FAME II subsidy revision sees electric two-wheeler makers cut prices

A few days ago, a new amendment increased the FAME II (Faster Adoption and Manufacturing of Electric Vehicles in India) subsidy on electric two-wheelers by 50 percent to Rs 15,000 per kWh. This has resulted in significant price reductions of electric two-wheelers. Following the price reductions of Ather Energy's 450X and the TVS Motor Co's iQube, more electric two-wheeler companies have announced revised prices.

Okinawa Scooters has revealed that its most expensive scooter, the iPraise+ will now cost Rs 17,892 less which takes its price down to Rs 99,708. The PraisePro, meanwhile, has witnessed a drop of Rs 7,947, which means it now costs Rs 76,848. The price for the Okinawa Ridge+ has also gone down by Rs 7,209, taking its price down to Rs 61,791.

Commenting on the same, Jeetender Sharma, MD and founder, Okinawa Autotech, says, “Lowering the prices of electric scooters in the country will serve as a stepping stone and help persuade more riders to switch from a combustion-engined model to an electric one. We thank the government of India for taking this crucial step.”

Revolt Motors announced a reduction in the price of its flagship RV 400 electric bike. It now costs around Rs 28,000 less than before. This takes its price down to Rs 90,799. The company has said that it will open bookings for this model from June 18, 2021, for a limited period. It will be available across six cities - Delhi, Mumbai, Pune, Chennai, Ahmedabad and Hyderabad.

Ampere Electric's Magnus that was previously priced at Rs 74,990 now costs Rs 65,990. The company’s Zeal electric scooter, on the other hand, now costs Rs 59,990 as compared to its older price of Rs 68,990.

Jitendra EV Tech has also slashed prices on its JMT 1000 HS by Rs 12,082 and can be had for Rs 61,995. The e-scooter can attain a top speed of upto 51kph and has a range of 90km per charge. The IoT-enabled e-has fast-charging capability, 1KW motor, 2KW battery, regenerative braking system, reverse assistant and find-my-scooter.

Samkit Shah, co-founder director, Jitendra EV Tech said: “I thank the Central government and especially the Department of Heavy Industries for supporting the EV industry in a time of crisis. The sharp decline in on-road prices will make electric two-wheelers more affordable for the common person. We have slowly started reeling from the economic halt spurred by the deadly second wave of Covid-19. Therefore, the timely tweaks in FAME-ll policy are all the more important for the domestic EV industry by accelerating EV adoption among the common people. Our company plans to sell 3X units this fiscal year as compared to last fiscal year. The increase in subsidy will definitely boost sales and help us achieve our target. It will further ease in reaching out to customers in all districts throughout India and thus increase out footprint in the national market”.