Centre likely to discontinue second phase of Fame-II scheme after FY24

Instead of the Fame-II scheme, the benefits may be given through the production-linked incentive (PLI) scheme

The second phase of Rs 10,000 crore Faster Adoption and Manufacturing of Electric Vehicles in India (Fame-II) is likely to be discontinued after 2023-24, a report by the Economic Times (ET) said, citing officials aware of the matter. 

Instead of the scheme, it said the benefits might be given through the production-linked incentive (PLI) scheme. Fame-II was launched to support 1 million EV two-wheelers (E2W) and 7,000 electric buses (e-buses) in India.

Under Fame, companies can offer a discount of up to 40 per cent on the cost of locally manufactured vehicles and claim it as a subsidy from the government.

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