Slug: EV Scheme Update

New Delhi

The government has revised the guidelines of the PM Electric Drive Revolution in Innovative Vehicle Enhancement (PM E-DRIVE) Scheme, introducing new deadlines and limits for electric vehicles under its incentive programme.

The scheme, with a total outlay of Rs 10,900 crore, aims to promote the adoption of electric mobility across the country.

According to the updated notification, electric two-wheelers registered up to July 31, 2026, and electric three-wheelers, including e-rickshaws and e-carts, registered up to March 31, 2028, will be eligible for incentives. The maximum ex-factory price to avail these benefits has been capped at Rs 1.5 lakh for two-wheelers and Rs 2.5 lakh for three-wheelers.

The Centre clarified that the scheme is limited by funds. If the allocated budget is exhausted before the final deadline of March 31, 2028, the scheme or its specific components may be closed earlier, and no additional claims will be accepted thereafter.

Officials explained that the terminal date refers to the last date for vehicle registration to qualify for incentives. They also noted that the target for electric three-wheelers under the L5 category has already been achieved, leading to its closure on December 26, 2025.

Under the scheme, incentives are capped at 24,79,120 electric two-wheelers and 39,034 e-rickshaws and e-carts. The revised guidelines are intended to ensure efficient use of funds, simplify the incentive structure, and boost the adoption of electric vehicles nationwide.