In top gear: Govt set to prop up EV market with VC funding for start-ups

Rs 15 bn funding is to be available to new players entering the space

The ambitious Rs 93.8-billion FAME-II scheme of the government to promote electric vehicles (EV) will aim at disbursing incentives totalling Rs 55 billion for its beneficiaries, including the domestic market and start-ups. The government will tap state funding agencies such as SIDBI, IFCI Ventures, Canara Bank’s VC fund and private financiers to set up a venture capital fund of Rs 15 billion. 

The Centre has identified around 136 start-ups in the EV space and would set up an incubation centre for them.

The draft FAME-II policy states, “According to the information available from Start-tup Team of Invest India, about 136 start-ups related