India Aims for 30% Electric Vehicle Sales by 2030

Key Highlights:

• India supports the EV30@30 initiative with the EMPS scheme from April to July 2024.
• EMPS 2024 will support 3,72,215 electric vehicles with a budget of Rs 493.55 crore.
• The scheme focuses on electric two-wheelers and three-wheelers, ending on July 31, 2024.

India is one of the few nations that supports the global EV30@30 initiative, which aims to have at least 30% of new vehicle sales be electric by 2030. 

The government implemented the EMPS (Electric Mobility Promotion Scheme) plan to attain this goal, which will run from April to July 2024. The latest union budget 2024 highlighted the EMPS scheme, allocating a budget of Rs 5 billion (approximately).

Details of EMPS 2024

EMPS 2024 aims to encourage the purchase of electric two-wheelers (e2W) and electric three-wheelers (e3W) while reducing the industry's dependency on subsidies. The scheme does not cover electric four-wheelers like trucks, buses, and cars. It is a short-term scheme from April 2024 to July 2024.

Scope and Implementation

The government plans to support up to 3.72 lakh electric vehicles under the EMPS scheme, with a total implementation cost of Rs 493.55 crore. According to the Ministry of Heavy Industries, the scheme will support:

• 3,33,387 electric two-wheelers
• 13,590 e-rickshaws or e-carts
• 25,238 electric three-wheelers in the L5 category

Minister's Statement

H. D. Kumaraswamy, Minister of Heavy Industries, stated, “EMPS 2024 is fund-limited, with a restricted number of vehicles and a term-limited scheme, in which the subsidies for demand incentive are eligible for electric 3-wheelers and 2-wheelers sold and registered until the funds are available or the number of vehicles supported reaches the maximum number defined category-wise or until July 31, 2024, whichever comes first.”

Also Read: Budget 2024: No Major Boost for the Electric Vehicle Industry

CMV360 Says

The EMPS 2024 scheme is a promising step toward India's commitment to the EV30@30 initiative. However, its limited duration and scope raise questions about its long-term impact. A more extended and comprehensive plan might be necessary to achieve substantial progress in the transition to electric vehicles.