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DAILY NEWS ANALYSIS
09 May, 2020
7 Min Read
Part of: GS-III- Economy-Automobile (PT-MAINS-PERSONALITY TEST)
The government of India notified FAME India Scheme [Faster Adoption and Manufacturing of (Hybrid &) Electric Vehicles in India] for implementation with effect from 1st April 2015, with the objective to support hybrid/electric vehicles market development and Manufacturing eco-system.
Objective
The FAME India Scheme is aimed at incentivising all vehicle segments i.e. 2 Wheeler, 3 Wheeler Auto, Passenger 4 Wheeler Vehicle, Light Commercial Vehicles and Buses. The scheme covers Hybrid & Electric technologies like Mild Hybrid, Strong Hybrid, Plug-in Hybrid & Battery Electric Vehicles.
Analysis of focus areas
Battery Electric Vehicles (BEVs)
Hybrid Electric Vehicles (HEVs)
An HEV has a conventional internal combustion engine propulsion system plus an electric propulsion system consisting of a battery and a motor. This makes HEVs heavy and expensive. Therefore as per the current technology, it can only be used in a light commercial vehicles.
Steps Under FAME for technological development
Demand Creation
Pilot Projects
Steps were taken by the Government
Fame-2
Electric and hybrid vehicle (EVs) manufacturers will have to indigenise a significant portion of components to avail of benefits under a revised set of rules of phase 2 of the Faster Adoption and Manufacturing of Hybrid and Electric Vehicles, or FAME 2 scheme. In a first, detailed localization draft guidelines have been issued by the Department of Heavy Industry (DHI) putting out a list of key components for xEV manufacturers to localise with respective deadlines to avail the scheme across all approved vehicle categories.
Source: PIB
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