Govt to offer sops up to Rs 5,000 for e-2-wheelers till Mar 2028
The Indian government has extended the PM E-DRIVE subsidy scheme for electric two-wheelers until March 2028. Additionally, officials are exploring financing support mechanisms to reduce borrowing costs for electric buses and trucks to accelerate EV adoption.
Why it matters
Government intervention in financing and subsidies is critical for India's transition to electric mobility, particularly in the heavy-duty transport sector which contributes significantly to pollution.
NEW DELHI: Govt has extended incentives for electric two-wheelers under the PM E-DRIVE scheme till March 31, 2028, while also working on a financing support mechanism to bring down borrowing costs for electric buses and trucks, as it looks to accelerate EV adoption across vehicle segments.A ministry of heavy industries (MHI) official said govt is discussing with banks and vehicle manufacturers an interest-subvention mechanism and credit guarantee for electric trucks that could help bridge the roughly 3-4 percentage-point financing-cost gap between electric and diesel trucks.
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