Question : FAME India Scheme

(a) whether high cost of pure electric vehicle is a prohibiting factor in its popularisation and if so, the details thereof;
(b) whether the Government has formally launched the FAME India scheme offering incentives on electric and hybrid vehicles and if so, the details thereof;
(c) whether the Ministry of Heavy Industries has requested the Finance Ministry to extend the 200 per cent incentive for research and development, especially for the automobile sector and if so, the details thereof;
(d) whether FAME India-Faster Adoption and Manufacturing of Hybrid and Electric vehicles in India is a part of the National Electric Mobility Mission Plan;
(e) if so, wheher the scheme envisaged Rs. 795 crore support in the first two fiscals starting with the current year; and
(f) if so, the details thereof and the action taken so far by the Government in this regard?

Answer given by the minister

MINISTER OF STATE IN THE MINISTRY OF HEAVY INDUSTRIES AND PUBLIC ENTERPRISES (SHRI BABUL SUPRIYO)

(a) to (f): National Electric Mobility Mission Plan 2020 (NEMMP-2020) had flagged high cost of pure electric vehicles as one of the possible inhibiting factors. Accordingly, demand incentives were included in the FAME India Scheme launched w.e.f 1st April 2015.
Government of India has notified FAME India Scheme [Faster Adoption and Manufacturing of (Hybrid &) Electric Vehicles in India] for implementation with effect from 1st April 2015, with the objective to support hybrid/electric vehicles market development and manufacturing eco-system. The scheme has 4 focus areas i.e. Technology Development, Demand Creation, Pilot Projects and Charging Infrastructure. Details of the scheme including incentives on electric and hybrid vehicles are available in the website of the Department of Heavy industry [www.dhi.nic.in].

FAME India Scheme is a part of the National Electric Mobility Mission Plan. The Phase-I of the scheme is being implemented over a period of 2 year i.e. FY 2015-16 and FY 2016-17 commencing from 1st April 2015 with an approved outlay of Rs. 795 Crore. Initial seed money of Rs. 75 Crore was allotted in the FY 2015-16 and Rs. 122.90 Crore has been allotted during the current financial year 2016-17.

DHI has not requested the Finance Ministry to extend the 200 percent incentive for research and development for the automobile sector.

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