Electric 3W subsidies for FY25 halt as sales hit cap
Hindustan Times|November 11, 2024
The removal of a central government subsidy will likely make popular electric three-wheelers dearer for the rest of this fiscal year, potentially disrupting sales of manufacturers such as Bajaj Auto, Mahindra Last Mile Mobility and Piaggio.
Alisha Sachdev
Electric 3W subsidies for FY25 halt as sales hit cap

The annual cap for the number of subsidised e-three wheelers under the PM E-Drive scheme has almost been reached for this fiscal, and the Centre has decided not to extend the subsidies beyond the cap set for the year.

In an 8 November letter to original equipment manufacturers (OEMs), the ministry of heavy industries (MHI) said that once the scheme's target is met, no additional e-three wheelers will be eligible for subsidies. Mint has seen a copy of the letter. The letter mentions that against a target of 80,546 units for FY25, 79,974 units of e-three wheelers—including e-rickshaws (for passengers) and e-carts (for goods transport)—had already been sold as of 7 November.

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