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India's EV Revolution Accelerates with Record PLI Payouts & E-DRIVE Success

The Ministry of Heavy Industries reported a significant acceleration in India's electric vehicle transition during 2025, driven by substantial financial incentives. Record disbursements were made under the PLI-Auto Scheme and the newly launched PM E-DRIVE initiative, which has a massive outlay to promote EV adoption and infrastructure. The schemes have already incentivized hundreds of thousands of two-wheelers, three-wheelers, cars, and buses across the country. Additionally, large-scale tenders for electric buses and manufacturing schemes aim to establish India as a global EV hub.

Key Points: India's 2025 EV Surge: Record PLI Investments & PM E-DRIVE

  • Rs 1,999.94 Cr PLI-Auto claims disbursed
  • PM E-DRIVE launched with Rs 10,900 Cr outlay
  • Over 21.36 lakh EVs sold under E-DRIVE
  • Tender for 10,900 e-buses concluded
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2025 saw Centre accelerating India's EV surge with record PLI investments, PM E-DRIVE success

India disbursed Rs 1,999 Cr in PLI-Auto incentives and over Rs 1,703 Cr under PM E-DRIVE, accelerating EV adoption with lakhs of vehicles subsidized.

"incentives have been provided for over 13.61 lakh electric vehicles - Ministry of Heavy Industries"

New Delhi, Jan 13

The Ministry of Heavy Industries accelerated India's transition towards greater adoption of electric vehicles during 2025, with record investments under its Production Linked Incentive Scheme for the auto sector and the successful implementation of the PM E-DRIVE initiative, according to an official statement on Tuesday.

Claims to the tune of Rs 1,999.94 crore were disbursed under the PLI-Auto Scheme during 2024-25. Till December 31, 2025, incentives have been provided for over 13.61 lakh electric vehicles, which include more than 10.42 lakh two-wheelers, over 2.38 lakh three-wheelers, 79,540 electric cars, and 1,391 electric buses, the statement said.

The PM E-DRIVE Scheme was launched on September 29, 2024, with an outlay of Rs 10,900 crore, with the aim to promote faster adoption of electric vehicles (EVs), setting up of charging infrastructure, and development of an EV manufacturing eco- system in the country.

The allocation includes Rs.3,679 crore for subsidies to incentivise more than 28 lakh EVs, including 24.79 lakh two-wheelers, 3.28 lakh three-wheelers, and 5,643 e-trucks. An allocation of Rs.4,391 crore has also been made for the deployment of 14,028 e-buses by public transport agencies.

As of December 31, 2025, claims amounting to Rs 1,703.32 crore have been disbursed, and over 21.36 lakh have been sold under the scheme.

Besides, government-owned Convergence Energy Services Limited (CESL) has concluded the tender of 10,900 e-buses -- one of the largest so far -- covering the five metropolitan cities of Delhi, Ahmedabad, Surat, Hyderabad and Bengaluru in phase 1.

The ministry is also implementing the Scheme to Promote Manufacturing of Electric Cars (SMEC), which was notified on March 15, 2024, aiming to attract global investments, promote India as a manufacturing hub for electric vehicles and boost domestic value addition (DVA). Approved applicants are required to invest a minimum of Rs 4,150 crore ($500 million) within three years. The initiative aligns with "Make in India," encouraging indigenous manufacturing and employment generation while integrating with the PLI-Auto scheme, the statement added.

- IANS

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Reader Comments

P
Priya S
While the investment and intent are commendable, I have a respectful criticism. The subsidy focus seems heavily on metros and big cities. What about tier-2 and tier-3 towns? We need a nationwide charging network and incentives for local EV service centers to make this a true pan-India success.
R
Rohit P
Make in India + EV push = Job creation! The SMEC scheme requiring big investments is a smart move. If we become a global EV manufacturing hub, it will boost our economy massively. Just bought an electric scooter last month, the running cost is a fraction of petrol. More people should switch!
S
Sarah B
The scale of the e-bus tender is mind-blowing - 10,900 buses! This will make a real difference in air quality in our major cities. As someone living in Delhi, I can't wait for more silent, clean buses on our roads. A positive step for public health and the environment.
V
Vikram M
Good progress, but what about the electricity grid? All these new EVs will need power. We need to accelerate renewable energy projects simultaneously. Also, battery recycling policies need to be robust to avoid a new waste problem. The plan must be holistic.
K
Kavya N
As an auto-rickshaw driver's daughter, I'm most happy about the over 2.38 lakh electric three-wheelers. This will help so many families save on fuel costs and breathe cleaner air. Hope the financing options are easy for them to access. Small steps leading to big change!

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