The Union Cabinet has approved the ‘PM Electric Drive Revolution in Innovative Vehicle Enhancement (PM E-DRIVE) Scheme’ to promote electric mobility across India.
This initiative, proposed by the Ministry of Heavy Industries (MHI), has a total budget allocation of Rs 10,900 crore over the next two years.
The scheme offers subsidies and demand incentives worth Rs 3,679 crore for various electric vehicles, including e-2Ws (electric two-wheelers),
e-3Ws (electric three-wheelers), e-ambulances, e-trucks, and other emerging electric vehicles.
It aims to support the deployment of 24.79 lakh e-2Ws, 3.16 lakh e-3Ws, and 14,028 e-buses.
How the E-Voucher System Works
To simplify access to these incentives, the Ministry is introducing an e-voucher system for EV buyers.
When purchasing an EV, the buyer will receive an Aadhaar-authenticated e-voucher via the scheme portal.
This e-voucher, once signed by both the buyer and the dealer, will be uploaded to the PM E-DRIVE portal and used by auto manufacturers to claim reimbursement for the demand incentives.
Focus on E-Ambulances, E-Buses, and E-Trucks
The PM E-DRIVE scheme allocates Rs 500 crore specifically for the deployment of e-ambulances, a new initiative to promote eco-friendly emergency vehicles.
Additionally, Rs 4,391 crore has been set aside for the procurement of 14,028 e-buses by public transport agencies in nine cities with populations over 40 lakh, including Delhi, Mumbai, Kolkata, and Bangalore.
The scheme also encourages replacing old buses with new e-buses through authorized scrapping centers.
For e-trucks, Rs 500 crore has been allocated to promote their use, addressing the significant contribution of trucks to air pollution.
Incentives will be provided to those holding scrapping certificates from Ministry of Road Transport and Highways (MoRTH)-approved vehicle scrapping centers.
Boosting EV Charging Infrastructure
To alleviate range anxiety among EV users, the scheme plans to invest heavily in electric vehicle public charging stations (EVPCS).
A total of Rs 2,000 crore is allocated for installing 22,100 fast chargers for electric four-wheelers, 1,800 fast chargers for e-buses,
and 48,400 fast chargers for e-2Ws and e-3Ws in selected cities and along highways, supporting the growth of electric mobility infrastructure across India.
