NewKerala.com

Auto PLI Scheme Drives ₹35,657 Crore Investment, Creates 49,000 Jobs

The Production Linked Incentive (PLI) scheme for the auto sector has catalyzed a cumulative investment of ₹35,657 crore and generated nearly 49,000 jobs. Incentives worth ₹2,322 crore have been disbursed, supporting over 1.3 million units of electric two-wheelers, three-wheelers, four-wheelers, and buses. The scheme mandates a minimum 50% Domestic Value Addition, with certifications already granted for 94 vehicle variants and 37 component variants. In a related push for electrification, the PM E-DRIVE scheme has seen over 2.1 million electric vehicles sold, with EV penetration in the three-wheeler segment reaching 32%.

Key Points: Auto PLI Scheme: ₹35,657 Cr Investment, ₹2,322 Cr Incentives

  • ₹35,657 crore investment achieved
  • 48,974 jobs generated
  • Over 13.6 lakh EVs incentivised
  • Domestic Value Addition certification for 131 variants
2 min read

Auto PLI scheme sees Rs 35,657 crore investment, incentives worth Rs 2,322 crore disbursed

India's Auto PLI scheme sees ₹35,657 crore investment, creates 49,000 jobs, and disburses ₹2,322 crore in incentives for electric vehicles.

"As of date, for the performance year 2024-25, a total amount of ₹1,999.94 crore has been disbursed to five approved applicants. - Ministry of Heavy Industries"

New Delhi, Dec 31

The government on Wednesday said that under the Production Linked Incentive - Auto Scheme, cumulative investment of Rs 35,657 crore and cumulative determined sales of Rs 32,879 crore has been achieved.

Further, 48,974 jobs have been generated and a cumulative incentive of Rs 2,321.94 crore has been disbursed (as on December 31).

PLI Auto scheme has been introduced to enhance the country's manufacturing capabilities in Advanced Automotive Technology (AAT) products.

The scheme has a total budgetary outlay of Rs 25,938 crore and covers a performance period of five years, from FY 2023-24 to FY 2027-28.

Under the scheme, FY 2023-24 was the first performance year, and an amount of Rs 322 crore was disbursed to four approved applicants in FY 2024-25.

"As of date, for the performance year 2024-25, a total amount of Rs 1,999.94 crore has been disbursed to five approved applicants," said Ministry of Heavy Industries in a statement.

Under the scheme, incentives have been provided for a total of 10,42,172 units of electric two-wheelers (e-2W), 2,38,385 units of electric three-wheelers (e-3W), 79,540 units of electric four-wheelers (e-4W), and 1,391 electric buses (e-buses).

PLI Auto scheme incentivises only those products which achieve Domestic Value Addition (DVA) of minimum 50 per cent.

As of date, eight applicants under the Champion OEM category have received Domestic Value Addition (DVA) certification for 94 variants, while 10 applicants under the Component Champion category have received DVA certification for 37 variants.

Meanwhile, the PM Electric Drive Revolution in Innovative Vehicle Enhancement (PM E-DRIVE) Scheme was notified on September 29 with an outlay of Rs 10,900 crore.

"The aggressive targets set by the MHI for the e-3Ws (L5) segment have been met (2.88 lakh units ) ahead of time and the incentivisation under the scheme for e-3Ws (L5) has been closed post 26/12/2025," the ministry informed.

EV penetration within the e-3Ws (L5) segment is now estimated at 32 per cent, aligning perfectly with the government's vision to establish a self-sustaining ecosystem.

"As on December 30, a total of 21.24 lakh EVs have been sold under the PM E-DRIVE Scheme," the ministry said.

- IANS

Share this article:

Reader Comments

P
Priya S
Good to see the incentives for electric 2-wheelers and 3-wheelers. These are the vehicles most common people use. Hope this leads to more affordable EVs on the road soon. The 32% penetration in e-3Ws is promising!
R
Rohit P
While the numbers look good, I have a question. Rs 2,322 crore disbursed against Rs 25,938 crore outlay? The scheme is for 5 years, but the disbursement seems slow. Hope the pace picks up to fully utilize the budget and boost manufacturing.
S
Sarah B
The job creation figure of 48,974 is the most heartening part. Skilled manufacturing jobs are exactly what our economy needs. If this momentum continues, it can transform our auto sector into a global hub.
V
Vikram M
Meeting the e-3W targets ahead of time is a big achievement! Auto-rickshaws going electric will make a huge difference to urban air quality. Now we need more charging infrastructure to support this growth. 🛺⚡
K
Karthik V
The DVA (Domestic Value Addition) certification for 94 variants is crucial. It means we are building real manufacturing capability, not just assembly lines. This is how we move up the value chain and reduce import dependence in the long run.

We welcome thoughtful discussions from our readers. Please keep comments respectful and on-topic.

Leave a Comment

Minimum 50 characters 0/50