Category: Infrastructure: Energy, Ports, Roads, Airports, Railways, etc – GS3I

National Electric Mobility Mission Plan

Why in News?

  • The National Electric Mobility Mission Plan (NEMMP) 2020 is a National Mission document providing the vision and the roadmap for the faster adoption of electric vehicles and their manufacturing in the country.

Highlights:

  • The plan has been designed to enhance national fuel security
  • To provide affordable and environmentally friendly transportation
  • To enable the Indian automotive industry to achieve global manufacturing leadership.
  • As part of the NEMMP 2020, Department of Heavy Industry formulated a Scheme viz. Faster Adoption and Manufacturing of (Hybrid &) Electric Vehicles in India (FAME India) Scheme in the year 2015 to promote manufacturing of electric and hybrid vehicle technology and to ensure sustainable growth of the same.
  • FAME-India Scheme Phase – II for promotion of Electric Mobility in the country.
  • The scheme proposes to give a push to electric vehicles (EVs) in public transport.
  • It seeks to encourage adoption of EVs by way of market creation and demand aggregation.

Targets:

  • Target of deploying 5 to 7 million electric vehicles in the country by 2020
  • Emphasizes importance of government incentives and coordination between industry and academia
  • Target of 400,000 passenger battery electric cars (BEVs) by 2020 ~ avoiding 120 million barrels of oil and 4 million tons of CO2
  •  Lowering of vehicular emissions by 1.3 percent by 2020
  • Total investment required – INR 20,000 – 23,000 cr (approx 3 billion USD)

FAME India:

  • FAME India is a part of the National Electric Mobility Mission Plan. Main thrust of FAME is to encourage electric vehicles by providing subsidies.
  • Vehicles in most segments – two wheelers, three wheelers, electric and hybrid cars and electric buses obtained the subsidy benefit of the scheme.
  • FAME focuses on 4 areas i.e. Technology development, Demand Creation, Pilot Projects and Charging Infrastructure.

Electric Vehicles in India

Fame 2(Faster Adoption and Manufacturing (Hybrid&) and electric vehicles

 

  • The outlay of ₹10,000 crore has been made for three years till 2022 for FAME 2 scheme.
  • The centre has sanctioned ₹8,596 crore for incentives, of which ₹1,000 crore has been earmarked for setting up charging stations for electric vehicles in India.
  • The government will offer the incentives for electric buses, three-wheelers and four-wheelers to be used for commercial purposes.
  • Plug-in hybrid vehicles and those with a sizeable lithium-ion battery and electric motor will also be included in the scheme and fiscal support offered depending on the size of the battery.

Electric Infrastructure

  • The centre will invest in setting up charging stations, with the active participation of public sector units and private players.
  • It has also been proposed to provide one slow-charging unit for every electric bus and one fast-charging station for 10 electric buses.

Incentives

  • To encourage state transport units (STUs) to buy more electric buses, ₹20,000 per kW will be offered as incentive.
  • FAME 2 will offer incentives to manufacturers, who invest in developing electric vehicles and its components, including lithium-ion batteries and electric motors.
  • The centre has asked states to frame their EV policy and provide additional fiscal and non-fiscal incentives to manufacturers and buyers.

Why the government is pushing EVs to fight climate change

  • India has been at the forefront of aligning its policies with its commitment to the Paris accord on climate change, signed in 2016.
  • The accord aims to pursue efforts to limit the global temperature rise to 5ºC above pre-industrial levels.

Why is the central government promoting the adoption of electric mobility?

  • To reduce the import of crude oil
  • NITI Aayog, the government think tank is tasked with devising a mass electric energy-based transport system in India,

What are the main Obstacles in adopting electric mobility?

  • A battery, depending on its capacity, will keep a vehicle running at a certain speed for a certain duration.
  • Lack of charging infrastructure
  • High cost difference between ICE-based vehicles
  • firms have invested in making lithium-ion cells for batteries—most of the EV makers assemble the battery packs
  • India also lacks the important minerals, lithium and cobalt, that go into making lithium batteries, which are imported from China.

35,000 KM Highways to be built by 2022

  • The government will build 35,000 km of highways, besides expressways, by 2022.
  • Under the ‘Bharatmala Project’, construction or upgradation of about 35,000 kilometres of National Highways is to be undertaken by 2022.
  • In addition, under the ‘Sagarmala Project’, a network of good-quality roads is being constructed in coastal areas and areas adjoining ports.

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