1,392,265 electric vehicles are presently running on the roads of India

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A total of 1,392,265 Electric Vehicles (EVs) are being used on the roads of India as on 3rdAugust, 2022 as per the information received from Ministry of Road Transport and Highways. These include 544,643 two-wheelers, 793,370 three-wheelers and 54,252 four-wheelers and above.

Further, sale of EVs in FY 2021-22 has gone up over three times as compared to sale of EVs in FY 2020-21 from 134,460 (e2W:41048, e3W-88391 and e4w-5021) to 428,224.00 (e2W: 231,434, e3W: 177,884, e4W:18,906) as per the information available on VAHAN-4 centralized database of RC (Registration Certificate).

The increase in sale of EVs is attributed mainly to the incentive provided under FAME India Scheme Phase-II, provided to buyers of electric vehicles meeting FAME criteria in the form of an upfront reduction in the purchase price of electric vehicles.

The incentive is linked to battery capacity i.e. Rs. 10,000/KWh for e-3W and e-4W with a cap 20% of the cost of vehicle. Further, the incentive/ subsidies for e-2W has been increased to Rs. 15,000/KWh from Rs. 10,000/KWh with an increase in cap from 20% to 40% of the cost of vehicle w.e.f. 11th June, 2021.

Further, following steps have been taken by the Government for adoption of electric vehicles in the country:

i. The Government on 12th May, 2021 approved the Production Linked Incentive (PLI) scheme for manufacturing of Advanced Chemistry Cell (ACC) in the country in order to bring down prices of battery in the country. Drop in battery prices will result in cost reduction of electric vehicles.

ii. Electric Vehicles are eligible for incentive under PLI scheme for Automobile and auto Components, which was approved on 15thSeptember, 2021 with a budgetary outlay of Rs. 25,938 crore for a period of five years.

iii. GST on electric vehicles has been reduced from 12% to 5%; GST on chargers/ charging stations for electric vehicles has been reduced from 18% to 5%.

iv. Ministry of Road Transport & Highways (MoRTH) announced that battery-operated vehicles will be given green license plates and be exempted from permit requirements.

v. MoRTH issued a notification advising states to waiveroad tax on EVs, which in turn will help reduce the initial cost of EVs.

 

Under Phase-II of FAME-India Scheme, Rs. 1,000 Cr has been allocated for the development of charging infrastructure. The Ministry of Heavy Industries had sanctioned 520 Charging Stations/ Infrastructureunder the Phase-I of FAME India Scheme. Further, this Ministry hasalso sanctioned 2,877 Electric Vehicle Charging Stations in 68 cities across 25 States/UTs and1576 charging stations across 9 Expressways and 16 Highways under Phase II of FAME IndiaScheme. Under FAME India Scheme I & II, a total of 532 charging stations have been installed as on 15thJuly, 2022 (479 under FAME-I and 53 under FAME-II). Ministry of Petroleum and Natural Gas (MoPNG) has informed that Oil Marketing Companies (OMCs) as on 01.07.2022 established 3448 electric vehicle charging stations at their Retail Outlets (ROs).