Delivering 1.13 million electric vehicles in just one year, the PM E-DRIVE Scheme accelerates India’s clean mobility transition.
The scheme has driven significantly higher volumes than earlier programmes, even though it offers a demand incentive of ₹5,000 per kWh, roughly half the subsidy available under the previous Faster Adoption and Manufacturing of Electric Vehicles Phase II programme. The results underline growing consumer acceptance of electric mobility and improved market readiness.
FAME II operated over five years from FY19 to FY24 with an outlay of ₹115 billion and supported about 1.56 million electric vehicles, translating into annualised sales of roughly 0.33 million units. By comparison, PM E-DRIVE, with a budget of ₹109 billion and a tenure of 3.5 years, has already enabled the adoption of around 2.85 million vehicles, indicating faster deployment within a shorter period.
Alongside electric two wheelers, three wheelers and four wheelers, the scheme now includes electric trucks and ambulances, reflecting broader use cases across personal, commercial and public transport.
While early growth was driven by electric three wheelers, electric two wheelers became the largest segment after FY22, crossing 1.15 million units by FY25. Commercial electric four wheelers and buses have also seen steady uptake.
To support growth, ₹20 billion has been allocated for charging infrastructure, alongside measures such as Aadhaar enabled vouchers and scrappage linked incentives. Adoption, however, continues to vary by region, with higher income states showing more diverse uptake than lower income regions.
