Recently, the Ministry of Heavy Industries introduces Electric Mobility Promotion Scheme (EMPS), 2024 to boost Electric Vehicle (EV) adoption in India

About Electric Mobility Promotion Scheme

  • It is approved by the Department of Expenditure, Ministry of Finance to further accelerate the adoption of Electric vehicles in the country.
  • This is a fund limited scheme with a total outlay of Rs. 500 crores for the period of 4 months (1st April 2024 till 31st July 2024).
  • Incentives will be provided solely to EVs equipped with advanced batteries to encourage technological advancement.

Eligible EV categories

  • Two Wheelers (electric) (e-2W)
  • Three-wheeler (electric) including registered e-rickshaws & e-carts and L5 (e-3W).

Components of EMPS 2024:

  • Subsidies/Demand Incentive: This component covers incentives for electric 2-wheelers (e-2W) and electric 3-wheelers (e-3W), including registered e-rickshaws, e-carts, and L5 vehicles.
  • Administration of Scheme: This includes managing Information, Education & Communication (IEC) activities and fees for the Project Management Agency.


  • It aims to increase the sale of electric two-wheelers, three-wheelers and e-rickshaws.
  • The Government plans to cover more than 31,000 small three-wheelers (e-rickshaws and e-carts) under the scheme and will provide financial support of ₹25,000 for purchasing them.

Benefits of the scheme

  • To reduce pollution caused by diesel and petrol-operated vehicles
  • To promote manufacturing of electric and hybrid vehicles
  • It promotes an efficient, competitive and resilient EV manufacturing industry in the country.
  • It promotes an efficient, competitive and resilient EV manufacturing industry in the country thereby promoting the Prime Minister’s vision of Aatma-Nirbhar Bharat.
  • It will also create significant employment opportunities along the value chain.

Other Government initiative to promote electric Vehicle

Faster Adoption and Manufacturing of (Hybrid &) Electric Vehicles in India (FAME India):

  • It operates in two phases

Goods and service tax (GST) rate on all Electric Vehicles reduced from 12% to 5% and of charger or charging stations for EVs from 18% to 5%.

Ministry of Power along with Ministry of Road Transport and Highways, Ministry of Heavy Industries and NITI Aayog has launched a nationwide “Go Electric” Campaign in 2021 to educate the general public on the benefits of electric vehicles.

Phased Manufacturing Programme (PMP) has been adopted which encourages domestic manufacturing and strengthening off EV supply chain.

  • Phased Manufacturing Programme (PMP): It aims to promote indigenous manufacturing of electric vehicles.

The government has proposed the exemption of registration fees for battery operated/electric vehicles to promote eco-friendly vehicles in the country.

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