Electric Vehicle Boom: Over 14 Lakh EVs Registered Amongst 2.27 Crore Vehicles in 2023
Delhi, 18th December 2023:
The Ministry of Heavy Industries recently unveiled three impactful schemes aimed at bolstering Electric Vehicle (EV) demand and incentivizing EV and Advanced Automotive Components manufacturing.
One of the key initiatives is the FAME India Phase II Scheme, allocated a budget of Rs. 10,000 crore over five years starting from April 1, 2019. This scheme targets promoting electric/hybrid technology in transportation to curb fossil fuel dependence and address emissions. It provides subsidies for e-Buses, e-3 Wheelers, and e-4 Wheelers used in public transport or commercial purposes. Privately owned e-2 Wheelers are also eligible for subsidies under this scheme.
FAME II aspires to support 7,090 e-Buses, 5 lakh e-3 Wheelers, 55,000 e-4 Wheeler Passenger Cars (including Strong Hybrid), and 10 lakh e-2 Wheelers. Detailed information about FAME II can be accessed on the official website: FAME II India Scheme.
Additionally, the government approved the Production Linked Incentive (PLI) scheme named ‘National Programme on Advanced Chemistry Cells (ACC) Battery Storage’ in May 2021, with a budget outlay of Rs. 18,100 crores. This scheme aims to encourage domestic manufacturing, aiming for a cumulative ACC battery manufacturing capacity of 50 GWh. The scheme details are available at: PLI Scheme for ACC Battery Storage.
Another significant initiative is the Production Linked Incentive (PLI) Scheme for the Automobile and Auto Component Industry, allocated Rs. 25,938 crore. This scheme offers financial incentives to boost the manufacturing of Advanced Automotive Technologies (AAT) products, including electric vehicles and their components. More information can be found at: PLI Scheme for Automobile and Auto Component Industry.
Moreover, to encourage the sale of electric vehicles, the Ministry of Heavy Industries and NITI Aayog devised a subsidy or low-interest loan scheme for electric vehicles.
Incentives/subsidies are provided to electric vehicle buyers through upfront reductions in purchase prices under Phase-II of FAME-India Scheme. The incentives are linked to battery capacities, offering subsidies based on specific rates for different vehicle types.
As per data from the Ministry of Road Transport and Highways, the number of registered vehicles in India, including electric, petrol, and diesel vehicles, has steadily increased over the years. The proportion of electric vehicles to the total number of vehicles registered has shown a significant upward trend, indicating a rising adoption of electric vehicles in India
ANNEXURE
Data regarding the number of sold vehicles in India including electric and petrol/ diesel vehicles
| Detail of vehicle registered during calendars years -2020 to 2023 (till 12-12-2023) | ||||
| Particulars | 2020 | 2021 | 2022 | 2023 (till 12-12-2023) |
| No. of Petrol Vehicles | 1,63,54,918 | 1,63,15,856 | 1,78,17,281 | 1,80,56,749 |
| No. of Diesel Vehicles | 20,33,747 | 20,18,742 | 23,47,488 | 24,02,341 |
| No. of Electric Vehicles | 1,24,681 | 3,31,634 | 10,25,118 | 14,33,545 |
| TOTAL of Above Three Rows | 1,85,13,346 | 1,86,66,232 | 2,11,89,887 | 2,18,92,635 |
| Total Vehicle Registered Calendar Year Wise | 1,86,41,661 | 1,89,20,541 | 2,15,70,361 | 2,27,17,562 |
| Ratio of EVs to total vehicles | 0.0067 | 0.0175 | 0.0475 | 0.0631 |
Note: 1- The details given are for digitized vehicle records as per centralized Vahan 4.
2- Data for Telangana and Lakshadweep has not been provided as they are not in centralized Vahan
