FAME India

2023 JUL 28

Preliminary   > Economic Development   >   Indian Economy and Issues   >   Government Schemes

Why in news?

  • Recently, the Ministry of State for Heavy Industries highlighted the developments of Faster Adoption and Manufacturing of (Hybrid &) Electric Vehicles in India (FAME India) Scheme Phase-II in a written reply to the Lok Sabha.

About FAME India:

  • FAME India is a part of the National Electric Mobility Mission Plan. Main thrust of FAME is to encourage electric vehicles by providing subsidies.
  • The scheme aims at incentivising all vehicle segments.
  • Two phases of the scheme:
    • Phase I:
      •  Started in 2015 and was completed on 31st March, 2019
    • Phase II:
      • Period of five years commencing from 1st April,2019
  • The scheme covers Hybrid & Electric technologies like Mild Hybrid, Strong Hybrid, and Plug in Hybrid & Battery Electric Vehicles.
  • Department of Heavy Industries, the Ministry of Heavy Industries and Public Enterprises is the monitoring authority
  • Fame India Scheme has four focus Areas:
    • Technology development
    • Demand Creation
    • Pilot Projects
    • Charging Infrastructure

Objectives of FAME Scheme:

  • Encourage faster adoption of electric and hybrid vehicles by way of offering upfront Incentive on purchase of Electric vehicles.
  • Establish a necessary charging Infrastructure for electric vehicles.
  • To address the issue of environmental pollution and fuel security.

FAME India Scheme Phase-II:

  • This phase mainly focuses on supporting electrification of public & shared transportation, and aims to support through demand incentive 7090 eBuses, 5 lakh e-3 Wheelers, 55000 e-4 Wheeler Passenger Cars and 10 lakh e-2 Wheelers.
  • In addition, creation of charging infrastructure is also supported under the Scheme.

PRACTICE QUESTION

With reference to ‘FAME India Scheme’, consider the following statements:

1. Under the scheme, benefits will be extended to both Electric and Hybrid vehicles.

2. It aims to encourage electric vehicles by providing subsidies

Which of the statements given above is/are correct?

(a) 1 only

(b) 2 only

(c) Both 1 and 2

(d) Neither 1 nor 2

Answer