The Ministry of New & Renewable Energy (MNRE), Government of India has announced the much awaited incentive scheme for Electric Vehicles in India by which the manufacturers of Electric Vehicles will receive financial incentive for each Electric Vehicle sold in India.
The scheme envisages incentives of up to 20% on the ex-factory prices of the vehicles, subject to a maximum limit. The cap on the incentive will be Rs.4,000 for low speed electric two wheelers, Rs.5,000 for high speed electric two wheelers and Rs. 1 lac for an electric car. In total, Govt. will provide financial incentives of about Rs. 95 Crores. Owing this these rebates, the Society of Manufacturers of Electric Vehicles (SMEV) expects a growth of about 100% in electric-vehicle sales.
As per the allocated budget in this financial year, the govt. will support 20,000 units of low speed and 10,000 units of high speed two-wheelers. It will be 80,000 units and 20,000 units of these vehicles in the coming financial year. The largest beneficiaries of this rebate will have electric vehicle brands like :
- Hero Electric
- BSA Motors
- Avon Cycles
- Mahindra Reva