2, 877 Electric Vehicle Charging Stations sanctioned under Phase-2 of FAME India scheme

Tags: Economy/Finance National News

The Ministry of Heavy Industries has approved 2,877 Electric Vehicle Charging Stations in 68 cities across 25 States/UTs under Phase II of FAME India.

Important facts

• In addition, 1576 charging stations have also been sanctioned on 9 expressways and 16 highways under the second phase of the FAME India scheme.

• Under Phase-I of FAME India Scheme, 479 charging stations have been installed as on 1 July, 2022.

• One thousand crore rupees have been allocated for the development of charging infrastructure for a period of five years with effect from April 1, 2019, under the second phase of the FAME-India scheme.

FAME India Scheme

• To improve the infrastructure required for the large-scale use of electric vehicles, the Government formulated a Scheme namely FAME India (Faster Adoption and Manufacturing of Hybrid and Electric Vehicles) in 2015.

• Under this scheme, by the year 2022, 60-70 lakh hybrid and electric vehicles are targeted to be put on the roads across the country.

• This will reduce the consumption of about 950 crore litres of petrol and diesel, which will also save Rs 62 thousand crores spent on this.

• The main objective of this scheme is to reduce pollution and reduce greenhouse gas emissions.

• Phase-II of FAME India Scheme is being implemented for a period of 3 years from April 1, 2019.

• The Phase-I of this Scheme was launched for a period of 2 years from 1st April 2015, which was extended from time to time and the last extension was allowed up to 31st March 2019. 

Initiatives taken by the Government

• The Ministry of Housing & Urban Affairs amended the Model Building Byelaws 2016 to establish charging stations and infrastructure in private and commercial buildings.

• The Ministry of Power has issued a notification regarding the infrastructure standard allowing private charging in residences and offices.

• From 11 June, 2021 the demand incentive under Phase II of FAME India Scheme has been increased. 

• In addition, on June 25, 2021, the second phase of the FAME India scheme was extended for a period of 2 years till March 31, 2024.

• The government on 12 May 2021 approved the Production Linked Incentive (PLI) scheme for manufacturing of Advanced Chemistry Cell (ACC) in the country.

• Electric Vehicles are covered under Production Linked Incentive (PLI) scheme for Automobile and Auto Components. 

• GST on electric vehicles has been reduced from 12% upto 5%.

What are Electric Vehicles?

• Electric Vehicles are vehicles that are partially or fully powered on electric power.

• They have low running costs and are also very environmentally friendly as they use little or no fossil fuels (petrol or diesel).

• These vehicles can solve the problems of increasing pollution, global warming, depleting natural resources etc.