Govt to roll out FAME-III subsidy in next 1-2 months: Kumaraswamy

The government is planning to roll out FAME-III (faster adoption for manufacturing of hybrids and electric vehicles) in the next two months, minister of heavy industries H D Kumaraswamy said on Wednesday at the National Conference on Electric Mobility organised by ASSOCHAM.

"The Government is unwaveringly committed to advancing India’s EV ecosystem with a focus on fostering local manufacturing and sustainable growth. The third iteration of the Faster Adoption & Manufacturing of Electric Vehicles (FAME) scheme will be rolled out within two months. We are taking a comprehensive approach to boost EV eco-system and I call upon all stakeholders to join hands towards making India a global leader in electric mobility and towards our vision of a ‘Viksit Bharat’," said Kumaraswamy.

Notably, the government, last month extended the EMPS (Electric Mobility Promotion Scheme 2024) by two months till September 20, 2024, with an enhancement of outlay to Rs 778 crore. As the FAME-II subsidy ended in March 31, 2024, the government introduced the EMPS Scheme for a duration of four months from April 1, 2024 to July 31, 2024, with an outlay of Rs 500 crore.

The FAME-I scheme was introduced in 2015 until 2019 with a total outlay of Rs 895 crore. The scheme was extended as FAME-II till March 31, 2024 with an outlay of Rs 10,000 crore.

"The transition to electric mobility requires a skilled workforce and we are working closely with industry bodies to address the skill gap for a future ready workforce. As we move forward, the focus is now on accelerating adoption of EV across segments including heavy-duty trucks, strengthening the EV value chain, enhancing related infrastructure and policy boost to encourage innovation and investment in electric mobility," he added.

Notably, the industry players are anticipating extension of FAME-II subsidy in order to sustain electric vehicle adoption in the country.