The Ministry of Heavy Industry & Public Enterprises, Department of Heavy Industry has extended the validity of FAME II certificates for all vehicle models (electric 2-, 3- and 4-wheelers) under FAME II scheme.
As per the notification, the FAME II eligibility certificates issued by testing agencies and approval models of electric vehicles was valid up to March 31, 2021. The approved models under the scheme were required to submit re-validation certificates for availing demand incentives under the FAME II scheme. The extension will help OEMs who had not been able to clear their inventory due to the ongoing situation in the country.
Commenting on the move, Sohinder Gill, director general, Society of Manufacturers of Electric Vehicles (SMEV) said: “We thank the government for accepting our request and extending the validity of FAME II certification for one year from the date of issuance. This measure would provide much relief to OEMs who were unable to sell their inventory till March 31, 2021. We are awaiting the government's decision on the other important policy interventions to support e-mobility. Few initiatives that can catalyse a significant growth in electric vehicles are – starting a major EV awareness campaign across India, mandating delivery vehicles to convert to electric and extension of FAME 2 by another 3 years. An early decision and announcement of these measures would attract investments into the sector and help in the development of the local supply chain.”
The Society of Indian Automobile Manufacturers (SIAM) welcomed the move to streamline FAME II recertification periodicity. And said that the measure would enable FAME II eligibility certificate of electric models valid for 1 year from each of the model’s last date of certification instead of earlier case of validity which was FY wise.
“We appreciate and thank DHI to accept this recommendation of the industry. Such progressive measures would help bolster industry’s confidence to introduce more and more electric models with time. We believe that the scheme is largely on a right track and would result into desirable outcomes in the coming few years,” said the statement by SIAM.
Uday Narang, chairman, Omega Seiki Mobility said, “The extension of validity of FAME-II certificates by the government is a welcome move and will add new zeal to the adoption of electric vehicles in India. We have observed a significant increase in demand for electric three-wheelers in India over the past year. We at Omega Seiki Mobility have always emphasised on developing an ecosystem for EV mobility, and this scheme is the right action in that direction and would love to see more such policy announcements by the government to boost the EV sector.”