FAME-India Scheme

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In order to promote manufacturing of electric and hybrid vehicle technology and to ensure sustainable growth of the same, Department of Heavy Industry is implementing FAME-India Scheme- Phase-I [Faster Adoption and Manufacturing of (Hybrid &) Electric Vehicles in India] from 1st April 2015. The scheme, which was initially upto 31st April 2017, has been extended upto 31st March, 2019 or till Notification of FAME-II, whichever is earlier.


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The Phase-II of the Faster Adoption and Manufacturing of (Hybrid &) Electric Vehicles (FAME-India) Scheme proposes to give a push to electric vehicles (EVs) in public transport and seeks to encourage adoption of EVs by way of market creation and demand aggregation. The draft scheme envisages the holistic growth of EV industry, including providing for charging infrastructure, research and development of EV technologies and push towards greater indigenization. The scheme has not been finalized yet.



Total outlay of Phase-I of the FAME-India Scheme has been enhanced from Rs. 795 Crore to Rs. 895 Crore.

Under Demand Creation focus area, the purchaser of electric and hybrid vehicles is given an upfront reduction in purchase price by the dealer at the time of purchase of xEVs. Since inception of the scheme & till 6th December 2018, the Government has given financial support (demand incentive) to about 2,61,507 electric/ hybrid vehicles. 119 models of vehicles of 27 OEMs got registered under FAME-India Scheme for availing demand incentive.

Since inception of the scheme, several segments have been added to the scheme so as to ensure that more people take advantage of this scheme. In this spirit, support to fully electric buses have been added to the scheme to support electrification of public transport. The positive results of these efforts are borne out by the fact that DHI has so far sanctioned 455 electric buses for 9 cities in a pilot scheme launched on 31st October 2017, which got interest from 44 cities seeking 3144 e-buses.

There is no proposal from Government of India to invest in manufacturing of E-Buses. 100 % FDI by automatic route is permitted in the automobile sector. Further, automobile sector is in deregulated sector and both private sector and public sector are free to carry out investment in the automobile sector, including for manufacturing of Electric Vehicles and E-Buses.

 The fund allocation made under this Scheme is given hereunder:

S.No. Financial Year Fund Allocated


2015-16 Rs. 75.00 Crore


2016-17 Rs. 144.00Crore


2017-18 Rs. 165.00 Crore
4 2018-19


Rs. 195.00Crore
        TOTAL Rs. 579.00 crore

This information was given by the Minister of State of Heavy Industries and Public Enterprises, Babul Supriyo, in reply to written questions in the Lok Sabha.

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