The Union government decided to extend the Faster Adoption and Manufacturing of (Hybrid) and Electric Vehicles (FAME) scheme by six months until 30 September 2018, or till the time the second phase of the scheme is approved by it. The department of heavy industries has already prepared a draft of the second phase of the scheme, which has been sent to the finance ministry for approval.
About FAME India scheme:
What is it? With an aim to promote eco-friendly vehicles, the government had launched the Faster Adoption and Manufacturing of (Hybrid &) Electric Vehicles in India (FAME-India) scheme in 2015.
The FAME India Scheme is aimed at incentivising all vehicle segments, including two-wheelers, three wheeler auto, passenger four-wheeler vehicle, light commercial vehicles and buses. The scheme covers hybrid and electric technologies like a strong hybrid, plug-in hybrid and battery electric vehicles.
FAME India – Faster Adoption and Manufacturing of Hybrid and Electric vehicles in India – is a part of the National Electric Mobility Mission Plan. The scheme envisages Rs 795 crore support in the first two fiscals. It is being administered by the Heavy Industries Ministry.
Electric vehicles (EVs) seem to be gaining in prominence as part of the renewable energy zeitgeist. However, mainstreaming electric vehicles will require an overhaul of the country’s energy and transport infrastructure. For example, EV charging stations will have to be set up on a war footing, and electricity generation will have to improve significantly even as it piggybacks on the push for solar energy. EV technology (especially the battery) will have to become much cheaper before it can perform well in a price-sensitive market like India.