation of
Electric Vehicle Charging Infrastructure–2024” on 17.09.2024 to strengthen EV charging including on
National Highways. These guidelines promote a connected and interoperable charging ecosystem by
including battery-swapping stations.
Allocation of Rs.912.50 crore and Rs.2,000 crore has been made under the FAME-II Scheme and PM E-
DRIVE scheme, respectively, for setting up of electric vehicle public charging stations (EV PCS) on pan
India basis including Tripura.
The Government is providing subsidies/ incentive to encourage the adoption of EVs through the above-
mentioned schemes i.e. FAME-II, PLI Auto, PLI ACC, PM E-DRIVE Scheme and SPMEPCI. The details
of subsidy /incentive provided under the FAME-II Scheme, PM E-DRIVE and PLI Auto Scheme till
26.01.2026 are as under:-
FAME-II
Segment No. of Vehicles incentivized Incentive Disbursed (Rs. crore)
e-2W 14,28,882 4911.81
e-3W 1,64,718 1109.86
e-4W 22,615 536.52
Total 16,16,215 6,558.19
Further, FAME-II scheme also includes grant for supporting 6,862 e-buses of state transport undertakings
(STUs)/ public transport authorities (PTAs) with outlay of Rs.3,135.5 crore and 9,159 EV public charging
stations (EV PCS) with outlay of Rs.912.50 crore.
There is no state-wise allocation in any of the schemes implemented by MHI.
Segments under FAME-II scheme e-2W e-3W e-4W Total
No. of Vehicles supported in Tripura 234 7,522 7 7,763
4 EVPCS have been installed in the state of Tripura under the FAME-II Scheme.PM E-DRIVE:
Table : Details of total subsidy provided under the PM E-DRIVE Scheme
during 01.04.2024 till 27.01.2026
Segment Target Nos. to Nos. Outlay (Rs. Incentive Disbursed
be incentivized crore) (Rs. crore)
incentivizing
under scheme
e-2w 24,79,120 14,31,067 1,772 1,177.24
e-3W (e-rickshaw & e- 39,034 3,602 50 5.80
carts)
e-3W (L5) 2,88,809 2,21,600 857 668.92
Total 28,06,963 16,56,269 2,679 1,851.97
Further, PM E-DRIVE scheme also includes support for the following:
Segment Target Nos. Outlay
(Rs. crore)
e-trucks 5,643 500
e-ambulances - 500
e-buses 14,028 4,391
EVPCS - 2,000
Upgradation of Testing Facilities - 780
Total 8,171
A total of 13,800 e-buses have been allocated in two phases under the PM E-DRIVE Schemes to be
deployed in 7 four million plus cities namely Bengaluru, Delhi, Hyderabad, Mumbai, Ahmedabad, Pune
and Surat. Tender for 10,900 e-buses under Phase I of e-buses deployment has already been concluded by
CESL. Tender for selection of e-bus operators for deployment of 2,900 e-buses under Phase II of e-buses
deployment has been floated by CESL on 09.01.2026.Segments under PM e-2W e-3W (e-rickshaw & e-cart) & Total
E-DRIVE Scheme
e-3W (L5)
No. of Vehicles 526 11,261 11,787
supported in Tripura
PLI-AUTO:
Under the PLI Auto scheme, as on 26.01.2026 cumulative incentive of Rs.2,377.56 crore has been
disbursed to the approved applicants, of which Rs.2,319.88 crore has been disbursed to EV manufacturers
(e-2w, e-3w, e-4w & e-bus). There is no state-wise allocation of incentive under the scheme.
This information was given by the Minister of State for Heavy Industries, Shri Bhupathiraju Srinivasa
Varma in a written reply in the Lok Sabha today.
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