To wrap up stalled EV projects, the government gives PM E‑DRIVE a longer run.
The Government of India has extended the PM E-DRIVE (Electric Drive Revolution in Innovative Vehicle Enhancement) scheme until March 2028. It will allow more time to complete crucial electric vehicle (EV) projects.
The scheme, originally set to end in March 2026, will now use unspent funds from its ₹10,900 crore allocation. No additional funding has been announced.
While the scheme’s extension offers breathing room for pending EV infrastructure and deployment efforts, the subsidy support for electric two-wheelers and three-wheelers will cease as scheduled in March 2026. This bifurcated timeline ensures consumer benefits are phased out while backend infrastructure gets the necessary push to wrap up.
Launched in October 2024 following Cabinet approval the previous month, PM E-DRIVE aimed to accelerate EV adoption across a wide range of vehicle categories, including two and three-wheelers, electric buses, ambulances, trucks, and charging infrastructure.
In the financial year 2024–25, the scheme delivered strong results. India saw a record sale of over 5.7 lakh electric two-wheelers, along with notable upticks in three-wheelers and L5 segment adoption, giving a clear push to the country’s green mobility goals.
With the revised timeline, the focus will now shift toward completing EV-related infrastructure and projects that faced delays, ensuring the efficient utilisation of the remaining funds.
By continuing the groundwork for EV deployment while ending upfront subsidies, the government aims to maintain India’s momentum toward net-zero emissions without additional budgetary strain.
