Skip to content

Centre allows OEMs to claim incentives under EV scheme twice a month | News

In the wake of low sales in the Rs 500 crore Electric Mobility Promotion Scheme (EMPS) 2024, the Centre has now allowed original equipment manufacturers (OEMs) to upload claims to the EMPS-2024 portal twice a month. OEMs are also given 120 days from the sale of their electric vehicle to submit their claims.

Additionally, to prevent multiple vehicles from being sold to a single person in violation of the scheme’s intention, the government has mandated Aadhaar authentication for claiming incentives under the scheme.

According to a Ministry of Heavy Industries notice, the one-time password exemption for Aadhaar authentication was given for sales from April 1, 2024, till June 20, 2024. All vehicles sold post-June 20 will have to submit their Aadhaar cards and verify their purchase with an OTP received on an Aadhaar-linked mobile number.

“Only one electric vehicle (EV) of a specific category per individual will qualify for incentives. Individuals must validate Aadhaar authentication linked to their mobile number to be eligible for incentives. Each mobile number can only be used once for incentive purposes, preventing multiple claims by the same individual,” the Ministry of Heavy Industries guidelines said.

According to a government official, this move comes in response to complaints from various stakeholders about individuals purchasing multiple vehicles under a single identity and claiming subsidies. “One person’s details were used to buy multiple vehicles. Therefore, we have made Aadhaar authentication mandatory,” the official said.

The changes come in the wake of the scheme, scheduled to conclude on July 31, barely achieving 3.6 per cent of the targeted vehicle sales. According to data from the Ministry of Heavy Industries, only 13,499 of the 372,215 targeted vehicles have been sold under the EMPS scheme. This is in stark contrast to the earlier flagship Faster Adoption and Manufacturing of Electric Vehicles (FAME) scheme, which exceeded its sales targets.

Under EMPS, incentives for electric two-wheelers (e2Ws) were slashed from Rs 66,000 to Rs 10,000, and for electric three-wheelers (e3Ws) from Rs 111,505 to Rs 25,000 given in FAME. The electric vehicle industry reached its peak in March 2023, the final month of FAME (second phase), with sales surpassing 200,000 vehicles. However, since then, monthly sales have not even reached the 125,000 mark.

The electric two-wheelers category saw the highest sales, with 12,457 units sold out of a target of 333,387, achieving 3.7 per cent of the target.

In contrast, e-rickshaws and e-carts had the least sales, with only 34 units sold of a target of 13,590, a mere 0.3 per cent.

For electric three-wheelers (L5 category), 1,008 units were sold against a target of 25,238, which is 4 per cent, the Ministry of Heavy Industries data reveals.

First Published: Jul 10 2024 | 5:46 PM IST

Leave a Reply

Your email address will not be published. Required fields are marked *