: Govt tells EV makers to ensure components sourced locally to avail FAME II scheme benefits #finance #StockMarketNEWS Govt tells EV makers to ensure components sourced locally to avail FAME II scheme

Govt tells EV makers to ensure components sourced locally to avail FAME II scheme benefits #finance #StockMarketNEWS
Govt tells EV makers to ensure components sourced locally to avail FAME II scheme benefits New Delhi, Oct 8 (KNN) The Ministry of Heavy Industries (MHI) has sent notices to electric vehicle (EV) makers to make sure that the components used in their vehicles are locally sourced to avail benefits under the FAME II scheme.

To avail the benefits it is compulsory for EV manufacturers to meet the localisation norms.

Many EV makers were facing delays in getting subsidies under the FAME II scheme in the last few months.

According to media reports the ministry has suspended incentive payout for electric two-wheeler makers Hero Electric and Okinawa for allegedly not meeting the localisation norms.

Faster Adoption & Manufacturing of Electric Vehicles (& Hybrid) FAME scheme was first introduced in April 2019 by the government.

It aims to make the prices of electric vehicles (& hybrids) competitive to that of internal combustion (petrol, diesel) vehicles.

The scheme had an outlay of Rs 10,000 crore with an aim to subsidise 5,00,000 electric three-wheelers, 55,000 electric four-wheelers and a million electric two-wheelers.

Till date, a total of 6,24,619 EVs have been sold under the FAME II scheme, with the government of India having an expenditure of Rs 2,602 crore from the Rs 10,000 crore budget outlay.

A total of 133 models are presently eligible across segments to benefit from the FAME II scheme. (KNN Bureau)