FAME II Amendment

Ministry of Heavy Industry has announced major amendments in ongoing FAME-II scheme. Ministry has fixed incentives for India-made electric two-wheelers.


  • With the recent amendments on price side and subsidies government aims to promote electric two-wheeler usage across India.
  • Reduction is price will help in EV adoption and strengthen government’s plans of making India an electric vehicle nation by 2030.

What are the recent amendments?

Earlier, subsidy rate for electric two-wheelers was Rs 10,000/kWh. It has been increased to Rs 15,000/kWh, which is nearly 40 percent of vehicle cost.

Procurement of EVs

Central government will procure electric buses and three-wheelers on large scale. EESL will be directed to procure three lakh electric rickshaws and has been told to aggregate demand for electric buses across nine major cities namely, Surat, Pune, Mumbai, Chennai, Ahmedabad, Hyderabad, Kolkata, Delhi and Bengaluru.

FAME India Scheme

This scheme was launched with the aim of incentivising vehicle segments including 2-Wheeler, Passenger 4-Wheeler Vehicle, 3-Wheeler Auto, Light Commercial Vehicles and Buses. It also covers Hybrid & Electric technologies such as Mild Hybrid, plug in Hybrid, Strong Hybrid and Battery Electric Vehicles. This scheme is monitored by Department of Heavy Industries. It has four focus areas viz., Technology development, Demand Creation, Charging Infrastructure and Pilot Projects.


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