EV subsidies: Center spent the quarter of the FY25 allocation to two- and three-wheelers | Mint

New Delhi: The Union Ministry of Heavy Industries spent £ 422 crore-about 27% of its FY25 Award Subsidies for Electric Two- and Three Wheelers under the center’s flagship electric vehicle (EV) subsidy scheme. This fiscal until February, a media statement from the Heavy Industries said Tuesday. Under the Premier-E-drive scheme, the center allocated £ 1.064 crore to subsidize electrical two-wheelers for the FY25 financial year. For the same period, the government granted £ 511 to the subsidization of electrical three-wheelers. The ongoing e-drive scheme of £ 10,900 crore received cabinet approval in September 2024 and is supposed to offer EVs at subsidized prices over two fiscal-FY25 and FY26. From this amount, the scheme had a £ 4.391 crore award to encourage the acquisition of electric buses in nine major metropolitan cities – the new Delhi, Mumbai, Kolkata, Chennai, Ahmedabad, Pune, Surat, Bengaluru and Hyderabad. The Premier-E-drive scheme is the government’s third most important scheme to promote electrical mobility in the country by giving consumers subsidies. Previously, two iterations from the fame scheme ran from the beginning of FY15 to FY24. Fame stands for faster adoption and manufacture of electric (and hybrid) vehicles. The two iterations of Fame were followed by the Electric Mobility Promotional Scheme (EMPS), which walked from April to September 2024. The EMPs were recorded under the PM e-drive scheme, which gave the PM-E-drive scheme a duration of two fiscal. Among these central government schemes, manufacturers must sell e-two wheelers and e-three wheelers at subsidized prices. Then the government produces manufacturers the difference. Electric mobility has departed in the country since the government has done subsidies schemes. Sales of EVs-which include two-, three- and four-wheelers, have risen constantly over the years, with the FY25 sales rising by about 17% to 1.9 million units compared to the previous fiscal 1.6 million units, according to the data of the portal of the National Vehicle Register Vahan National Vehicle Register. However, previous EV subsidies schemes were not without surprises. In May 2024, the Ministry of Heavy Industries hampered the car manufacturers Hero Electric and Chinese manufacturer Judgment India from the second iteration of the false scheme over the failure to return subsidies that were falsely claimed. Furthermore, in December 2024, the government moved into the Serious Fraud Investigation Office (SFIO), which launched searches at Hero Electric, Bening India and Okinawa Autotech. The companies collectively used £ 297 in subsidies by entering parts improperly, with the guidelines for the phase manufacturing program, the government said. But the Premier-e-drive scheme had a different focus compared to its predecessors. While the two fame schemes were focused on encouraging individual consumers to purchase EVs, the Premier-E-Display Scheme allocated about 40% of its explanation for the electricity of public transport. Catch all the car news and updates on live currency. Download the Mint News app to get daily market updates and live business news. Business Newsauto Newsev subsidies: Center spent the quarter of the FY25 award on two and three-wheelers less less