What is the FAME II Scheme?

Faster Adoption and Manufacturing of Hybrid and Electric Vehicles (FAME II), is a scheme launched by Government of India to give a boost to development of Electric Vehicles. This is important considering the efforts to combat climate change across the globe. The Government of India has allocated a budget of Rs 10,000 crores for the second phase of this scheme.  This scheme was launched by the Department of Heavy Industries in 2015. This scheme was launched to achieve the goals of National Electric Mobility Mission Plan (NEMMP) 2020. Phase II of FAME was launched in 2019.

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What are the Key Features of the FAME II Scheme?

Some of the key features of the FAME II scheme are given below.

  1. Allocation of Rs 10,000 crores for a period of 3 years from 2019 to 2022.
  2. Rs 1,000 crores has been set aside for setting up charging stations for electric vehicles. It has given a proposal of providing 1 slow charging unit for every electric bus and 1 fast charging station for 10 electric buses.
  3. The Central Government will incentivize the purchase of approximately 5 lakh three wheelers, 7000 electric buses and 35,000 four wheelers.

What Steps are taken by the Central Government to Make Electric Vehicles more Affordable?

The following steps are taken by the Central Government to make Electric vehicles more affordable.

  1. Incentives will be given to manufacturers involved in development of electric vehicles.
  2. Incentives will be given to manufacturers involved in development of lithium ion batteries and electric motors.
  3. The Centre has directed states to frame policies and provide incentives to manufacturers and buyers.

What were the Objectives of the FAME I Scheme?

  1. Creation of demand
  2. Provide a platform for technology
  3. Concentrate on pilot projects
  4. Work on Charging Infrastructure.


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