The Ministry of Heavy Industries (MHI) has told Parliament that 23,22,878 electric vehicles (EVs) had been incentivised under the PM Electric Drive Revolution in Innovative Vehicle Enhancement (PM E-DRIVE) scheme as on 22.07.2026. Of this, ₹2,281.94 crore has been reimbursed to original equipment manufacturers (OEMs). The figures came in replies from Minister of State for Heavy Industries Bhupathiraju Srinivasa Varma. The predecessor scheme, FAME-II, supported about 16.72 lakh EVs.
PM E-DRIVE has an outlay of ₹10,900 crore. It was notified on 29 September 2024 and runs to 31 March 2028. It applies from 1 April 2024 because the Electric Mobility Promotion Scheme 2024 was subsumed into it. It targets incentives for about 28.30 lakh EVs: e-2W, e-3W, e-trucks, e-buses and e-ambulances. It also gives grants for public charging stations and for upgrading testing agencies.
Incentives are paid per kWh, with caps that differ by vehicle type. For e-2W, the rate was ₹5,000/kWh capped at ₹10,000 per vehicle in FY 2024-25, falling to ₹2,500/kWh capped at ₹5,000 thereafter, up to a terminal date of 31.07.2026. The e-2W and e-3W incentive is also capped at 15% of ex-factory price. E-trucks get ₹5,000/kWh, capped at 10% of ex-factory price and by gross vehicle weight. E-ambulances get ₹30,000/kWh, capped at 35% of ex-factory price. E-buses get ₹10,000/kWh, capped at 20% of vehicle cost and by length, from ₹20 lakh for 6 to 8 m buses to ₹35 lakh for 10 to 12 m buses. The L5 e-3W component closed after 26.12.2025.
Buyers get the incentive as an upfront price reduction, and MHI later reimburses OEMs. Of the vehicles incentivised so far, 20,56,831 are e-2W (₹1,505.30 crore), 5,082 are e-rickshaws and e-carts (₹7.61 crore) and 2,60,965 are L5 e-3W (₹769.02 crore). In FY 2025-26, ₹1,160.32 crore of an allocated ₹1,300 crore was spent. In FY 2026-27, ₹169.06 crore of ₹1,500 crore has been spent, with claims of ₹139.43 crore under processing.
PM E-DRIVE allocates ₹2,000 crore for public charging stations. As on 01.07.2026, ₹689 crore had been approved for 6,562 chargers to three Oil Marketing Companies and nine States. BHEL is the Project Implementation Agency for charging stations under the scheme. MHI noted that setting up charging stations is an unlicensed activity open to private entities. Under FAME-II, ₹912.50 crore was allocated for charging stations, with no state-wise allocation.
For e-buses, ₹4,391 crore is allocated for 14,028 buses. Of these, 13,800 are for seven cities with over four million people: Delhi, Bengaluru, Hyderabad, Mumbai, Ahmedabad, Pune and Surat. Another 200 are approved for Jammu & Kashmir. Letters of Confirmation of Quantity have gone to successful bidders for 13,800 buses, and Surat and Hyderabad have signed concession agreements for 600 and 915 buses. FAME-II had deployed 5,197 e-buses as on 30.06.2026.
FAME-II ran from 01.04.2019 to 31.03.2024 with ₹11,500 crore. In West Bengal, 482 charging stations were sanctioned and 463 were operational as on 01.07.2026. North 24 Parganas (43), Paschim Bardhaman (42) and Paschim Medinipur (34) have the most; Kalimpong has none. No financial assistance has yet been given to West Bengal under PM E-DRIVE.
In the North-East, 20,855 EVs were incentivised with ₹134.13 crore disbursed, against 16,21,197 EVs and ₹6,575.29 crore pan India. That is 1.29% by number and 2.04% by value. Of 198 chargers sanctioned in the region, Assam has 117, of which 88 were operational.
MHI said no formal impact assessment has been done, though EV penetration rose from 0.7% in FY 2019-20 to 8.2% in FY 2025-26, supported by PM E-DRIVE, FAME-II and other policies. There is no state-wise allocation for the demand incentive, so state-wise data is not maintained. The e-voucher system records only completed Aadhaar face-authentication transactions, so failed or pending attempts are not tracked. MHI said no National Electric Vehicle Policy is under consideration and there is no proposal for a further scheme.
OEMs under the scheme have localised models and obtained Phased Manufacturing Programme compliance certificates from MHI testing agencies. Other measures cited include:
The Battery Waste Management Rules, 2022 were notified by the Environment Ministry on 22 August 2022. GST on EVs and chargers has been cut to 5%. The Ministry of Road Transport and Highways has announced green licence plates and permit exemption for battery-operated vehicles and advised states to waive road tax on EVs.
With reference to the PM Electric Drive Revolution in Innovative Vehicle Enhancement (PM E-DRIVE) scheme, consider the following statements:
Which of the statements given above are correct?
Which one of the following sets of cities is among those for which 13,800 e-buses have been allocated under PM E-DRIVE?
Consider the following pairs:
Scheme / Measure : Feature stated
How many of the pairs given above are correctly matched?
