EV Industry Welcomes PM E-DRIVE Scheme

It has almost been a week since the Indian government approved the PM Electric Drive Revolution in Innovative Vehicle Enhancement (PM E-DRIVE) Scheme to boost electric vehicle (EV) adoption in the country. What sets this scheme apart from previous schemes are its provisions for electric trucks (e-trucks).

Talking about the development, Atul Mudaliar, Director of Systems Change, India at Climate Group said, “This is the clearest sign yet from the government that electric trucks are being prioritised, at a time when many Indian cities face air pollution. The allocation of INR 500 crores as incentive for e-trucks for owners who scrap their older vehicles will pave the way for greater adoption of electrified trucks, and importantly ensure that polluting diesel trucks are coming off the roads simultaneously. The scheme is a great boost for businesses for whom electrifying their fleets is now a mandate, and e-truck option has remained costly and a challenging proposition. We welcome the PM E-DRIVE scheme, and the focus now is on early scheme roll-out.”

Pritesh Talwar, President EV Business, Lectrix EV feels that the government’s renewed focus on electric mobility with the PM Electric Drive Revolution (PM E-Drive) subsidy scheme is a timely and impactful move towards accelerating EV adoption in India. “At Lectrix, we are particularly encouraged by the special emphasis on two-wheelers and the development of fast-charging infrastructure, which are both critical to driving mass adoption. The support for 24.79 lakh electric two-wheelers and the installation of 48,400 fast chargers for electric two- and three-wheelers aligns with our mission to provide affordable and efficient electric vehicles, especially for urban commuters. Additionally, the inclusion of 3.16 lakh electric three-wheelers (e-3Ws) under the scheme highlights the government’s commitment to expanding the electric mobility ecosystem.

Lectrix has always been committed to enhancing EV accessibility through innovative solutions like our Battery-as-a-Service (BaaS) model and an expansive battery swap network. These offerings will complement the fast-charging infrastructure being rolled out under this scheme, enabling users to experience seamless and convenient charging solutions. Our recent tie-up with HPCL (Hindustan Petroleum Corporation Limited) as its first prime partner in the energy business is also aimed at providing consumers with a dense charging network.

With the right support, including the Aadhaar-authenticated e-vouchers for EV buyers, we believe India is set to see a significant shift in consumer behavior towards sustainable transportation. We are excited to contribute to this revolution and work hand in hand with government initiatives to help realize India’s ambitious electric mobility goals,” he announced.

Samrath Singh Kochar, Founder and CEO, Trontek added, “The approval of the INR 10,900 crore PM E-Drive scheme marks a transformative step in accelerating India’s EV adoption. At Trontek, we believe that a robust EV ecosystem can only be built with high-quality, reliable battery solutions that power the vehicles of tomorrow. As a leading provider of EV batteries, we recognize the importance of this initiative in driving mass adoption of clean mobility solutions. The government’s focus on expanding charging infrastructure and introducing e-vouchers will further ease the transition for buyers, enhancing the appeal of electric mobility. With nearly 3.16 lakh electric three-wheelers to be supported, the demand for efficient, long-lasting battery solutions will increase substantially.

Trontek is committed to supporting this shift by continuing to develop advanced batteries that cater to the specific needs of India’s e-rickshaw and EV market, ensuring our products not only deliver performance but also contribute to the nation’s vision for a greener, more sustainable future.

By focusing on high-quality battery production, we are prepared to play a pivotal role in powering the next generation of electric mobility in India.”

Abhijeet Sinha, Program Director at National Highways for Electric Vehicles (NHEV) concluded, “PM E-Drive is a sign of stability in electric mobility achieved by India. Inclusion of Electric Trucks and exclusion of electric four wheelers are wise decisions from both emission reduction and commercial support perspective.

The cabinet decision to outlay INR 780 Crore for modernizing test agencies to deal with new and emerging technologies to promote green mobility was need of the hour. It precisely came in time when India is making strides towards reducing logistics costs from 14 percent to 9 percent, with trucking accounting for a significant portion of emission and National Highways for EV (NHEV) commenced commercial test runs to induct 5 percent e-trucks in the logistic sector to accelerate their adoption.

A sum of INR 500 crore provided in PM E DRIVE for incentivising adoption of e-trucks may become a gamechanger with INR 500 Crore Blended Climate Financing Instrument released by Ease of Doing Business 3 days ago for e-trucks while starting their technical trials at Chennai. This PPP instrument is expected to perform matching grant role from private capital to bridge Viability Gap Funding.”

Samkit Shah, Co-Founder of Jitendra EV concluded, “The long-awaited EV demand incentive policy from the Centre—introducing the PM E-Drive! We firmly believe that the PM E-Drive Scheme will play a pivotal role in accelerating the transition to electric vehicles, particularly for 2-wheelers, 3-wheelers, and buses. With reduced upfront costs, this initiative will make EVs a more compelling choice for consumers. The substantial investment in charging infrastructure is a significant step towards establishing a sustainable, long-term EV ecosystem. We extend our heartfelt thanks to our visionary Prime Minister, the Government of India, and the Ministry of Heavy Industries for their unwavering support in promoting electric vehicles.”

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