In another push towards faster adoption of electric vehicles, the Government of India is preparing to offer incentives to cities with population more than 1 Mn. The initiative, which is part of the FAME India scheme, is aimed at promoting the use of EVs in multimodal public transport to help lower population levels in urban areas.
To that end, the central government is looking to offer incentives for the procurement of electric cars, city buses as well as three-wheelers.
As per reports, the Ministry of Heavy Industries has already floated an expression of interest (EOI), calling state governments, municipal corporations and undertakings to submit proposals about the same.
An official close to the development stated, “The expression of interest is for a pilot project under the FAME India scheme, specifically designed to give a push to electric vehicles in multi-modal public transport.”
According to sources, the government is mulling offering grants of around $16.2 Mn (INR 105 Cr) to every selected city. The criteria for shortlisting dictates that each city should have a population above 1 Mn, as per 2011 census.
Other parameters that will be taken into consideration include average pollution level, number of registered vehicles and ranking in Swachhata Abhiyan. Additional incentives not more than $2.3 Mn (INR 15 Cr) will also be provided to each city for the construction of charging infrastructure.