Question : Incentives to EV Manufacturing Industry

(a) whether the Government has any plan to establish the Electric Vehicle (EV) Manufacturing Industry and if so, the details thereof along with the incentives proposed/granted for the purpose particularly in the States of Bihar and Uttar Pradesh;

(b) the facilities and incentives being offered to EV Manufacturing Industry;

(c) the number of manufacturing units established so far along with the States which already have manufacturing units; and

(d) the details and the number of proposals for EV Manufacturing Units which are pending for clearance and the reasons for delay?

Answer given by the minister

THE MINISTER OF HEAVY INDUSTRIES
(DR. MAHENDRA NATH PANDEY)

(a) to (d): A statement is laid on the Table of the House.

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STATEMENT

STATEMENT REFERRED TO IN REPLY TO PARTS (A) TO (D) OF LOK SABHA STARRED QUESTION NO. 477 FOR 05.04.2022 ASKED BY SHRI RAJIV RANJAN SINGH ALIAS LALAN SINGH AND SHRI KAUSHALENDRA KUMAR REGARDING “INCENTIVES TO EV MANUFACTURING INDUSTRY”.

(a) & (b): Sir, there is no such proposal under the consideration of the Ministry of Heavy Industries to establish the Electric Vehicles (EVs) Manufacturing Industry. However, the following three schemes have been formulated by the Ministry of Heavy Industries for providing facilities and incentives to the EV Manufacturing Industry:

1. Faster Adoption and Manufacturing of Hybrid and Electric Vehicles in India (FAME India): The Government notified Phase-II of FAME India Scheme initially for a period of three years commencing from 1st April, 2019 with a total budgetary support of Rs. 10,000 crore. The Scheme was extended for a further period of 2 years up to 31st March 2024. The details of the scheme as notified is at ANNEXURE-I.

2. Production Linked Incentive (PLI) Scheme for Automotive Sector: The Government on 15th Sep, 2021 approved the PLI Scheme for Automotive Sector with a budgetary outlay of Rs. 25,938 crores. Electric vehicles are covered under this PLI scheme. The details of the scheme as notified is at ANNEXURE-II.

3. PLI Scheme for Advanced Chemistry Cell (ACC): The Government on 12th May, 2021 approved PLI Scheme for manufacturing of ACC in the country with a budgetary outlay of Rs. 18,100 crore. The scheme envisages to establish a competitive ACC battery manufacturing set up in the country for 50 GWh. Additionally, 5GWh of niche ACC technologies is also covered under the Scheme. The details of the scheme as notified is at ANNEXURE-III.

(c): State-wise manufacturing units registered as on 31.03.2022 under Phase-II of FAME India Scheme is at ANNEXURE-IV.

(d): Sir, there is no proposal pending for clearance in MHI for EV Manufacturing Units.
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