13.92 lakh electric vehicles running on Indian roads
Electric Vehicles

13.92 lakh electric vehicles running on Indian roads

The increase in sale of EVs is attributed mainly to the incentive provided under FAME India Scheme Phase-II, provided to buyers of electric vehicles meeting FAME criteria in the form of an upfront reduction in the purchase price of electric vehicles

  • By ICN Bureau | August 06, 2022

A total of 13,92,265 Electric Vehicles (EVs) are presently running on Indian roads as on 3rd August, 2022 as per the information received from Ministry of Road Transport and Highways.

The sale of EVs in FY 2021-22 has gone up over three times as compared to sale of EVs in FY 2020-21 from to 1,34,460 (e2W - 41,048; e3W - 88,391 and e4w - 5,021) to 4,28,224 (e2W -2,31,434, e3W - 1,77,884, e4W - 18,906) as per information available on VAHAN-4 centralized database of RC (Registration Certificate).

Break-up of Electric Vehicles running on Indian roads

Two Wheeler - 5,44,643

Three Wheeler - 7,93,370

Four Wheeler and above - 54,252

Grand Total - 13,92,265

The increase in sale of EVs is attributed mainly to the incentive provided under FAME India Scheme Phase-II, provided to buyers of electric vehicles meeting FAME criteria in the form of an upfront reduction in the purchase price of electric vehicles. The incentive is linked to battery capacity i.e. Rs. 10,000/KWh for e-3W and e-4W with a cap 20% of the cost of the vehicle. Further, the incentive/subsidies for e-2W has been increased to Rs. 15,000/KWh from Rs. 10,000/KWh with an increase in cap from 20% to 40% of the cost of vehicles effective from 11th June, 2021. 

The Government on 12th May, 2021 has also approved the Production Linked Incentive (PLI) scheme for manufacturing of Advanced Chemistry Cell (ACC) in the country in order to bring down prices of batteries in the country. Drop in battery prices will result in cost reduction of electric vehicles. GST on electric vehicles has been reduced from 12% to 5%; GST on chargers/charging stations for electric vehicles has been reduced from 18% to 5%.

The Ministry of Road Transport & Highways (MoRTH) announced that battery-operated vehicles will be given green license plates and be exempted from permit requirements. MoRTH issued a notification advising states to waive road tax on EVs, which in turn will help reduce the initial cost of EVs.

Under Phase-II of FAME-India Scheme, Rs. 1,000 crore has been allocated for the development of charging infrastructure. The Ministry of Heavy Industries had sanctioned 520 charging stations/infrastructure under the Phase-I of FAME India Scheme.

Further, this Ministry has also sanctioned 2,877 Electric Vehicle Charging Stations in 68 cities across 25 States/UTs and1576 charging stations across 9 Expressways and 16 Highways under Phase II of FAME India Scheme. Under FAME India Scheme I & II, a total of 532 charging stations have been installed as on 15th July, 2022 (479 under FAME-I and 53 under FAME-II).

The Ministry of Petroleum and Natural Gas (MoPNG) has informed that Oil Marketing Companies (OMCs) as on 01.07.2022 established 3,448 electric vehicle charging stations at their Retail Outlets (ROs). 

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