EV sector does not need fresh incentives or subsidies: Piyush Goyal

New Delhi: India’s electric vehicle (EV) ecosystem is set to become self-sustaining and does not require new incentives or subsidies from the government, Commerce and Industry Minister Piyush Goyal said on Friday.

“India’s electric mobility segment is ready and set to fly. There is no need for new incentives as the existing ones are enough to give a kickstart to the ecosystem,” Goyal told reporters.

The minister earlier held deliberations with different stakeholders of the EV sector. “Everyone was unanimous in the room that once the existing subsidy regime comes to an end, none of them require subsidies to grow any further,” he said.

Apart from the industry representatives, officials from the Department of Heavy Industries, Power, Department for Promotion of Industry and Internal Trade (DPIIT), NITI Aayog and the Bureau of Indian Standards (BIS) also participated in the meeting chaired by Goyal.

His comments come amid the demand for launch of the third phase of incentives under the Faster Adoption and Manufacturing of Electric Vehicles in India (FAME) scheme. The FAME scheme was first launched in 2015 with an initial outlay of Rs 895 crore. This was followed by the FAME II scheme, which had an outlay of Rs 11,500 crore.

The second phase of FAME scheme was valid till the end of 2023-24. However, it was extended by six months.

Union Minister of Heavy Industries H D Kumaraswamy said in September 2024 that the centre would come out with FAME III, but did not specify further.

Speaking about quick commerce firm Blinkit’s foray into 10-minute ambulance service, Goyal said the government would have no issue so long as the company functioned as per the law.

“My only submission would be that they have to make sure that they meet the law of the land. And, whatever other legal requirements should be properly taken care of. No laws of the land should be broken,” he said.

Blinkit CEO Albinder Dhindsa on Thursday announced the launch of a 10-minute ambulance service from Gurugram.

Responding to a question regarding the impact of the rapid expansion of quick commerce on Kirana stores, Goyal said the government was monitoring the development.

“CCI (Competition Commission of India) has weighed in wherever they have seen anti-competitive practice. Investigation agencies have also investigated cases where the spirit and letter of the law were not followed. We welcome everyone, but everyone should work within the confines of the law,” he said.