Publication of notification regarding Electric Mobility Promotion Scheme 2024.

1906 GI/202 4 (1) रजजस्ट्री सं. डी.एल.- 33004/99 REGD. No . D. L. -33004/99 EXTRAORDINARY PART II —Section 3 —Sub-section ( ii) PUBLISHED BY AUTHORITY No. 1269 ] NEW DELHI, WEDNES DAY , MARCH 1 3, 2024 /PHALGUNA 23, 1945 CG-DL-E-14032024-252967 2 80 7 40 0.65 क ु ल 3,72,215 493.55 MINISTRY OF HEAVY INDUSTRIES NOTIFICATION New Delhi, the 13th March 2024 S.O. 1334(E) .—Electric Mobility Promotion Scheme - 2024. Background: 1. The then Department of Heavy Industry had launched a scheme, namely Faster Adoption and Manufacturing of (Hybrid &) Electric Vehicles in India (FAME -I), for promotion of electric and hybrid vehicles with an outlay of Rs.895 crore from 1st April 2015 to 31st March 2 019. 2. Subsequently, DHI formulated Phase II of the scheme with an outlay of Rs.10,000 crore which was subsequently enhanced to Rs.11,500 crore for the period from 1st April, 2019 to 31st March 2024. 3. Further, after review of the phase II, Ministry of Heavy Industries (MHI) formulated Electric Mobility Promotion Scheme - 2024 as per the scheme parameters given in subsequent paragraphs. Scheme Parameters: General: 4. The Electric Mobility Promotion Scheme - 2024, with an outlay of Rs.500 crore, is proposed to be implemented over a period of 4 months, w.e.f. 1st April 2024 till 31st July 2024, for faster adoption of electric two wheeler (e - 2W) and three wheeler (e -3W) to provide further impetus to the green mo bility and, development of electric vehicle (EV) manufacturing eco -system in the country. Components of the Scheme 5. The scheme is proposed to be implemented through the following components: a) Subsidies: Demand incentives for e -2W & e -3W, and b) Admin istration of Scheme including IEC (Information, Education & Communication) activities and fee for project management agency (PMA). 6. The efforts of the central government to promote e -mobility need supplemental support from State Governments. States need to offer bouquet of fiscal and non -fiscal incentives. Some such incentives may include waiver / concessional road tax, exemption from permit, waiver / concessional toll tax, waiver / concessional parking fees, concessional registration charges, etc. MHI will continue to encourage States to offer such incentives during the scheme duration. 7. MHI shall be the nodal Ministry in Government of India and will be responsible for planning, implementation and review of the scheme. MHI shall address issues related to the guidelines and for removal of difficulties in the implementation of the scheme. Scheme Outlay 8. The breakup of fund allocation and maximum number of vehicles to be supported sub -component -wise, for the scheme‘s duration is given below: Table 1: No. of EVs t o be supported and fund allocation: S. No. Component/ category of vehicles Maximum number of EVs to be supported Total outlay (Rs. crore) 1 e-2w 3,33,387 333.39 2 e-3w: e -Rickshaw/ e -cart 13,590 33.97 3 e-3w: L5 25,238 126.19 4 Administrative Expenses - 6.45* Total for above 3,72,215 500.00 * Admin Expenses include (i) Fees for knowledge partners & technical expertise including development of FAME Portal: Rs.5.45 crore, and (ii) IEC activities, events, exhibitions, roadshows, etc.: Rs.1.00 crore. Project Implementation and Sanctioning Committee (PISC) 9. An inter -ministerial empowered committee viz. PISC headed by Secretary (Heavy Industries) is constituted for overall monitoring, sanctioning and implementation of Electric Mobility Promotion Scheme - 2024 as well as to remove any obstacles/ difficulties that may arise in the implementation stage. The composition of the committee is given in Annexure -I. 10. The PISC shall have the power to: iii. Decide the scheme parameters for smoo th implementation of the scheme as well as to remove any obstacles/ difficulties as may arise during implementation stage within the overall scheme outlay of Rs. 500 crore. iv. Changing inter se allocation among e -2W/ e -3W. Eligibility 11. Vehicles which are regi stered as ―Motor Vehicle‖ as per the Central Motor Vehicle Rules (CMVR) will only be eligible for incentives. Vehicles fitted with only advanced batteries (technology definitions as per Annexure -II) and satisfying performanc e criteria as in Annexure -III will only be eligible under the scheme. 12. Since cost of batteries is one of the main factors of difference in acquisition price of EVs and internal combustion engine (ICE) vehicles, the demand incentive/ grant for EVs would be based on battery capacity (i.e. energy content measured in kWh) used in such vehicles. In order to restrict very high end vehicles from availing Government incentives, it is proposed to restrict incentives to vehicles with ex-factory price less than a particular threshold value as in Annexure -IV. Ex-factory price shall mean ―price of the vehicle at the factory gate before applicable taxes‖. 13. Vehicle segment wise target number of vehicles to be supported, incentive per kWh, maximum incentive per vehicle, maximum ex -factory price to avail incentive, total fund support from MHI and other details are given in Annexure -IV. Demand incentive 14. Demand incentives are an im portant component of the scheme which directly help in demand generation of EVs by way of reducing the cost of acquisition. Demand incentive shall be available for consumers (buyers/end users) in the form of an upfront reduced purchase price of EVs to enab le wider adoption, which will be reimbursed to the OEM by the Government of India. 15. Following categories of vehicles will be eligible for demand incentive: (ग) Two Wheelers (electric) (e -2W) (घ) Three -wheeler (electric) including registered e -rickshaws & e -carts an d L5 (e -3W) 16. With greater emphasis on providing affordable and environment friendly public transportation options for the masses, scheme will be applicable mainly to vehicles used for public transport or those registered for commercial purposes . However, i n addition to commercial use, privately or corporate owned registered e -2W will also be eligible under the scheme. 17. It is proposed to extend a demand incentive of Rs.5,000 per kWh for e -2W & e -3W categories. The number of vehicles to be supported and upper cap on incentive per vehicle is specified in Annexure -IV. The incentive for e-2W/ e -3W shall be further capped at 15% of ex -factory price. 18. Aggregation may also be adopted for bringing the upfront cost of e -3W at an affordab le level. CESL may aggregate demand for multiple user segments. Details will be worked out by CESL for implementation. Administration of Scheme including IEC 19. For smooth operation & implementation of Electric Mobility Promotion Scheme - 2024, there will be a need for knowledge partners/ technical expertise and logistics support including web portal. The scheme would also require adequate Information, Education & Communication (IEC) activity. For this purpose, an outlay of Rs.6.45 crore is earmarked Phased M anufacturing Programme (PMP) 20. Under the FAME -II scheme, PMP was implemented and manufacturers were obligated to follow the PMP guidelines outlining the localization of EV components over time. PMP guidelines for EVs as per Annexure -V will have to be followed by OEMs to be eligible for support under Electric Mobility Promotion Scheme - 2024. However, MHI may amend PMP guidelines, keeping in view the evolution of EV ecosystem. 21. This is a demand side scheme and incentive under th is scheme will be independent of and in addition to incentives given under production linked incentive (PLI) scheme for automobile and auto components industry (PLI-AUTO) and PLI scheme for advanced chemistry cell (PLI -ACC). However, MHI will encourage Sta te/UT Governments to extend fiscal and non -fiscal support to EVs. Conditions to avail Demand Incentives: 22. In order to avail demand incentive, OEM is required to be registered with MHI. Further, after registration of the OEM, each of their EV models will n eed to be approved by MHI. 23. Each vehicle model needs to satisfy minimum technical eligibility criteria with regard to performance and efficiency of vehicles as provided at Annexure -III and get it type approved as per presc ribed / standard test procedure at the recognised testing agencies as notified under the Rule 126 of CMVR. 24. To meet the qualifying criteria for the demand incentives, the electric vehicles (EVs) including its variants and versions, should: (a) be manufac tured in India (b) have local manufacturing & assembly of such parts as are specified in the phased manufacturing programme (PMP) as per Annexure -V as amended from time to time; (c) meet provisions contained in CMVR in terms of type approval, classification, categorization, definition, road worthiness, registration, etc. as per the provisions contained in CMVR; (d) obtain certificate of Electric Mobility Promotion Scheme - 2024 eligibility assessment from recognised testing agencies; (e) be accompanied by comprehensive warranty including that of battery from the manufacturer and to have adequate facilities for after sales service for the life of vehicle. For this purpose, minimum warranty required shall be as follows: Table 4: Vehicle category -wise warranty details Vehicle Category Warranty e-2W 3 years or 20,000 km run, whichever is earlier e-3W (e -rickshaw & e -cart) 3 years or 40,000 km run, whichever is earlier e-3W (L5) 3 years or 80,000 km run, whichever is earl ier (f) be fitted with suitable monitoring devices in e -3W, to know the mileage of vehicles to determine the total fuel savings on a real time basis; (g) should appropriately display a sticker indicating that it has been purchased under the scheme. Forma t & placement requirement of the sticker will be provided by MHI. Disbursement of Demand Incentives 25. The demand incentive shall be disbursed through an e -enabled framework and mechanism set -up under MHI. The manufacturers of vehicles (OEMs or Original Equi pment Manufacturers) will submit their claims for reimbursement of demand incentive on monthly basis to MHI for settlement. Detailed guidelines for reimbursement of claim will be issued separately. Scheme operationalization 26. For smooth operation and imple mentation of the scheme, knowledge partners / technical expertise and other logistics support may be put in place. Project Management Agency (PMA) 27. The Scheme shall be implemented through a PMA, which shall be responsible for providing secretarial, manage rial and implementation support and carrying out other responsibilities, as assigned by MHI from time to time. For carrying out activities related to the implementation of the Scheme, PMA would inter -alia be responsible for: a) Development & maintenance of on line portal for the scheme. b) Processing application for registration of OEMs/ model approval. c) Examination of claims eligible for disbursement of incentives under the Scheme. d) Compilation of data regarding progress and performance of the Scheme. e) Other matters pertaining to implementation of the Scheme. 28. A suitable IEC program shall be undertaken for creating consumer awareness and promotion of the scheme, on a need basis, through education and training, publicity, organization of business meets, seminars, conf erences, symposia, etc. by MHI, industry associations, voluntary organizations, etc. 29. This is a fund limited scheme. Total payout under the scheme shall be limited to the scheme outlay of Rs.500 crore. In case the funds for the Scheme or its relevant sub -components are exhausted prior to 31st July 2024, then the Scheme or its relevant sub -components will be closed accordingly i.e. no further claims will be entertained. [F. No. 1(1)/2018 -AEI (14722) ] HANIF QURESHI , Addl . Secy . Annexure -I Composition of Proj ect Implementation and Sanctioning Committee (PISC) Sr. No. Particulars Designation 1 Secretary, Heavy Industries Chairman 2 CEO, NITI Aayog Member 3 Financial Advisor, Heavy Industries Member 4 Secretary, DPIIT Member 5 Secretary, M/o RTH Member 6 Secretary, D/o EA Member 7 Secretary, M/o Power Member 8 Secretary, M/o NRE Member 9 Secretary, M/o PNG Member 10 Secretary, M/o HUA Member 11 Director ARAI Member 12 Additional/ Joint Secretary, Heavy Industries Member Secretary Committee may co -opt any other member as and when required. Annexure -II EV Technology Definitions (including Advanced Batteries) EV Technology Technology Definition Advanced Batteries ‗Advanced Battery‘ represents the new generation batteries such as Lithium polymer, Lithium Iron phosphate, Lithium Cobalt Oxide, Lithium Titanate, Lithium Nickel Manganese Cobalt, Lithium Manganese Oxide, Metal Hydride, Zinc Air, Sodium Air, Nickel Zinc, Lithium Air, Lithium Iron Manganese Phosphate (LFMP), Sodium -Ion, Solid State Electrol yte Battery and other similar chemistry u nder development or under use. In addition, this battery should have specific density of at least 70 Wh/kg and cycle life of at least 1000 cycle. Electric Regenerative Braking System An integrated vehicle braking system which provides for the conversion of vehicle kinetic energy into electrical energy during braking. Engine ‗Stop -Start‘ arrangement A system by which the engine is started or stopped in a hybrid electric vehicle by vehicle control unit at operating conditions depending upon traction power required for the propulsion of the vehicle. Off Vehicle Charging (OVC) Rechargeable Energy Storage System (ReESS) in the vehicle has a provision for external charging. Battery Electric Vehicle (BEV) A vehicle whi ch is powered exclusively by an electric motor; whose traction energy is supplied exclusively by traction battery installed in the vehicle; and has an ‗Electric Regenerative Braking System‘. 1 Refer Automotive Industry Standard AIS 102. Annexure -III Perfo rmance & Efficiency Eligibility Criteria for EV Models (other than buses) Electric Mobility Promotion Scheme - 2024 Sr. No. Vehicle Segment Vehicle Category*1 Vehicle Model Eligibility Criteria Minimum Range *2 (km) Maximum Electric Energy Consumption *2 (kWh/100 km) Minimum Max Speed *3 (km / hr) Minimum Acceleration *3 (m/s2) 1 e-2W L1 & L2 80 7 40 0.65 2 e-3W E-Rickshaw *4, 5 & E-Cart *4, 5 80 8 NA NA 3 e-3W L5 80 10 40 0.65 Note: *1 As defined in the Central Motor Vehicles Rules (CMVR), 1989. *2 As per applicable test standard / Procedure mentioned in CMVR, 1989. *3 Measurement shall be carried out at Gross Vehicle weight (GVW)‖. *4 Shall need to comply with the type approval requirements as per L5 category under CMVR, 1989. *5 Except for E -Rickshaw/E -Cart, all electric vehicles shall necessarily be equipped with ‗Electric Regenerative Braking System‘. Annexure -IV Vehicle segment -wise incentives/ grant, maximum number of vehicles to be supported and other details. Sr. No. Vehicle segment Maxim um number of vehicles to be supported Incentive for vehicles*1 Maximum Ex-factory price to avail incentive Total fund support from MHI 1 Registered e -2 wheelers 3,33,387 Rs.5,000/ kWh, capped at Rs.10,000 per EV Rs.1.5 lakh 333.39 2 Registered e -Ricksh aws & e-Cart 13,590 Rs.5,000/ kWh, capped at Rs.25,000 per EV Rs.2.5 lakh 33.97 3 Registered e -3 wheelers L5 25,238 Rs.5,000/ kWh, capped at Rs.50,000 per EV Rs.5 lakh 126.19 Total 3,72,215 493.55 *1 The incentive shall be further capped at 15% of ex-factory price of e -2W/ e -3W. Annexure -V Phased Manufacturing Programme (PMP) for Electric Vehicles No Category Item Description e-2W e-3W e-3W L1 & L2 E-Rickshaw & E-Cart L5 1 Power and control wiring harness along with connectors A A A 2 MCB/Circu it breakers/electric safety device A A A 3 Traction battery pack A* A* A* 4 Wheel rim integrated with Hub motor E B B 5 DC – DC converter E E B 6 Electronic Throttle E E E 7 Vehicle control unit E B E 8 On Board Charger (For e -2W off -board charger ma y be provided in lieu of on board charger) E B E 9 Traction Motor E E E 10 Traction Motor controller / Inverter E E E 11 Instrument Panel E E E 12 Lighting: Headlamp, Tail lamp, Indicators, Interior Lamp & Flasher E A A 13 Body Panel E A A Note: Tra ction battery pack to be assembled domestically, for which battery cells and associated thermal and battery management system may be imported  All other Parts, Components, Assemblies or sub -assemblies, other than mentioned above should be domestically manu factured and assembled. CMVR notified safety components should be tested by the testing agencies notified under rule 123 of CMVR, 1989.  In case of off -board charger, the same is to be included in ex -factory price of the vehicle. Definitions : Code Effect ive date of indigenisation of EV parts A w.e.f. 1st April 2019 A* w.e.f. 1st July 2019 B w.e.f. 1st October 2019 C w.e.f. 1st April 2020 D w.e.f. 1st October 2020 E w.e.f. 1st April 2021 E* w.e.f. 1st April, 2022 Imported source includes direct as well as indirect import. Indigenous source implies domestically manufactured, assembled and tested. Manufacture shall mean as defined in Central Goods and Services Tax (CGST) Act, 2017. Uploaded by Dte. of Printing at Government of Indi a Press, Ring R oad, Mayapuri, New Delhi -110064 and Published by the Controller of Publications, Delhi -110054.