Is your electric two-wheeler eligible to get FAME-II subsidy? Know here

Only the high-speed electric scooters are eligible to get the benefit of FAME-II subsidy.
By : HT Auto Desk
| Written By : Mainak Das
| Updated on: 13 Apr 2021, 11:12 AM
As per the announcement, electric scooters have to deliver a minimum range of 80 km on a single charge and must have a top speed of at least 40 kmph to qualify for the subsidy under FAME-II. (Photo: Sabyasachi Dasgupta/HT Auto)
As per the announcement, electric scooters have to deliver a minimum range of 80 km on a single charge and must have a top speed of at least 40 kmph to qualify for the subsidy under FAME-II. (Photo: Sabyasachi Dasgupta/HT Auto)
As per the announcement, electric scooters have to deliver a minimum range of 80 km on a single charge and must have a top speed of at least 40 kmph to qualify for the subsidy under FAME-II. (Photo: Sabyasachi Dasgupta/HT Auto)
As per the announcement, electric scooters have to deliver a minimum range of 80 km on a single charge and must have a top speed of at least 40 kmph to qualify for the subsidy under FAME-II. (Photo: Sabyasachi Dasgupta/HT Auto)

The electric vehicle penetration in India has been witnessing a slow but steady growth thanks to the increasing demand for for these zero-emission models in two and three-wheeler segments. While the FAME-II scheme of the Government of India aims to promote the electric mobility by providing a subsidy, there are some certain criterions the electric vehicles have to fulfill to get the benefit.

(Also Read: Electric scooters you can ride without licence and registration)

Out of the 10,000 crore subsidy earmarked in the FAME-II scheme, two-wheelers are the largest beneficiary, specially the e-scooters. Still, according to a CRISIL report, around 95% of the electric scooters in India are not eligible for the FAME-II subsidy.

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The question is, if you are going to buy an electric scooter, are you eligible to get the FAME-II subsidy? The answer remains in the product specifications and manufacturer brand.

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The Ministry of Heavy Industry and Public Enterprise laid the eligibility criteria for electric vehicles across segments for the FAME-II subsidy. The requirements announced by the ministry depend on parameters like minimum top speed, range per charge, acceleration and energy consumption efficiency. As per the announcement, electric scooters have to deliver a minimum range of 80 km on a single charge and must have a top speed of at least 40 kmph to qualify for the subsidy under FAME-II.

According to FAME-II norms set by the Government of India, only the high-speed electric scooters that are powered by higher than 250 watt electric motor and have a top speed of above 25 kmph, are eligible for the FAME-II subsidy, which varies depending on the price of the electric scooter.

For example, the Hero Electric, which is one of the major electric two-wheeler players in India with its wide range of electric scooters, have both high-speed and low-speed models in its portfolio. While the high-speed model like Photon LP is eligible for FAME-II subsidy, the low speed models including the Flash, Optima, and Dash don't qualify for the subsidy criterion.

Among other electric two-wheeler manufacturers, several brands are focusing on producing low-speed electric scooters as they are easily affordable and don't require the riders to have a driving licence, vehicle registration, PUC or insurance. Hence, the demand for such electric two-wheelers are much more than the high-speed ones. However, these large number of electric scooters remain out of the ambit of FAME-II subsidy benefit.

First Published Date: 13 Apr 2021, 11:12 AM IST
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