Centre extends electric two wheeler subsidies till July 31

The Ministry of Heavy Industries has extended subsidies for electric two-wheelers (e2w) till July 31, 2026, and for e-rickshaws and e-carts till March 31, 2028. According to official estimates, Rs 1,259.91 crore has been spent for subsidising electric two wheelers (e2w) of the Rs 1,772 crore outlay for the same under the PM Electric Drive Revolution in Innovative Vehicle Enhancement (PM E-DRIVE) Scheme.

A gazette notification stated the target for e2w has been scaled to 2.48 million, up from 1.4 million under the original scheme. The goal for e-rickshaws and e-carts has also been scaled up to 39,034, marginally up from initial goals of 36,462 units.

According to official estimates, around 1 million e-2w have been sold till now. Robust sales have also been clocked in the large e-3w category and goals being overachieved with 1,62,981 sales against a target of 1,59,862.

Less than 10% goals under the e-cart and e-rickshaw category have been achieved till. In an indication that much sales are not expected under this category despite the goal revisions, fund allocation has been cut from Rs 192 crore to Rs 50 crore in the scheme revision.