Subsidy timelines for 2-, 3-wheelers extended under PM E-Drive scheme
This story was originally published at 17:12 IST on 28 March 2026
Register to read our real-time news.Informist, Saturday, Mar. 28, 2026
NEW DELHI – The Ministry of Heavy Industries has extended the timeline for provision of subsidies for electric two-wheelers and three-wheelers under the PM Electric Drive Revolution in Innovative Vehicle Enhancement scheme, or the PM E-Drive scheme, as per a gazette notification on Friday. Demand subsidies for electric two-wheelers under the scheme will be provided for vehicles registered until Jul. 31, 2026 and for electric three-wheelers until Mar. 31, 2028, the notification said.
The ministry had in 2025 had extended the scheme's tenure till Mar. 31, 2028 but had said that incentives for these two sub-segments would be phased out by Mar. 31, 2026. The government has set ex-factory price caps for these vehicles to qualify for subsidies. Electric two-wheelers, which are priced up to INR 150,000 and electric three-wheelers, including electric rickshaws and electric carts, priced up to INR 250,000, will be eligible for subsidies.
While the latest notification extends the subsidy timeline for electric two-wheelers and electric three-wheelers, the ministry said the scheme continues to be fund-limited and that the total payout will be limited to the scheme outlay of INR 109 billion. If the funds are exhausted prior to Mar. 31, 2028, additional claims will not be entertained by the ministry.
The Centre had launched the PM E-Drive scheme in September 2024 to boost the adoption of electric vehicles in India via subsidies for electric two-wheelers, three-wheelers, ambulances, trucks, and buses. End
Reported by Anand JC
Edited by Vandana Hingorani
For users of real-time market data terminals, Informist news is available exclusively on the NSE Cogencis WorkStation.
Cogencis news is now Informist news. This follows the acquisition of Cogencis Information Services Ltd. by NSE Data & Analytics Ltd., a 100% subsidiary of the National Stock Exchange of India Ltd. As a part of the transaction, the news department of Cogencis has been sold to Informist Media Pvt. Ltd.
Informist Media Tel +91 (11) 4220-1000
Send comments to feedback@informistmedia.com
© Informist Media Pvt. Ltd. 2026. All rights reserved.
To read more please subscribe
Share this Story:
