PM E-DRIVE carries an outlay of ₹11,900 crore under the Ministry of Heavy Industries

Background

The PM Electric Drive Revolution in Innovative Vehicle Enhancement Scheme, known as PM E-DRIVE, supports faster adoption of electric vehicles through upfront purchase incentives and the development of charging infrastructure.
It is implemented on a pan-India basis with a total outlay of ₹11,900 crore, and the scheme period has been extended to 31 March 2028.
The categories covered are electric two wheelers, electric three wheelers including registered e-rickshaws and e-carts and L5, e-ambulances, e-trucks, e-buses, charging infrastructure, and upgradation of testing agencies.
Registered electric two wheelers receive an incentive of ₹2,500/kWh capped at ₹5,000 per vehicle, for vehicles priced up to ₹1.5 lakh ex-factory, with a fund allocation of ₹2,767 crore.
₹4,391 crore has been allocated for the deployment of 14,028 e-buses, ₹2,000 crore has been earmarked for public charging stations nationwide, and ₹780 crore for modernisation and upgradation of vehicle testing agencies.
E-vouchers pass the demand incentive to the buyer as an upfront reduction in price, and the amount is later reimbursed to the manufacturer by the Ministry of Heavy Industries.