In order to promote electrification of automobile transportation to achieve objectives laid in the National Mission for Electric Mobility (NMEM), Government of India has flagged off the FAME-India scheme, offering incentives on hybrid and electric vehicles. This move will help to save Rs 60,000 crore annually on the country’s oil import bill by 2020.
Union Minister for Heavy Industries & Public Enterprises Anant Geete said that the government will spend about Rs 800 crore in the first two years for the scheme. Overall, Rs 14,000 crore is needed to make the scheme succeed, however it will save fuel worth Rs 60,000 crore. The minister added that the government intends to gradually convert 2, 3, 4-wheelers as well as commercial vehicles and buses to hybrid and electric vehicles.
FAME-India is short for Faster Adoption and Manufacturing of Hybrid and Electric vehicles in India and part of the National Electric Mobility Mission Plan. India's crude oil import bill is likely to drop by 35 per cent to $73 billion this fiscal. In the previous fiscal 2014-15, India had imported 189.43 million tonnes of crude oil for Rs 6.87 lakh crore. For the current fiscal, the imports are projected at 188.23 million tonnes, almost the same level as last year.