Electric cars coming to FAME II in India

India is advancing their electric transport initiative on various levels. Details on the second part of their EV scheme FAME have been leaked. Plus, those electric cars already on the road will now receive a special green license plate with other privileges planned as well.

India is working hard to electrify their transport. The first step was the FAME subsidy scheme that is in the process of updating. New details have emerged ahead of its publication and it seems as if it would be expanded.

Not only does FAME II grant subsidies for all sort of electric vehicles, including two-wheelers and trikes as well as cars, trucks or buses but the new scheme is to introduce a scrappage scheme as well. This would see money being handed to those saying goodbye to their old gas guzzlers. More incentives may be granted for producers and developers of electric car components but this is still speculation.

Fact is though, that the Indian government has approved the introduction of green license plates to designate both private and hire electric vehicles. The idea is to promote green transport but also to indicate preferential treatment such as free parking or entry to congestion zones.

Union Minister Nitin Gadkari even considers to exempt zero emission cars from permits, saying: “Exemption from permit will be a game changer as restricted permit regime is a major concern. E-rickshaw growth is attributable to the permit exemption and there is scope to extend the exemption to the e-buses, e-taxis, e-autos and e-bikes. E-auto and e-buses may have a big impact since getting a new permit is extremely difficult.”

Moreover, the ministry has also thought aloud about lowering the age at which people are allowed to ride a scooter from 18 to 16, given they ride a gearless all-electric scooter.

On a larger scale, fleet operators might have to electrify at least one percent of their fleets by 2020, then having to use electric taxis as well as electric buses. A decision is to be made within a week’s time.

indiatimes.com (FAME II), business-standard.com (licensing)