Electric two-wheelers in India are set to get costlier from June 1, 2023 as the government of India has revised the subsidy on the FAME India (Faster Adoption and Manufacturing of (Hybrid &) Electric Vehicles in India) Scheme to Rs 10,000 per kilowatt per hour (kWh) as against Rs 15,000/ kWH.

Furthermore, the cap for incentive has been brought down to 15 per cent of the two-wheeled EV’s ex-factory price as against 40 per cent benefit extended earlier.As per a gazette notification issued on Sunday, May 21, the Ministry of Heavy Industries (MHI) has stated, in a partial modification of its notification issued dated June 11, 2021, these amendments will come into force from June 1, 2023.

The three-year FAME II Scheme, for which the government approved an outlay of Rs 10,000 crore, kicked in on April 1, 2019, and received a two-year extension in June 2021, thereby taking the effective period of the subsidy scheme to March 31, 2024.

It was in June 2021 that MHI, in an effort to accelerate demand for electric two-wheelers, increased the demand incentive from Rs 10,000/kWh to Rs 15,000/kWh with the maximum cap increased from 20 per cent to 40 per cent of the cost of the EV.

Jimny

Maruti Suzuki will start retailing its lifestyle SUV, the Jimny from the first week of June and the company intends to garner 25 per cent of market share in SUVs with its four-model SUV portfolio in the Financial Year 2023-24. The company will also launch a premium SUV, the crossbadged Toyota Hycross, during this year’s festive season. With an augmented portfolio, it looks to capture 50 per cent of the overall market share in passenger vehicles.