The Central and State Governments are offering various subsidies on the purchase of electric vehicles. These subsidies can make the pricing of EVs competitive.
All of us are aware that running an Electric Vehicle (EV) is more economical and environment-friendly than running an Internal Combustion Engine (ICE) vehicle, especially in view of the high prices of fossil fuels like petrol and diesel. However, the upfront cost of purchasing an EV tends to be much higher than a similar ICE vehicle - which dissuades people. However, the Central and State Governments have come up with subsidy programs to reduce the acquisition cost of EVs. Let us take a closer look at these measures.
1) Subsidy under the Central Government’s FAME India Scheme (Phase II)
On 8 March 2019, the Central Government notified Phase II of the FAME (Faster Adoption and Manufacturing of Electric Vehicles) India Scheme. The scheme is being implemented over a 3-year tenure starti...