Lok Sabha Question No. 3336 (UNSTARRED), answered on 2023-03-21
Subject: Subsidies to EV Manufacturers
Ministry: HEAVY INDUSTRIES
Asked by: Gurjeet Singh Aujla, Gaurav Gogoi

## GOVERNMENT OF INDIA MINISTRY OF HEAVY INDUSTRIES

## LOK SABHA UNSTARRED QUESTION NO. 3336 ANSWERED ON 21.03.2023

## SUBSIDIES TO EV MANUFACTURERS

## 3336.  SHRI GURJEET SINGH AUJLA: SHRI GAURAV GOGOI:

Will the Minister of HEAVY INDUSTRIES भारी उद्योग मंत्री be pleased to state:

- (a) whether  the  Government  has  blocked  all  the  subsidies  to  Electric  Vehicle  (EV)  twowheeler manufacturers, if so, the details thereof and the reasons therefor;
- (b) whether the Government is aware of the delay in completion of the Faster Adoption and Manufacturing of (Hybrid &) Electric Vehicles in India (FAME India)-II Scheme; and
- (c) if  so,  the  concrete  strategy  the  Government  proposes  to  expedite  the  process  and complete the set target in a timely manner?

## ANSWER

## THE MINISTER OF STATE FOR HEAVY INDUSTRIES (SHRI KRISHAN PAL GURJAR)

- (a): No Sir, the Ministry of Heavy Industries has received complaints regarding misappropriation of subsidies under the Government's  FAME India Phase II scheme by some electric  vehicles  manufacturers.    The  complaints  are  mainly  related  to  the  violation  of  Phased Manufacturing  Programme  (PMP)  guidelines  under  FAME  India  Scheme  Phase-II.    All  the complaint cases have been referred to the testing agencies for re-verification.  After examination of reports in respect of two OEMs, the models of these two OEMs have been suspended from the FAME scheme.  Further, the processing of their pending claims has been stopped till they submit sufficient evidence to show their compliance to PMP timelines.
- (b) & (c): Sir, the Ministry of Heavy Industries formulated a Scheme namely Faster Adoption and Manufacturing of Electric Vehicles in India Phase II (FAME India Phase II) for a period of five years commencing from 1 st April,2019 with a total budgetary support of Rs. 10,000 crore. This phase mainly focuses on supporting electrification of public & shared transportation, and aims to support through demand incentive 7090 eBuses, 5 lakh e-3 Wheelers, 55000 e-4 Wheeler Passenger Cars and 10 lakh e-2 Wheelers. In addition, creation of charging infrastructure is also supported under the Scheme.

The details of targeted vehicles to be supported vs actual vehicle sales under FAME India Scheme Phase-II, category-wise as on 15.02.2023 are as under:

| Category   | Vehicles to be supported (in No's)   | Actual Vehicles supported (in No's)   |
|------------|--------------------------------------|---------------------------------------|
| e-2W       | 10,00,000                            | 7,92,529                              |
| e-3W       | 5,00,000                             | 81,172                                |
| e-4W       | 55,000                               | 6,831                                 |
| e-Buses    | 7,090                                | 2,435                                 |
| TOTAL      | 15,62,090                            | 8,82,967                              |

The Ministry has sanctioned 2,877 electric vehicle charging stations in 68 cities across 25 states/UTs. Further, 1576 charging stations across 9 Expressways and 16 Highways under phaseII of FAME India Scheme has also been sanctioned.

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