PM Electric Drive Revolution in Innovative Vehicle Enhancement

The PM Electric Drive Revolution in Innovative Vehicle Enhancement (PM E-DRIVE)’ Scheme was recently approved by the Cabinet, came into effect on October 1, 2024, and will remain in force until March 31, 2026. The primary goal of the scheme is to accelerate the adoption of electric vehicles (EVs), develop essential charging infrastructure, and establish a robust EV manufacturing ecosystem across the country.

The PM E-DRIVE initiative promotes mass mobility by supporting public transportation systems. The key objective is to speed up the transition to electric vehicles by offering upfront incentives for EV purchases and encouraging the development of charging infrastructure. The scheme seeks to reduce transportation-related environmental impacts and improve air quality while promoting an efficient and competitive EV manufacturing sector in line with the Aatmanirbhar Bharat initiative. This will be accomplished through a phased manufacturing program (PMP) to boost domestic manufacturing and strengthen the EV supply chain.

The PM E-DRIVE scheme is implemented through the following key components:

  1. Subsidies: Demand incentives for electric vehicles such as e-2 wheelers (e-2W), e-3 wheelers (e-3W), e-ambulances, e-trucks, and other emerging categories of EVs.
  2. Grants for creating capital assets: Funding will be provided for the acquisition of electric buses (e-buses), the establishment of a comprehensive network of charging stations, and the upgrading of the Ministry of Heavy Industries (MHI) testing facilities.
  3. Administration of the Scheme including IEC (Information, Education & Communication) activities and fee for project management agency (PMA).

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