FAME 3.0: The Government's Electric Vehicle Incentive Scheme Will Include Hydrogen-Powered Vehicles in Its Redesigned Version

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Updated On: 14-Jul-2023 10:46 AM

The National Electric Mobility Mission announced the Faster Adoption and Manufacturing of Electric Vehicles scheme in April 2015 to stimulate the purchase of electric and hybrid vehicles by giving financial assistance.

Officials have stated that FAME 3.0 will help electric three-wheelers while also introducing a scaled-down version for two-wheelers.

Faster Adoption and Manufacturing of Hybrid and Electric Vehicles (FAME 3.0), a new iteration of the electric vehicle subsidy scheme, is apparently being designed in India.

In its third phase, this modified strategy may include light commercial vehicles and financing for research on local solutions for the sector.

While specifics of FAME 3.0 have not been revealed, the upcoming phase is expected to support vehicles fueled by other fuels, such as hydrogen. This represents a substantial divergence from earlier FAME systems, which did not enable such vehicles.

Officials have stated that FAME 3.0 will help electric three-wheelers while also introducing a scaled-down version for two-wheelers.

The scheme's initial phases were primarily aimed at encouraging electric vehicles, with electric two-wheelers being the primary beneficiaries. In addition, after consultation with industry stakeholders, the ministry intends to publish a fresh tender for 20 gigatonnes of advanced chemical cells.

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The National Electric Mobility Mission announced the Faster Adoption and Manufacturing of Electric Vehicles scheme in April 2015 to stimulate the purchase of electric and hybrid vehicles by giving financial assistance.

The FAME scheme's first two phases aided in the growth of electric vehicles in the country. The scheme, which initially offered a 40% subsidy on the purchase price of the vehicles, helped electric two-wheelers the most.

The assistance was reduced to 15% in the final year of the FAME 2.0 scheme in order to distribute the remaining funds to a greater number of participants.

"Neither FAME-1 nor FAME-2 could adequately support electric three- and four-wheelers. This is because most vehicles on the market did not meet the scheme's standards," an official explained, adding that improved support for electric three-wheelers can be expected in FAME 3.0.

India is a very large country. The majority of vehicles operate here. Every day, crores of trucks of different types transport commodities on the roadways, ranging from two-wheelers to three-wheelers, four-wheelers, and heavy-duty trucks. Aside from loading vehicles, passenger vehicles are always moving.

So far, the number of vehicles in India that run on conventional fuel, such as diesel and petrol, is large. These automobiles' emissions have a negative impact on human life. In order to combat this, the central government implemented the FAME 3.0 scheme.