India Launches First-Ever e-Truck Incentive Scheme Under PM E-DRIVE Initiative

The e-Truck Incentive Scheme is part of the PM Electric Drive Revolution in Innovative Vehicle Enhancement (PM E-DRIVE) introduction initiated by India. Through the scheme, the government hopes to fast-track the uptake of electric trucks (e-truck) in the country, which results in cleaner transport systems, lower logistics prices, and helps the electric vehicle (EV) manufacturing industry.

Context

• India has initiated the e-Truck Incentive Scheme under the PM Electric Drive Revolution in Innovative Vehicle Enhancement (PM E-DRIVE) initiative.

Key Details

• Objectives of scheme

  • Increase the use of e-trucks, support native production, cut logistics expenses and decrease the carbon footprint of the transport industry.

• Target Audience:

  • The scheme targets the N2 e-trucks (Gross Vehicle Weight of 3.5 to 12 tonnes), and the N3 e-trucks (GVW 12 to 55 tonnes).

• Financial Incentives:

  • The program provides a one-time financial incentive of up to 9.6 lakh per unit of vehicle as a direct cut to promote fleet operators to use the electric trucks.

• Environmental Impact:

  • Diesel vehicles play the greatest role in leading to 42 % of emissions which are related to transport despite the fact that 3 % of total Indian vehicles are diesel. This plan will reduce such an effect.

• Around PM E-DRIVE Initiative:

  • E-DRIVE is PM led initiative under the Ministry of heavy Industries (MHI), which aims at the faster adoption of EVs by various industries, including the adoption of e-2Ws, e-3Ws, e-ambulances, e-trucks, e-buses, and establishing EV charging infrastructure.

Distinguishing Features of PM E-DRIVE

• Wider Reach: It goes wider than the FAME-II program by including e-trucks, e-ambulances and charging infrastructure that will be provided publicly.

• Scrapping Incentive: Contains the e-trucks scrap-related incentives and preference in deploying e-buses.

• Testing and Development: Upgrading and restructuring of testing agencies shall be provided, so that EVs will be equipped with the latest technologies.

Conclusion

The eTruck incentive scheme will play a major role in ensuring the adoption of electric trucks in India to improve green energy initiatives in logistics industries.