FAME Unleashed: The Electric Circus of India’s Auto Makeover
November 22nd, 2023 | Reading Time 4 mins
Uncover the story of India’s electric vehicle evolution, from the impactful incentives of FAME I to the anticipated developments in FAME III. Backed by FICCI’s push for an ongoing narrative in the next five years, aiming for a greener future
A thrilling metamorphosis has unfolded in recent years. An electrifying saga, fueled by the government’s unwavering commitment to electric vehicles (EVs), is not just a change in commute—it’s a spirited drive toward a cleaner, greener future. At the core of this electric revolution lies the captivating tale of the Faster Adoption and Manufacturing of Hybrid and Electric Vehicles (FAME) scheme.
FAME I: Electrifying Debut in 2015
Picture 2015, the year when FAME I took center stage. More than a mere policy, it was a blockbuster initiative where incentives stole the spotlight. Whether you coveted an electric two-wheeler, a sleek bike, or a zippy car, FAME I ensured you got a slice of the subsidy pie. It wasn’t just about making EVs affordable; it was rewriting the script for a greener, cleaner transportation narrative.
FAME I marked a seismic shift in how India perceived electric mobility. In a country where the roar of internal combustion engines dominated, FAME I turned down the volume, introducing the silent, efficient hum of electric vehicles. The government wasn’t just extending a helping hand to buyers; it was kickstarting a revolution.
FAME II: A Sequel with a Shocking Twist
Fast forward to 2019, and FAME II takes the spotlight with a staggering budget of 10,000 Crores over three years. This phase isn’t merely about incentives; it’s a sequel with a mission. Beyond perks for buyers, FAME II is all about building the ultimate charging network for EVs – envisioning it as laying down tracks for a high-speed electric express.
FAME II isn’t just about putting charging stations on the map; it’s a sequel that delves deeper into the intricacies of electric mobility. It’s about laying the foundation for an EV ecosystem, playing the long game for a sustainable future. It’s not just practical; it’s visionary.
FAME III: The Grand Unveiling – A Blockbuster in the Making
Now, the stage is set for FAME III, promising unexpected twists in the EV narrative:
FAME III might shake things up for more flexibility in incentives beyond FAME II’s 50% localization mandate.
Criteria like range, speed, and price dictated EV benefits in FAME II, but FAME III is considering personal mobility incentives, adding a touch of individuality.
Battery size-based rewards in FAME II might see reevaluation in FAME III for fair subsidy distribution, turning it into a game of wisdom.
VIP Pass for Commercial Vehicles:
FAME III is contemplating a VIP pass for both light and heavy commercial vehicles, ending their cold exclusion from FAME II.
Charging Stations – The Unsung Heroes:
Charging stations, the unsung heroes, might get more incentives in FAME III to keep the EV party charged up, giving them the recognition they deserve.
Say Hello to Hydrogen:
FAME III wants to explore alternative fuels and give extra love to battery recycling, introducing a futuristic touch.
Gas Guzzler Goodbye:
Swapping your gas guzzler for an EV? FAME III might have the perfect perks and cash incentives for you, turning it into a farewell party for traditional vehicles.
Retro-fitment is the new trend, and FAME III is considering innovative financing options to spice things up, making EV upgrades a stylish affair.
FAME III wants EV batteries to be social butterflies, compatible with everyone in the automobile world, ending the compatibility conundrum.
FICCI’s Call to Action: The Plot Thickens
In a dramatic turn, the Federation of Indian Chambers of Commerce and Industry (FICCI) steps onto the scene, urging the continuation of the FAME scheme for the next five years. FICCI’s proposal includes subsidy support, a mid-scheme review, and the inclusion of emerging green technologies, with a spotlight on maintaining upfront price parity for EVs compared to traditional vehicles.
FICCI emphasizes that the FAME scheme’s continuation is vital to achieving the government’s ambitious target of 30% EV penetration by 2030. The recommended demand incentives could potentially support the adoption of 30.5 million electric vehicles across segments, adding a thrilling subplot to the evolving narrative.
The Green Finale: Tomorrow’s EV Extravaganza
As we await FAME III’s grand entrance, it’s clear that subsidies alone won’t sustain the EV party indefinitely. FAME III envisions a mix of government enthusiasm, private sector flair, and industry-led standards to keep the green dream alive.