TL;DR
India's PM E-DRIVE scheme has been revised, extending subsidies for electric two-wheelers until July 2026 and e-rickshaws/e-carts until March 2028, with updated targets and price caps.
The Indian Ministry of Heavy Industries has revised the PM Electric Drive Revolution in Innovative Vehicle Enhancement (PM E-DRIVE) scheme, extending subsidies for electric two-wheelers until July 31, 2026, and for electric rickshaws and e-carts until March 31, 2028. This strategic move aims to continue incentivizing electric vehicle adoption in the country, particularly in segments crucial for mass mobility.
Under the updated guidelines, the target for electric two-wheelers has been significantly scaled up to 2.48 million units, from the previous 1.4 million. The scheme remains a fund-limited program with a total outlay capped at ₹10,900 crore. Eligibility criteria include maximum ex-factory prices of ₹1.5 lakh for electric two-wheelers and ₹2.5 lakh for electric three-wheelers to qualify for incentives. The revised scheme also specifies that the electric three-wheeler (L5) sub-component was closed on December 26, 2025, as its target had already been achieved.
