10 March 2026·PIB

USE OF ELECTRIC VEHICLES

In this note

1. At a Glance

Electric Vehicle (EV): vehicle propelled by an electric motor drawing power from rechargeable batteries; pillar of India's decarbonisation, oil-import-substitution and clean-mobility strategy.
Nodal ministry is the Ministry of Heavy Industries (MHI); demand-side push via FAME-II and PM E-DRIVE, supply-side via PLI (Auto & ACC) schemes [2][3].
EV registrations grew from 1.74 lakh (FY 2019-20) to 19.68 lakh (FY 2024-25) — an ~11x rise in 5 years [1].

PIB release dated 10 March 2026 by MHI furnished Lok Sabha with YoY EV registration data FY 2019-20 → FY 2024-25 [1].
PM E-DRIVE Scheme tenure extended from 31 March 2026 to 31 March 2028 within the same ₹10,900 cr outlay [2].

2013: National Electric Mobility Mission Plan (NEMMP) 2020 articulated EV vision.
2015: FAME India Phase-I launched (Department of Heavy Industries).
1 April 2019: FAME-II notified for 5 years, outlay ₹10,000 cr; focus on public/shared transport [3].
29 September 2024: Cabinet approves PM E-DRIVE (Electric Drive Revolution in Innovative Vehicle Enhancement), outlay ₹10,900 cr for 2 years [2].
2026: PM E-DRIVE extended to 31 March 2028 [2].

Implementing Ministry: Ministry of Heavy Industries [1][2].
PM E-DRIVE outlay ₹10,900 cr allocated as: ₹3,679 cr demand incentives (e-2W/3W/ambulance/truck); ₹4,391 cr for 14,028 e-buses; ₹2,000 cr for public charging infrastructure; ₹780 cr for vehicle testing agencies upgradation [2].
FAME-II targets: 7,090 e-buses; 5 lakh e-3W; 55,000 e-4W passenger cars; 10 lakh e-2W [3].
Charging infra under FAME-II: 2,877 EVCS sanctioned in 68 cities across 25 States/UTs; 1,576 stations on 9 expressways & 16 highways; ₹800 cr capital subsidy to 3 OMCs for 7,432 public charging stations [3].
EV registrations (lakh): 2019-20: 1.74 | 2020-21: 1.43 | 2021-22: 4.59 | 2022-23: 11.83 | 2023-24: 16.81 | 2024-25: 19.68 [1].

Economic

Reduces crude oil import bill (~85% import dependence); creates manufacturing & battery-cell value chain via PLI-ACC (₹18,100 cr) and PLI-Auto (₹25,938 cr) [2].
e-bus deployment lowers per-km operational cost for STUs.

Environmental

Tail-pipe-zero vehicles support India's Panchamrit / Net-Zero by 2070 pledge.
Shifts emissions upstream — net gain contingent on greening the grid.

Scientific / Technological

₹780 cr earmarked to upgrade testing agencies (ARAI, ICAT, etc.) for EV certification [2].
Battery chemistry (NMC vs LFP), BMS, fast-charging standards (Bharat AC-001/DC-001, CCS-2) are R&D thrust.

Administrative / Federal

Centre funds demand incentives & capital subsidy; States provide road-tax waivers, registration fee exemption, state EV policies (Delhi 2020, Maharashtra, TN, Gujarat).
Charging infra is a concurrent effort — discoms, OMCs, MoP guidelines (2022).

Geopolitical

Critical-mineral dependence (Li, Co, Ni) → Khanij Bidesh India Ltd (KABIL) sourcing; member of Mineral Security Partnership.

10 March 2026: MHI tables EV YoY registration data in Parliament [1].
PM E-DRIVE extended to 31 March 2028 (notification by MHI) [2].
EV charging infrastructure roll-out under PM E-DRIVE component continues with ₹2,000 cr corpus [2].
FY 2024-25 registrations cross 19.68 lakh, a fresh high [1].

Nodal ministry for FAME and PM E-DRIVE: Ministry of Heavy Industries (NOT MoRTH / MNRE) [1][2].
PM E-DRIVE full form: Pradhan Mantri Electric Drive Revolution in Innovative Vehicle Enhancement [2].
PM E-DRIVE outlay: ₹10,900 crore [2].
PM E-DRIVE original tenure: 2 years from 29 Sept 2024; extended up to 31 March 2028 [2].
e-buses targeted under PM E-DRIVE: 14,028 with ₹4,391 cr [2].
FAME-II outlay: ₹10,000 crore, commenced 1 April 2019 for 5 years [3].
FAME-II charging stations sanctioned: 2,877 in 68 cities across 25 States/UTs [3].
Capital subsidy to OMCs for charging stations: ₹800 cr for 7,432 stations [3].
Registered EVs in FY 2024-25: 19.68 lakh (vs 1.74 lakh in FY 2019-20) [1].
Only year of decline: FY 2020-21 (1.43 lakh), due to COVID-19 [1].
₹780 cr under PM E-DRIVE earmarked for vehicle testing agency upgradation [2].

GS-III — Indian Economy (Infrastructure, Energy); Environment (climate change, pollution); Science & Tech.
GS-II — Government policies & interventions; Centre–State relations on transport.
Likely question stems: 1. "Critically examine the role of PM E-DRIVE and FAME-II in accelerating India's transition to electric mobility." 2. "EV adoption is as much a critical-minerals and grid-greening challenge as a vehicle subsidy challenge. Discuss." 3. "Evaluate the federal architecture of EV promotion in India with reference to demand-side incentives and charging infrastructure."

PLI Scheme (ACC battery storage & Auto) — supply-side complement to PM E-DRIVE.
National Green Hydrogen Mission — alternate clean-mobility pathway (FCEVs).
Panchamrit & Net-Zero 2070 — climate framework justifying EV push.
Critical Minerals Strategy / KABIL — upstream Li-Co-Ni security.
National Electric Mobility Mission Plan (NEMMP) 2020 — policy ancestor.
Bharat Stage VI norms — ICE-side regulation interacting with EV transition.
Discom reforms (RDSS) — grid-readiness for charging load.
Battery Swapping Policy (NITI Aayog draft) — alternative business model.

Attributing FAME / PM E-DRIVE to MoRTH or MNRE — it is MHI.
Confusing PM E-DRIVE outlay (₹10,900 cr) with FAME-II (₹10,000 cr).
Assuming FAME-II ended cleanly in 2024 — its provisions overlap with EMPS 2024 (interim) then PM E-DRIVE.
Treating EV registrations as monotonically rising — FY 2020-21 dipped [1].
Misreading PM E-DRIVE tenure as 2 years — extended to 31 March 2028 without raising the outlay [2].