New Delhi: India could offer an on-tap facility for manufacturing electric vehicles under the soon-to-be-announced guidelines for the incentive scheme announced last year, officials said. The detailed rules for the scheme are expected next month and the window to avail of the scheme may be open for an extended period, they said.This will allow foreign EV makers such as Tesla to test the market before making investments. The Scheme to Promote Manufacturing of Electric Passenger Cars in India (SMEC) was announced in March 2024 but is yet to be operationalised. “The SMEC guidelines will be finalised in a fortnight and announced next month,” a senior government official told ET.
The official said the window to apply for incentives under SMEC can be opened for 120 days or more. “The window can also be opened multiple times. So an EV maker can test the market right now and then apply for manufacturing incentives at a later stage,” the official added. Elon Musk-promoted Tesla is said to be seeking showroom space and is hiring staffers for selling its vehicles in India.
But the company is yet to make any local manufacturing commitments.
This scheme would allow Tesla to assess the demand for its products in India before making manufacturing investments.In another relief to global car makers with an existing manufacturing presence in India, the scheme will consider investments for setting up EV assembly lines within existing factory premises to be eligible for incentives.The Centre expects to receive applications seeking incentives for setting up EV manufacturing units in India from next month, soon after the guidelines are annou ..
Source Name : Economic Times