AS AUTOMAKERS deliberate upon whether EVs or hybrids should receive Government subsidies, NITI Aayog has likely started examining the lifecycle emissions of electric, hybrid, and conventional vehicles to determine which technology is the cleanest. Further, NITI Aayog Chairman BVR Subrahmanyam reportedly told industry leaders to stop expecting any more subsidies.

 

The vehicle manufacturers said while the Government can discontinue the subsidies on two-wheelers or three-wheelers under the PM EDRIVE scheme by 2026, the Centre should persuade states to lift the limitation on permits on commercialvehicles,accordingtomultiplereports on Monday. Statescurrentlycaphowmanycommercialvehiclepermits-- especially for electric two- and threewheelers -- can be issued in particular states or cities.

 

Industry leaders believe that these restrictions hinder the sale of commercial vehicles. India has implemented several subsidy programmestopromotecleanermobility,mostnotably Faster Adoption and Manufacturing of (Hybrid &) Electric Vehicles (FAME-II). Under the PM Electric Drive Revolution in Innovative Vehicle Enhancement (E-DRIVE) scheme, which began on October 1, 2024, the Centre has allocated Rs 10,900 crore for subsidies to EVs, but Maruti Suzuki, Toyota India and Honda want to extend similar benefits to hybrids,arguing thathybrids arecleanerthanconventional vehicles.