FAME-India Scheme

Topics Covered:

Welfare schemes for vulnerable sections of the population by the Centre and States and the performance of these schemes; mechanisms, laws, institutions and Bodies constituted for the protection and betterment of these vulnerable sections.

FAME-India Scheme

To promote manufacturing of electric and hybrid vehicle technology and to ensure sustainable growth of the same, Department of Heavy Industry is implementing FAME-India Scheme Phase – I [Faster Adoption and Manufacturing of (Hybrid &) Electric Vehicles in India] from 1^st April 2015.

The scheme was initially up to 31^st April 2017, has been extended up to 31^st March 2019 or till Notification of FAME-II, whichever is earlier.

FAME-India Scheme Phase – II:

The scheme proposes to give a push to electric vehicles (EVs) in public transport and
It seeks to encourage adoption of EVs by way of market creation and demand aggregation.

Automobile Sector:

100% FDI by automatic route is permitted in the automobile sector.
Further, the sector is deregulated, both private sector and public sector are free to carry out investment in the automobile sector, including for manufacturing of Electric Vehicles and E-Buses.

Background:

FAME India is a part of the National Electric Mobility Mission Plan. Main thrust of FAME is to encourage electric vehicles by providing subsidies.

Vehicles in most segments – two wheelers, three wheelers, electric and hybrid cars and electric buses obtained the subsidy benefit of the scheme.