Govt considering National Electric Mobility Mission Plan

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Press Trust of India New Delhi
Last Updated : Aug 14 2014 | 8:20 PM IST
The government is considering National Electric Mobility Mission Plan (NEMMP) 2020, which would provide incentives to the tune of about Rs 14,000 crore for promotion of cleaner electric vehicle technologies in India, Parliament was informed today.
"A Scheme under the National Electric Mobility Mission 2020 has been proposed for Expenditure Finance Committee and Cabinet. The scheme is to be approved by EFC and cabinet," Deputy Heavy Industries Minister P Radhakrishnan said in a written reply to the Rajya Sabha.
The Mission plan projects a potential for 6-7 million units of new vehicles sales of Electric Vehicles (EVs), along with resultant fuel savings of 2.2-2.5 million tonnes that can be achieved by 2020.
The Scheme aims to encourage faster adoption, domestic technology development (R & D) and manufacturing of full range of cleaner electric vehicle technologies that include mild hybrid, full hybrid vehicles (HEVs), Plug in Hybrids (PHEVs) and Pure Electric Vehicles (BEVs), thereby leading to creation of a strong, globally competitive, viable & self-sustaining EV industry and its eco system in India.
The Mission Plan 2020 envisages demand incentive scheme for faster adoption of Electric Vehicles. An inclusive approach has been proposed in the scheme and all vehicle segments come under the purview of the incentive scheme, along with the complete range of electric and hybrid vehicles (Mild, Strong, Plug-in, BEV variants are covered).
The scheme proposes a comprehensive approach which includes providing charging infrastructure, development of indigenous technology, capacity creation and supply side measures to increase confidence and provide greater acceptability for electric car and other vehicles.
According to industry estimates, if the cost of internal combustion engine car is Rs 5 lakh and that of electric vehicle is Rs 6.5 lakh, the government intends to offer 35 per cent of differential cost. In case of two-wheelers, it could be higher.
They estimate that if India's electric vehicle market takes off, Rs 40,000 crore worth of fuel will be saved.
On March 31, 2012, the Ministry of New and Renewable energy (MNRE) ended a scheme under which 20 per cent subsidy was offered to consumers on purchase of electric four-wheelers and two-wheelers. Under the scheme, the MNRE provided a cash subsidy of Rs 4,000-5,000 on electric two-wheelers and of Rs 1 lakh on electric cars.
The scheme was replaced by National Electric Mobility Mission Plan 2020, which was unveiled in January, 2013.
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First Published: Aug 14 2014 | 8:20 PM IST

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