PM E-Drive Scheme: Incentives For EV Buyers - How To Avail

The Ministry of Heavy Industries (MHI) has notified ‘PM Electric Drive Revolution in Innovative Vehicle Enhancement (PM E-DRIVE) Scheme' on 29th September, 2024 to provide impetus to the green mobility and development of electric vehicle (EV) manufacturing eco-system in the country.  The scheme has an outlay of Rs.10,900 crore over a period of two years up to 31st March 2026.  The Electric Mobility Promotion Scheme (EMPS) 2024 implemented by MHI for the period of six months from 1st April 2024 to 30th September 2024, is subsumed in PM E-DRIVE scheme.

Features of PM E-DRIVE Scheme:

1. The Ministry of Heavy Industry (MHI) has introduced E-vouchers for EV buyer to avail the demand incentive under the scheme.
2. An allocation of ₹500 crore each has been done for deployment of e-ambulances and e-trucks under the scheme.  This is new initiative of MHI, Government of India to promote the use of e-ambulances for a comfortable patient transport.  Similarly, e-trucks have also been introduced under the scheme since trucks are major contributors to air pollution. To avail subsidy on e-truck submission of a scrapping certificate from Ministry of Road Transport and Highways (MoRTH) approved vehicles scrapping centres (RVSF) has been made mandatory.
3. ₹780 crore has been earmarked for upgradation of vehicle testing agencies.

PM E-Drive: Three Components:

1. Subsidies: ₹3,679 crore has been allocated for demand incentives for e-2W, e-3W, e-ambulances, e-trucks & other new emerging EV categories;
2. Grants for creation of capital assets: ₹7,171 crore has been allocated for e-buses, establishment of network of charging stations & upgradation of testing agencies identified under this Scheme; and
3. ₹50 crore has been allocated for administration of scheme including IEC (Information, Education & Communication) activities and fee for Project Management Agency (PMA).

The scheme has already seen a growing adoption of electric vehicles since its inception.  As per Vahan portal of the Ministry of Road Transport and Highways, the number of electric vehicles registered in the country and their growth compared to FY 2023-24 (April to November) is tabulated below: -

The PM E-DRIVE scheme aims to support electric mobility through support for 14,028 e-Buses, 2,05,392 e-3 Wheelers (L5), 1,10,596 e-Rickshaws & e-Carts and 24,79,120 e-2 Wheelers.  In addition, e-Trucks, e-Ambulances, EV public charging stations and upgradation of testing agencies is also supported under the Scheme.

For individual buyers, the PM E-DRIVE app generates an e-Voucher after completing Aadhaar e-KYC authentication using face modality.  For non-individual buyers, the PM E-DRIVE portal generates the e-Voucher.  This e-Voucher is used to avail the demand incentive.

The PM E-DRIVE scheme requires compliance to Phased Manufacturing Programme, which mandates sourcing of components from local manufactures, including medium and small enterprises.  This promotes Make in India.

This information was given by the Minister of State for Heavy Industries and Steel, Shri Bhupathiraju Srinivasa Varma in a written reply in the Lok Sabha.

Also Read: Bima Sakhi Yojana 2024 Launched By PM Narendra Modi: Check Eligibility, Registration, Features | Republic Business