New Delhi, Aug 11 (IANS) The government has extended the PM E-DRIVE scheme by two years to March 31, 2028 with electric two-wheelers continuing to receive purchase incentives as part of efforts to accelerate EV adoption and strengthen domestic manufacturing.
According to the Ministry of Heavy Industries, the PM E-DRIVE scheme will now continue until March 31, 2028, with a total outlay of Rs 11,900 crore, focusing on the faster adoption of electric vehicles, the development of charging infrastructure, and the strengthening of India’s EV manufacturing ecosystem.
Under the revised provisions, registered electric two-wheelers will be eligible for purchase incentives for the period from April 1, 2025, to March 31, 2028.
The incentive has been fixed at Rs 2,500 per kilowatt-hour, subject to a maximum of Rs 5,000 per vehicle.
However, the eligible electric two-wheeler must have a maximum ex-factory price of Rs 1.5 lakh.
Moreover, the scheme provides support for a maximum of 45,79,120 electric two-wheelers with total funding support from the ministry amounting to Rs 2,767 crore.
The incentive is lower than the support available during FY2024-25, when electric two-wheelers were eligible for Rs 5,000 per kWh and capped at Rs 10,000 per vehicle.
In addition, the government has said the per-kWh incentive may be reviewed periodically depending on reductions in vehicle costs.
The incentive will remain capped at the specified amount or 15 per cent of the vehicle’s ex-factory price, whichever is lower.
The PM E-DRIVE scheme will operate as a fund-limited programme with total payouts capped at the overall outlay of Rs 11,900 crore.
If funds allocated to the scheme or any of its components are exhausted before March 31, 2028, the concerned component may be closed and no further claims will be entertained.
Additionally, March 31, 2028 will be the terminal date for all scheme segments, while December 31, 2027 will be the last date for submission of claims.
–IANS
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