Govt rushes to find demand for electric trucks under PM E-Drive after bare FY25

Subscribe to enjoy similar stories. New Delhi: The ministry of heavy industries has identified ports, steel, cement and logistics as sectors to generate demand for electric trucks (e-trucks) under the PM E-Drive scheme after turning up empty-handed in the first half of the scheme, according to two officials aware of the development. The ₹500 crore, two-year scheme for e-trucks is set to end in fiscal year 2026 (FY26).

At the end of the first year, there has been no progress on e-trucks, and the government is yet to notify the localization norms for these zero-emission vehicles at a time when the industry has asked for 18 months to comply. Also read | ARAI likely to plan division of auto testing agencies allocation under PM E-drive scheme among four agencies Ports have multiple use cases for electric trucks, including the movement of cargo within the port facility. Similarly, the cement, steel and logistics sectors rely on trucks for the movement of cargo across the country.

The government's efforts to mobilize e-trucks come at a time when the ₹10,900 crore PM E-Drive scheme has completed half its runtime in FY25. This gives the government only another fiscal to incentivize automakers and consumers to adopt electric mobility in the commercial vehicle segment. Under the PM E-Drive scheme—the Centre's third electric vehicle (EV) subsidy scheme—automakers sell EVs to consumers at a discount, and the government reimburses the difference.

The scheme is the first in which the government has considered sunrise sectors such as public transportation and trucks. But reducing carbon emissions in trucks has not been without hurdles. The government had stated in the PM E-Drive scheme notification that it would notify the phased