FAME India Scheme Current Affairs

Government withdraws subsidy to mild hybrid vehicles under FAME scheme

The Union Ministry of Heavy Industries and Public Enterprises has withdrawn subsidy given to mild hybrid vehicles under FAME India (Faster Adoption and Manufacturing of Hybrid and Electric vehicles in India) scheme.

 Earlier, mild hybrid, strong hybrid, plug-in hybrid and pure electric vehicles were given incentives under the FAME India scheme.

What is mild hybrid vehicle?
  • A mild hybrid vehicle has an electric motor, which on its own cannot run a vehicle but assists normal engine by using recovered energy stored in a battery and helps save fuel
  • It uses the energy generated while applying the brakes and turns it into electric energy which is then stored in a battery. This energy can then be used to turn the starter motor when the car’s start stop system needs it.
  • Mild-hybrids are 7-15% more fuel efficient as compared to conventional hybrid systems that can run on pure electric power for short distances too.

About FAME India Scheme 

  • The FAME India scheme was launched in 2015 under National Electric Mobility Mission Plan (NEMMP) with an aim to promote eco-friendly vehicles in the country.
  • It objectives is to provide fiscal and monetary incentives for adoption and market creation of both hybrid and electric technologies vehicles in the country.
  • It will also 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.
  • It is being administered by the Heavy Industries Ministry. It will provide demand incentives to electric and hybrid vehicles from two-wheeler to buses.

National Electric Mobility Mission Plan (NEMMP) 2020: It aims to achieve national fuel security by promoting hybrid and electric vehicles in the country. It has set ambitious target of 6-7 million sales of hybrid and electric vehicles year on year from 2020 onwards.

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Ashok Leyland rolls out first India-made electric bus

Conglomerate Hinduja Group’s flagship company Ashok Leyland has unveiled country’s first 100 per cent indigenously made electric bus which are non-polluting and have zero-emissions.

These buses were unveiled in lines with National Electric Mobility Plan which aims at a 20% penetration of electric/hybrid (eco-friendly) vehicles by 2020. They enjoy a subsidy under the Central government’s Faster Adoption and Manufacturing of (Hybrid) and Electric Vehicles (FAME) scheme.

Key Facts

  • These electric buses will be offered on multiple platforms and have seating capacity ranging from 35 to 65. They can travel 150 km on a single charge.
  • They have been integrated with a fire detection and suppression system. They are built on mass-market platform that will enable operator to cater to customers in city centres with minimal operational and maintenance costs.
  • These buses can be used in heritage sites, metro stations, tarmacs, rural areas, hill stations and by IT firms and educational institutions.
  • Besides, state Transport Undertakings can also use them for environment friendly mass public transportation.

Way Forward

In India, electric buses in future will have a big leap in mass public transport. It would support the government initiative of reducing fuel import bill. Besides, it will help to curb air pollution as these buses have zero tailpipe emissions and lower noise pollution.

What is National Electric Mobility Mission Plan (NEMMP) 2020?

  • The NEMMP 2020 is one of most ambitious initiatives undertaken by Central Government to promote hybrid and electric vehicles in the country to achieve national fuel security.
  • It has set an ambitious target to achieve 6-7 million sales of hybrid and electric vehicles year on year from 2020 onwards.
  • The FAME India Scheme was launched under this mission to provide fiscal and monetary incentives to electric and hybrid vehicles ranging from two wheelers to buses.

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