The auto sector has been facing challenges related to the environment. Concerning this growing issue, the government of India has agreed to invest Rs 14,000 crore under FAME India - Faster Adoption and Manufacturing of Hybrid and Electric vehicles in India.
And, during the recently concluded SIAM convention, Heavy Industries Minister Anant Geete was heard saying hybrid and electric vehicles under the FAME India scheme will help the country save fuel worth of Rs 60,000 crore besides controlling pollution.
The FAME scheme is a part of the National Electric Mobility Mission Plan and was launched last year and offers electric and hybrid vehicle incentives of up to Rs 29,000 for motorcycles and Rs 1.38 lakh for cars.
However, the lack of infrastructure to support the technology is one of the issues faced by car and motorcycle manufacturers/consumers.
For now, major players such as Mahindra and Toyota has witnessed a healthy demand for their electric (Mahindra Reva e2o) and hybrid (Toyota Camry) vehicles. Other key players in the hybrid and electric technology space are BMW (i8 hybrid supercar), Maruti Suzuki (Ciaz hybrid), and Hero Electric scooters.
But, is the FAME scheme enough in a country like India which has a population of approx. 1.33 billion?
Or does the government need to take any drastic measures to promote electric and hybrid vehicles? Say what you have to say!