Union Government launches FAME Scheme

Union Government on 1 April 2015 launched Faster Adoption and Manufacturing of Hybrid and Electric vehicles (FAME) – India Scheme. The scheme was launched as part of the National Mission for Electric Mobility to boost eco-friendly vehicles sales in the country.

Facts about FAME India scheme
  • Objective- to support the hybrid or electric vehicles market development and its manufacturing eco-system in the country in order to achieve self-sustenance in stipulated period.
  • The overall scheme is proposed to be implemented over a period next 6 years i.e. till 2020.
  • It envisages providing Rs 795 crore support till 2020 for the manufacturing and sale of electric and hybrid vehicles.
  • It also seeks to provide demand incentives to electric and hybrid vehicles from two-wheeler to buses.
  • Implementation- It will be implemented in phases. The Phase-1 will be implemented over a two year period in FY15-16 and FY16-17.
  • Based on the outcome and experience from the Phase-1, it will be reviewed for implementation after 31 March 2017. Then appropriate fund will be allocated for future.
  • Four focus areas of scheme- Technology development, Pilot Projects, Demand Creation and Charging Infrastructure.
  • In the first two years Rs 260 crore and Rs 535 crore will be spent on the focus areas.
  • The Department of Heavy Industries under the aegis of Union Ministry of Heavy Industries will be will be nodal department for the scheme.