(MENAFN- KNN India) New Delhi, May 6 (KNN) Several electric two-wheeler manufacturers in India continue to face challenges in regaining access to government subsidies under the FAME-II scheme, even after paying penalties for violating policy guidelines.
Companies like Revolt Motors and Greaves Electric Mobility (Ampere) had their subsidies revoked last year after the government found they were utilising imported Chinese components, defying the mandate to source at least 50 per cent of raw materials from Indian manufacturers.
Both Revolt and Greaves paid back the incentive amounts along with interest to the Ministry of Heavy Industries (MHI) in October 2023, with the expectation their names would be reinstated on the government's portal to receive the FAME-II subsidies again. However, six months later, they are still awaiting re-certification.
"We understand that the onboarding of Revolt on the FAME/government subsidy programme is in the final stages. We expect the approval very soon," said Sandeep Kumar, Director at Revolt Motors, reported BL.
The inability to pass on subsidies to customers has forced these electric vehicle makers to sell their products at higher prices currently.
A senior official cited unspecified reasons for the delay in updating the approved original equipment manufacturers list.
The FAME-II scheme concluded on March 31, 2024, being replaced by the new Electric Mobility Promotion Scheme with a smaller budget outlay until July 2024. Companies already receiving subsidies under the previous scheme continue getting instalments.
(KNN Bureau)
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