Budget Announcements for EVs: Can Interim Budget get the 'fame' for EVs roaring?
Budget Measures for EVS: Amid calls to curb use of fossil fuel and improving sentiment of adoption of electric vehicles, India's Budget support and policies become a crucial factor for not only the stakeholders in the industry but for consumers as well who would want the best rates to shift from fuel vehicles to EVs.
EV demand in India
As per media reports, India's electric vehicle sector achieved a historic milestone in 2023, crossing 1.5 million unit sales, marking a remarkable 46% year-on-year growth for the first time.
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The demand for electric vehicles (EVs) in India has surged by over 100% since 2017. In January-November 2023, EV sales skyrocketed to 89,137 units, doubling from 44,489 units in the corresponding period of 2022. Tata Motors, the EV leader, anticipates a slight moderation in 2024 due to a high base. However, they forecast annual electric car sales to reach 1 million units by 2028, supported by new launches and expanded charging infrastructure. Tata Motors aims for EVs to constitute 25% of its sales by 2027 and 50% by the decade's end.
Life without FAME: How costly will electric two-wheelers be sans subsidy?
However, the industry through the year was plagued with reports that several electric two-wheeler companies were found non-compliant with the localisation clause. Seven EV companies were debarred from the Faster Adoption and Manufacturing of Electric Vehicles (FAME) scheme after a government probe that initiated a claw back of wrongly claimed subsidies.
FAME is subsidy scheme. The scheme is exclusively for public and commercial transport in the segments of electric three-wheelers (e-3W), electric four-wheelers (e-4W) and
