Electric Vehicle Policy in India
Electric Vehicle Policy in India
Electric Vehicle Policy in India
FAME II (Faster Adoption and Manufacturing of (Hybrid &) Electric Vehicles in India)
Back ground
Department of Heavy Industry had launched a scheme, namely Faster Adoption and Manufacturing of (Hybrid &) Electric Vehicles in India (FAME India), for promotion of electric and hybrid vehicles with
an outlay of Rs.795 Crore vide S.O. 830 (E) dated 13th March 2015.
Accordingly, after review of the phase I, Department of Heavy Industry formulated the Scheme for Faster Adoption and Manufacturing of Electric Vehicles in India Phase II (FAME India Phase II) with the
approval of Union Cabinet as per the scheme parameters given in subsequent paragraphs.
SO 1300 Dated 8th March 2019
The scheme is proposed to be implemented over a period of 3 years, w.e.f 1st April 2019, for faster adoption of electric mobility and development of its manufacturing eco-system in the country.
The scheme is proposed to be implemented through the following verticals:
a) Demand Incentives
b) Establishment of network of Charging Stations
c) Administration of Scheme including Publicity, IEC (Information, Education & Communication) activities.
The break up of fund allocation year wise, component-wise, for the scheme’s duration is given below- (All amount in crores)
The fact that cost of batteries is one of the main factors of difference in acquisition price of xEVs and ICE vehicles, the demand incentive would be based on battery capacity (i.e. energy content measured
in kW-Hr) used in the such vehicles. Keeping in view market and technology trends in batteries, PISC may revise the Demand Incentive and target number of vehicles from time to time.
Quantum of Demand Incentives:
In order to rationalize the incentives across segments and across vehicle technologies, it is initially proposed to extend uniform demand incentive @ Rs. 10000/- per KWh for all vehicles (including PHEV
and Strong Hybrid) except Buses.
To encourage public transport, for buses, initial uniform maximum demand incentives @ 20000/- per KWh is proposed
Conditions to avail Demand Incentives:
Depending upon the offtake of vehicles under the scheme, maximum incentive per vehicle is proposed to be capped at certain percentage of cost of vehicle to be reviewed anually and as often as
required. To begin with, the cap on incentives for buses will be 40% of the cost of vehicles and for all other categories it will be 20%.
To meet the qualifying criteria for the demand incentives, the hybrid/electric vehicle (xEVs) including its variants and versions, should
(a) be manufactured in the country and have such percentage of localisation as may be notified from time to time;
(b) meet provisions contained in Central Motor Vehicle Rules (CMVR) in terms of type approval, classification, categorization, definition, road worthiness, registration etc. as per the provisions contained in
CMVR;
(c) obtain certificate of FAME India Phase II eligibility fulfilment from recognised testing agencies;
(d) be accompanied by at least three-year comprehensive warranty including that of battery from the manufacturer and to have adequate facilities for after sales service for the life of
vehicle;
(e) be fitted with suitable monitoring devices to know the mileage of vehicles to determine the total fuel savings on a real time basis; and
(f) should appropriately display a sticker indicating that it has been purchased under the scheme. Format of the sticker will be provided by the Department of Heavy Industry.
SO 1472 (E)
Technology Definitions for the eligible category of vehicles including that of Advanced Batteries and (ii) Performance & Efficiency of vehicles to be eligible for demand incentive under the scheme are
hereby notified as per ANNEXURE-I and ANNEXURE-II respectively.
Annexure I (XEV Technology Definitions (including Advanced Batteries) (AS PER CLAUSE 19 of S.O. 1300(E) dated 8th March 2019)
XEV Technology Definitions (including Advanced Batteries)- (AS PER CLAUSE 19 of S.O. 1300(E) dated 8th March 2019)
XEV Technology Technology
Advanced Batteries ‘Advance 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 and other similar
chemistry under 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.
Hybrid Electric Vehicle (HEV)1 A vehicle that for the purpose of mechanical propulsion draws energy from both of the following on-vehicle sources of energy/power:
• A consumable fuel
• Rechargeable Energy Storage System (ReESS)
Strong Hybrid Electric Vehicle (SHEV) A ‘Hybrid Electric Vehicle (HEV)’ which has an engine ‘Stop-Start’ arrangement, ‘Electric Regenerative Braking System’ and a ‘Motor Drive’ (motor
alone is capable to propel/drive the vehicle from a stationary condition).
Plug-in HEV (PHEV)/ Range Extended Electric A ‘Strong Hybrid Electric Vehicle (SHEV)’ which has a provision for ‘Off Vehicle Charging’ (OVC) of ‘Rechargeable Energy Storage System (ReESS)’
Vehicle (REEV)
Battery Electric Vehicle (BEV) A vehicle which 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’.
Annexure II- Performance & Efficiency Eligibility Criteria for type approval vehicle Electric 2W, 3W and 4W categories Vehicle Models under FAME India Phase II* (AS PER CLAUSE 28 of S.O.
1300(E) dated 8th March 2019)
Vehicle Model Eligibility Criteria (to be measured as per the standards/procedures specified in Annexure)
Sr No Vehicle Segment Vehicle Category
Maximum Range Maximum Energy Consumption Minimum max speed Min accleration
(km) (kWh/100 km) (km/h) (m/s2)
1 e-2w L1 & L2 80 Not Exceeding 7 40 0.65
2 e-3w E-rickshaw & E-cart 80 Not Exceeding 8 NA NA
3 e-3w L5 80 Not Exceeding 10 40 0.65
4a M1 (Length less than 4 m) 140 Not Exceeding 15 70 1.04
e-4W (Passenger Carrier)
4b M1 (Length ≥ 4m) 140 Not Exceeding 20 70 1.04
e-4W (LCV/ State Carriage /
5 N1 100 Not Exceeding 30 50 1.04
Maxi Cabs etc)
F.No 12(31)/2017- AEI Dated:06/03/2019- Phased Manufacturing Programme to promote Indegenious manufacturing of Electric Vehicles
To promote domestic manufacturing of electric vehicles a phased manufacturing programme has been prepared. The following Phased Manufacturing Programme is notified which shall enable
manufacturers in sector to plam their investment for establishment of Indigenous Electric Vehicle
Phase Manufacturing Programme
Sr. No. Item Description Current BCD w.e.f 30/01/2019
Proposed BCD Proposed date of PMP
1 CBU Bus (HS 8702) & Truck (HS 8704) 25% 50%
PV (HS 8703) & 3W (HS 8703/8704) 30%
2W (HS 8711) 25%
2 SKD 15%
Bus (HS 8702) 25%
Truck (HS 8704) 25% April 2020 onwards
Bus (HS 8702) 15%
PV (HS 8703) & 3W (HS 8703/8704) 15%
3 CKD 10%
2W (HS 8711) 15%
Truck (HS 8704) 15%
Lithum ion cells (HS 85076000) for use in manufacture of Lithium ion
4 5% 10%
accumulator for EV April 2021 onwards
5 Battery Packs (HS 8507) for use in manufacture of Evs 5% 15%
Parts for use in manufacture of Evs like
• AC or DC charger
• AC or DC motor
• AC or DC motor controller
• Power control unit (Inverter, AC/DC converter, Condenser)
6 • Energy monitor 0% 15% April 2021 onwards
• Contactor
• Brake system for recovering
• Electric Compressor
No 21(48)/NAB/DIDM/FAME/PHASE-II/2019 Dated:22nd March 2019- Operational Guidelines for Delivery of Demand Incentives Under FAME India Scheme Phase-II
Registration of OEMs
For availing benefit under this scheme, each OEM shall apply for registration to Department of Heavy Industry (National Automotive Board) in prescribed performa. The hard copy of application along with
documents shall be submitted Director (Auto), Udyog Bhavan.
(b) For new non-automotive investor company or its Group company(ies) that may want to participate in this scheme:
(c) Minimum New Domestic Investment Conditions:
Cumulative New Domestic Investment Condition of Performance (₹ Crore)
Champion OEM incentive scheme- The Champion OEM Incentive scheme is a ‘sales value linked’ scheme, applicable on Battery Electric Vehicles and Hydrogen Fuel Cell Vehicles of all segments – 2
wheelers, 3 wheelers, passenger vehicles, commercial vehicles, Tractors, Automobile meant for Military use and any other Advanced Automotive Technology vehicle as prescribed by MHI depending
upon technical developments.
Eligibility:
• The list of Advanced Automotive Technology vehicles like Battery Electric Vehicles (BEV), Hydrogen Fuel Cell Vehicles etc will be prescribed by MHI from time to time depending upon technological
developments.
• Pre-approval of eligible product will be done by Testing Agency of MHI as Advanced Automotive Technology Product as prescribed by MHI from time to time
• Minimum 50% domestic value addition will be required. Phased Manufacturing Programme similar to FAME-II Scheme will be followed. Methodology of determination of domestic value addition will be
same as in FAME scheme. Testing Agency of MHI will certify domestic value addition in the eligible product.
• Testing Agency will ascertain the value of Advanced Automotive Technology components to be assigned/apportioned for the purpose of eligible sales value under the scheme.
Component Champion incentive scheme- The Component Champion Incentive scheme is a ‘sales value linked’ scheme, applicable on preapproved Advanced Automotive Technology components of
all vehicles, CKD/SKD kits, Vehicle aggregates of 2-Wheelers, 3-Wheelers, passenger vehicles, commercial vehicles and tractors including automobile meant for military useand any other Advanced
Automotive Technology components prescribed by MHI depending upon technical developments.
Eligibility:
• The list of eligible Advanced Automotive Technology components will be prescribed by MHI. The list can be amended by MHI from time to time depending upon technological developments.
• Pre-approval of eligible product will be done by Testing Agency of MHI as Advanced Automotive Technology components as prescribed by MHI from time to time.
• Minimum 50% domestic value addition will be required. Phased Manufacturing Programme similar to FAME-II Scheme will be followed. Methodology of determination of domestic value addition will be
same as in FAME scheme. Testing Agency will certify domestic value addition in the eligible product.
• Testing Agency will ascertain the value of Advanced Automotive Technology components to be assigned/apportioned for the purpose of eligible sales value under the scheme.
F.No 7(06)/2019-NAB-II (Auto) (20307) Dated:1.10.2021- Revised Phased Manufacturing Programme for eligibility under FAME India Phase-II
Category e-2W e-3W e-3W e-4W e-4W e-Buses
Sr. No E-Rickshaw and
Item Description L1&L2 L5 M1 N1 M2/M3
Cart
1 HVAC NA NA NA B B E
2 Electric compressor NA NA NA E* E* E
3 Power and control wiring harness along with connectors A A A B B E
4 MCB/ Circuit breakers/ Electric safety device A A A E E E
5 AC charging inlet (Type 2) NA NA NA E E E
6 DC charging inlet CCS2/ CHAdeMO NA NA NA E E E
7 DC charging inlet BEVC DC 001 NA NA NA E E NA
8 Traction battery pack A* A* A* A* A* E
9 Wheel rim integrated with hub motor E B B E E E
10 DC-DC converter E E B E* E* E
11 Electronic throttle E E E E E E
12 Vehicle Control Unit E B E E E E*
13 On board charger E B E E* E* E*
14 Traction motor E E E E* E* E*
15 Traction motor controller/ inverter E E E E* E* E*
16 Instrument Panel E E E E E E
17 Lighting: Headlamp, Tailamp, Direction indicators, Interior lamp, Flasher E A A E A A
18 Body Panel E A A E A A
Note- • Traction battery pack to be assembled domestically, for which battery cells and associated thermal and battery management system amy be imported
• All other parts, components, assemblies and sub assemblies other than mentioned above should be domestically manufactured and assembled.
Code Effective date of Indigenisation of xEV 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.
List of Applicable Regulations:
AIS 004 EMI & EMC
AIS 038 Safety Test
AIS 039 Energy consumption test
AIS 040 Range Test
AIS 041 Power test
AIS 048 Battery System
Tables for Domestic Homologation
AIS-007 (Rev. 5) - Table 1
AIS-007(Rev. 5) - Table 1A
AIS-007(Rev. 5) - Table 1B
AIS-007(Rev. 5) - Table 1C
AIS-007(Rev. 5) - Table 1D
AIS-007(Rev. 5) - Table 1E
AIS-007(Rev. 5) -Table 2
AIS-007(Rev. 5) - Table 3
AIS-007(Rev. 5) - Table 4
AIS-007(Rev. 5) - Table 4A
AIS-007(Rev. 5) - Table 4B
AIS-007(Rev. 5) - Table 4C
AIS-007(Rev. 5) -Table 4D
AIS-007(Rev. 5) - Table 4E
AIS-007(Rev. 5) - Table 4F
AIS-007(Rev. 5) - Table 4G
AIS-007(Rev. 5) - Table 4H
AIS-007(Rev. 5) - Table 5
AIS-007(Rev. 5) - Table 6
AIS-007(Rev. 5) - Table 7
AIS-007(Rev. 5) -Table 8
AIS-007(Rev. 5) -Table 9
AIS-007(Rev. 5) - Table 10
AIS-007(Rev. 5) - Table 11
AIS-007(Rev. 5) - Table 12
AIS-007(Rev. 5) -Table 13
AIS-007(Rev. 5) -Table 14
AIS-007(Rev. 5) - Table 15
AIS-007(Rev. 5) - Table 15 A
AIS-007(Rev. 5) - Table 16
AIS-007(Rev. 5) - Table 17
AIS-007(Rev. 5) - Table 17 A
AIS-007(Rev. 5) - Table 18
AIS-007(Rev. 5) -Table 19
AIS-007(Rev. 5) - Table 20
AIS-007(Rev. 5) - Table 21
AIS-007(Rev. 5) -Table 22
AIS-007(Rev. 5) - Table 22 A
AIS-007(Rev. 5) - Table 22 B
AIS-007(Rev. 5) - Table 22 C
AIS-007(Rev. 5) - Table 22 D
AIS-007(Rev. 5) - Table 22 E
AIS-007(Rev. 5) - Table 23
AIS-007(Rev. 5) -Table 24
To be submitted by the Bus manufacturer or the Bus Body Builder along with Table 22 Bus