Why Hero Electric, Okinawa could be blacklisted from govt's future EV schemes

Hero Electric, Okinawa Autotech are among EV makers which did not return the incentives wrongly claimed under the FAME II scheme and were consequently
...
Hero Electric Okinawa Autotech
The Centre investigated 13 manufacturers, out of which six were found to be violating the FAME-II norms. The list included the likes of Hero Electric, Okinawa Autotech, Benling India Energy and Technology, AMO Mobility, Greaves Electric Mobility and Revolt Motors.
Hero Electric Okinawa Autotech
The Centre investigated 13 manufacturers, out of which six were found to be violating the FAME-II norms. The list included the likes of Hero Electric, Okinawa Autotech, Benling India Energy and Technology, AMO Mobility, Greaves Electric Mobility and Revolt Motors.

Hero Electric and Okinawa Autotech, two among the top electric two-wheeler manufacturers in India, could soon be blacklisted from upcoming schemes in the EV space. The Centre is planning to take action against EV makers who failed to return the incentives wrongly claimed under the Faster Adoption of Manufacturing of Electric Vehicles (FAME-II) scheme earlier. The two EV makers, along with four others were found flouting norms of the scheme which offered incentives to boost shift towards electric mobility.

The Ministry of Heavy Industries had conducted an investigation against EV makers who flouted FAME-II guidelines. Besides Hero Electric and Okinawa, these EV makers also include the likes of Benling India Energy and Technology, AMO Mobility, Greaves Electric Mobility and Revolt Motors. According to the Centre, these manufacturers flouted FAME-II norms by importing EV parts and not sourcing enough from the local markets - a key condition to avail benefits under the scheme. These six manufacturers were found at fault among 13 EV makers investigated by the Centre.

Also check these Bikes

Find more Bikes
Hero Electric Photon (HT Auto photo)
BatteryCapacity Icon1.872 kWh Range Icon60 Km
₹72,990
Compare
Gt Force One Plus Pro (HT Auto photo)
MaxSpeed Icon70 kmph
₹76,555
Compare
Gt Force Ryd Plus (HT Auto photo)
MaxSpeed Icon25 kmph
₹65,555
Compare
Lectrix Ecity Zip (HT Auto photo)
UPCOMING
MaxSpeed Icon45 kmph
₹80,000 - 90,000
View Details
Okinawa Praisepro (HT Auto photo)
BatteryCapacity Icon2.0 kWh Range Icon88 km/charge
₹76,848
Compare
Hero Electric Nyx (HT Auto photo)
BatteryCapacity Icon1.536 kWh Range Icon130 km
₹ 0.62 - 0.83 Lakhs
Compare
View Offers

Out of the six EV makers, AMO Mobility, Greaves Electric Mobility and Revolt Motors have returned the subsidy amount wrongly claimed under the scheme. However, Hero Electric, Okinawa and Benling India have not yet returned their share of the incentives.

These three EV makers were de-registered from the scheme and are likely to be overlooked for other schemes. According to the ministry, these manufacturers have not replied to repeated mails sent to them regarding non-payment of incentives. News agency PTI quoted a senior official with ministry saying, “The next step is debarment from all schemes of the Ministry, that has been done for Hero Electric and Benling India. Okinawa was not debarred because they were in court at the time. The next step is blacklisting from all schemes under the Government of India. That has not happened so far because it is a step-by-step process and the Ministry of Finance gives the approval for debarment from all the ministries' schemes/policies for any company."

The upcoming Electric Mobility Promotion Scheme (EMPS) 2024 has replaced the FAME-II scheme which lapsed in April this year. With a budget of 500 crore, the scheme will be used to boost sale of electric two-wheelers and three-wheelers with the aim to develop India's EV infrastructure further. It will offer up to 10,000 as subsidy for electric two-wheelers, while three-wheelers will get up to 50,000. The scheme will remain in effect till July this year. The EV makers will receive reimbursement of the subsidies based on sale of their vehicle.

First Published Date: 24 May 2024, 12:16 PM IST
NEXT ARTICLE BEGINS

Please provide your details to get Personalized Offers on

Choose city
+91 | Choose city
Choose city

Want to get the best price for your existing car?

Powered by: Spinny Logo
By clicking "View Offers" you Agree to our Terms and Privacy Policy
Dear Name

Please verify your mobile number.

+91 | Choose city
Couldn't verify the OTP.
It's either expired or it's incorrect.