CURRENT AFFAIRS

Detailed explanation-1: -India’s federal government has allocated INR 51.72 billion (approx. US$631 million) towards its flagship scheme, FAME-II, for subsidizing and promoting the adoption of clean energy vehicles. FAME-II stands for the Faster Adoption and Manufacturing of (Hybrid and) Electric Vehicle in India.

Detailed explanation-2: -The state is offering 15 per cent of the ex-showroom price – up to ₹3 lakh – in subsidy for HEVs in the price range of ₹15-40 lakh. For Hybrid Electric Cars of price range ₹40-70 lakh, the incentive is 15 per cent of the ex-showroom price – up to ₹5 lakh.

Detailed explanation-3: -The new EV policy benefits will also be extended to 50, 000 E3Ws. Subsidy of 15 percent on ex-factory cost, up to Rs 12, 000 with a budget outlay of Rs 60 crore. In terms of electric cars and SUVs, the same 15 percent subsidy on ex-factory cost will be offered limited to Rs 1 lakh.

Detailed explanation-4: -This discount, called the Plug-in-Car Grant (PiCG) was brought to an end in June 2022 after paying out £1.4 billion, and helping almost half a million EVs and plug-in hybrids (PHEVs) find homes. The PiCG changed in the 11 years it was operational for, with grants becoming less generous over time.

Detailed explanation-5: -Plug-In Hybrid and EV Tax Credits. Claim a federal tax credit of up to $7, 500 for purchasing a new hybrid or electric vehicle (EV) in 2022.