On Friday, the government announced the extension of the Electric Mobility Promotion Scheme 2024 (EMPS 2024) by two more months. So now, the policy will end on September 30, 2024.
The Ministry of Heavy Industries confirmed this extension and revealed the increment in the budget from ₹500 crore to ₹778 crore.
What is EMPS 2024?
The Ministry of Heavy Industries introduced the Electric Mobility Promotion Scheme (EMPS) 2024 on March 13, 2024, to encourage the adoption of electric vehicles (EVs) nationwide. This initiative came after the Faster Adoption & Manufacturing of Electric Vehicles (FAME) subsidy scheme ended on March 31, 2024.
Initially scheduled from April 1 to July 31, 2024, the scheme’s end date has been updated to September 30, 2024.
The scheme applies to commercial two-wheeler and three-wheeler EVs and private two-wheeler EVs. Buyers can receive incentives:
- Up to ₹10,000 for two-wheeler EV
- ₹25,000 for small three-wheeler EVs
- ₹50,000 for large three-wheeler EV
The scheme aims to boost a competitive and efficient electric vehicle manufacturing sector. Furthermore, it supports Prime Minister Narendra Modi’s goal of ‘Aatmanirbhar Bharat’ (self-reliant India).
Many industry players expected the FAME-III scheme to succeed the EMPS in the Budget 2024-25. However, since stakeholders could not agree on a new scheme, the government opted to extend EMPS 2024 until the launch of the new FAME policy.
EV Brands Eligible for EMPS Subsidies
As per media reports, Ather Energy, Bajaj Auto, Ola Electric, Hero Motocorp, TVS, and Kinetic Green can now apply for the EMPS subsidy. However, the subsidies per unit for two-wheeler and three-wheeler EVs have been reduced to less than half of their previous levels under the FAME scheme.
The government has also updated the target figures to over 5.61 lakh EVs, up from the previous goal of 3.72 lakh. This includes 500,080 electric two-wheelers and 60,709 electric three-wheelers.
The EMPS 2024 scheme will provide subsidies only for EVs with advanced batteries. Furthermore, the government introduced a Phased Manufacturing Program (PMP) to encourage local manufacturing.
