Lok Sabha Question No. 2787 (UNSTARRED), answered on 2025-03-18
Subject: International Centre for Automotive Technology
Ministry: HEAVY INDUSTRIES
Asked by: Shri Yaduveer Wadiyar, Shri Ramvir Singh Bidhuri

## GOVERNMENT OF INDIA MINISTRY OF HEAVY INDUSTRIES

## LOK SABHA UNSTARRED QUESTION NO. 2787

ANSWERED ON 18.03.2025

## INTERNATIONAL CENTRE FOR AUTOMOTIVE TECHNOLOGY

## †2787. SHRI RAMVIR SINGH BIDHURI: SHRI YADUVEER WADIYAR:

Will the Minister of HEAVY INDUSTRIES be pleased to state:

(a) the contribution made by ICAT (International Centre for Automotive Technology) in terms of research and development in automotive sector of India;

(b) the steps being taken by ICAT for providing technological assistance to Indian Automotive Start-ups and MSME;

(c) the strategy of the Government to attract foreign investment in heavy industry and automobile sector; and

(d) the schemes of the Government to strengthen the position of India in global EV and hydrogen fuel cell market?

## ANSWER THE MINISTER OF STATE FOR HEAVY INDUSTRIES

## (SHRI BHUPATHIRAJU SRINIVASA VARMA)

(a) : International  Centre  for  Automotive  Technology  (ICAT)  has  played  a  key  role  in advancing  research  and  development  within  India's  automotive  sector.    It  has  successfully developed 27 innovative technologies, reflecting its commitment to excellence in automobile engineering.  Additionally, ICAT holds 9 patents/ IPRs and 2 copyrights/ design registrations, highlighting its contributions to intellectual property in the automotive domain.  ICAT's experts have  published  over  50  technical  papers  in  esteemed  national  and  international  forums. Furthermore, to strengthen the R&D ecosystem, ICAT has established over 40 Memorandums of Understanding (MoUs) with leading domestic and international automotive organizations and premier academia such as IIT-Kanpur, IIT-Roorkee, IIT-Hyderabad, CDAC, IDIADA-Spain, TUV Rhineland-Germany.

(b): ICAT has launched the ICAT incubation and acceleration centre for supporting startups in  auto  and  allied  domain.    Additionally,  ICAT is a board member in Automotive & Allied Research and Technology Innovations (AARTI) Foundation, a section-8 entity established with support from IIT-Roorkee, to support innovation and businesses in auto and allied domains, especially  for  startups  and  MSMEs.  ICAT  actively  engages  startups  &  MSMEs  through workshops, seminars and webinars offering skilling and upskilling opportunities while serving as a technology and validation partner by providing technical and industry expertise.

(c) & (d): The  Government  of  India  has  formulated  various  schemes  to  attract  foreign investment in the heavy industry and automobile sectors. These schemes also aim to strengthen the position of India in global EV and hydrogen fuel cell market. The details are as under: -

- i. Production Linked Incentive (PLI) Scheme for Automobile and Auto Component Industry in India (PLI-Auto): Government has notified this scheme on 23.09.2021 for Automobile  and  Auto  Component  Industry  for  enhancing  India's  manufacturing capabilities  for  Advanced  Automotive Technology  (AAT) products with a budgetary outlay of ₹25,938 crore. There are 41 approved foreign applicants in the scheme.
- ii. Scheme  to Promotion  Manufacturing  of  Electric Passenger Cars  in India (SPMEPCI): This scheme was notified on 15.03.2024 to promote the manufacturing of electric  cars  in  India.  Under  this  scheme,  EV  passenger  cars  (e-4W)  can  initially  be imported with a minimum CIF value of USD 35,000, at a duty rate of 15% for a period of 5 years from the date of issuance of approval letter by MHI.  This requires applicants to invest a minimum of ₹4,150 crore and achieve a minimum DVA of 25% at the end of third year and DVA of 50% at the end of fifth year.
- iii. Faster  Adoption  and  Manufacturing  of  (Hybrid  &)  Electric  Vehicles  in  India (FAME India)  Scheme  Phase-II :  The  Government  implemented  this  scheme  for  a period of five years from 01/04/2019 till 31/03/2024 with a total budgetary support of Rs.11,500 crore.  There are foreign OEMs who had invested and were supported under the scheme.
- iv. PM Electric Drive Revolution in Innovative Vehicle Enhancement (PM E-DRIVE) Scheme: This scheme with an outlay of Rs.10,900 crore was notified on 29 th September, 2024.  It is a two-year scheme w.e.f. 1 st April, 2024 onwards, which aims to support EVs including e-2W, e-3W, e-Trucks, e-buses and e-Ambulances.  There are foreign OEMs who have invested and are supported under the scheme.
- v. National Green Hydrogen Mission (NGHM): The Ministry of New and Renewable Energy  (MNRE)  is  implementing  the  National  Green  Hydrogen  Mission,  with  an objective to make India a global hub of production, usage and export of Green Hydrogen and its derivatives.  One of the objectives of the Mission is to support the deployment of Green Hydrogen as fuel in buses and trucks, in a phased manner on a pilot basis.  MNRE issued  the  scheme  guidelines  for  implementation  of  pilot  projects  for  use  of  Green Hydrogen  in  the  Transport  Sector  under  the  NGHM.  Under  this  scheme,  five  pilot projects have been sanctioned consisting total of 37 vehicles (buses and trucks), and 9 hydrogen refuelling stations. As part of the Mission, the R&D Scheme Guidelines have been issued that include development of fuel cells as one of the key areas.

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