Ministry of Heavy Industries

Rs.756.66 Crore allocated and Rs.53.27 Crore Utilized till June 2021 under FAME Scheme

Under Phase-I & Phase-II of the Scheme, about 3.71 lakhs xEVssupported with total Incentive of Rs. 634 Crore,

Rs. 1000 Crore Allocated for the Development of Charging Infrastructure in the Country,

862 Hybrid/ Electric Buses Deployed as Sanctioned to Various Cities/ States

Posted On: 02 AUG 2021 5:34PM by PIB Delhi

The details of fund allocation and utilized under Phase-I & Phase-II of Faster Adoption and Manufacturing of Hybrid and Electric Vehicles (FAME) scheme are as under:-


Figure are in Rs. Crore

Financial Year

Fund allocation

Fund utilization





















53.27 as on 30th June, 2021


Under Phase-I & Phase-II of the scheme, about 3.71 lakhs xEVs were supported with total incentive of Rs. 634 Crore (approx.) as on 28th July, 2021. In addition, 862 hybrid/ electric buses were deployed as sanctioned to various cities/ states as on 30th June, 2021.


Under Phase-II of FAME India Scheme, Rs. 1000 Cr. is allocated for the development of charging infrastructure in the country. This Ministry has sanctioned 2,877 Electric Vehicle Charging Stations amounting to about Rs 500 Crore in 68 cities across 25 States/UTs under Phase II of FAME India Scheme. Under Phase-I of FAME India Scheme, 427 charging stations have been installed.


Further, following initiatives have also been taken up by the Government for improving the charging infrastructure required for electric vehicles in the country-


(i) Ministry of Power (MoP) has released a notification on charging infrastructure standards permitting private charging at residences and offices.


(ii) Ministry of Housing & Urban Affairs (MoHUA) amended the Model Building Byelaws 2016 to establish charging stations and infrastructure in private and commercial buildings.


The upfront cost of electric vehicles is higher than the Internal Combustion Engine (ICE) vehicle. However, the operational cost of electric vehicles is lower than the ICE vehicles. Further, electric vehicles are being supported by way of demand incentives under FAME India Scheme phase II to reduce the cost difference between the electric vehicles and ICE vehicles.


Further, following initiatives have also been taken up by the Government of India for promotion of electric vehicles in the country :-


  1. Recently, the demand incentive under FAME-II scheme has been increased to Rs. 15,000/KWh from Rs. 10,000/KWh with an increase in cap from 20% to 40% of cost of vehicle, thus enabling cost of electric two wheelers at par with ICE two wheeler vehicle.
  2. The Government on 12th May, 2021 approved a Production Linked Incentive (PLI) scheme for manufacturing of Advanced chemistry cell (ACC) in the country in order to bring down prices of battery in the country. Drop in battery price will result in cost reduction of electric vehicles.
  3. GST on electric vehicles has been reduced from 12% to 5%; GST on chargers/ charging stations for electric vehicles has been reduced from 18% to 5%.
  4. Ministry of Road Transport & Highways (MoRTH) announced that battery-operated vehicles will be given green license plates and be exempted from permit requirements.
  5. MoRTH issued a notification advising states to waive road tax on EVs, which in turn will help reduce the initial cost of EVs.


This information was given  in a written reply by the Minister of State for Heavy Industries Shri Krishan Pal Gurjar in Rajya Sabha today .



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