No individual person can purchase more than one vehicle of the same category and claim incentives under the scheme.
Through its Rs 10,000 crore budget for the second phase of FAME scheme, the Indian government has offered several incentives for electric vehicle users. Those using these incentives for public transport though will now have to produce a valid permit to be able to do so.
Curbing misuse of incentives
Starting April 1, all the electric three-wheelers and four-wheelers used for public transport will have to produce a valid permit from a government agency to be able to avail any corresponding incentives. The mandate comes as a part of the operational guidelines laid down by the Heavy Industry Ministry for the available incentives under FAME-II.
The mandate comes as a measure to ensure that the demanded incentive is not being misused by individuals for private use. This way, the government will be making sure that the incentives allotted as an attempt to boost electric public transportation in the country will be only used for the purpose.
This necessarily means that the incentives for the electric-3W, electric-4W, and the electric-bus segment will mainly be applicable to vehicles used for public transport or commercial purposes. The mandate does not apply to electric two-wheelers though, meaning dealers can claim incentives on the sale of electric two-wheelers to individuals.
One buyer, one incentive
The norms mention, “a dealer should ensure that only one vehicle per category per person is allowed to claim demand incentives. No individual person can purchase more than one vehicle of the same category and claim incentives under the scheme. However, there will be no restrictions for the number of vehicles to be purchased by other than individual categories of buyers”.