In an attempt to increase adoption and manufacturing of electric vehicles in India, the government has increased subsidies on electric two-wheelers under the FAME II scheme. According to a notification issued by the Department of Heavy Industry, the amendment has increased the incentive from ₹10,000 per kWh to ₹15,000 per kWh. The notification further states that the incentive will be 40% of the total two-wheeler cost.
Courtesy: Cars and Bikes
Pandemic affected electric vehicle industry expects a decrease in raw materials' GST rates and a position in the priority sector lending list from the upcoming Budget. Ather Energy CEO Tarun Mehta said that the government must allow inverted duty refunds for R&D to minimize working capital blockage. Kinetic Green Founder Sulajja Firodia Motwani had echoed similar thoughts and asked implementation of FAME II scheme up to 2025.
Courtesy: New Indian Express