India Rolls Out
First-Ever e-Truck Incentive Scheme Under PM Modi’s Green Mobility Vision
·
GoI Unveils ₹9.6 Lakh Incentive for Electric Trucks
·
HD Kumaraswamy Launches Game-Changing
e-Truck Scheme to Cut Freight Emissions and Boost Make in India
·
5,600 e-Trucks, Cleaner Cities: PM
E-DRIVE Accelerates India’s Green Freight Revolution
Key
highlights:
·
Targets
N2 and N3 category trucks
(above 3.5 tonnes GVW).
·
Incentives
offered as upfront discounts and reimbursed to OEMs.
·
Backed
by mandatory 5-year
warranties for vehicle, motor, and battery.
·
Expected
to support 5,600 e-trucks,
including 1,100 in Delhi
to combat pollution.
·
Mandatory
scrapping of old diesel trucks required for eligibility.
·
Supported
by major manufacturers (Tata, Volvo Eicher, Ashok Leyland).
·
SAIL
to procure 150 e-trucks, aiming for 15%
electric fleet share.
The
scheme promotes India’s goals of net-zero
emissions by 2070, cleaner cities, and self-reliant green transport
under the Atmanirbhar Bharat mission.
[ABS News Service/11.07.2025]
Under the visionary leadership of
Prime Minister Narendra Modi and the guidance of Union Minister for Heavy
Industries & Steel, H.D. Kumaraswamy, the Ministry of Heavy Industries
(MHI), Government of India, has launched a ground breaking scheme to provide
financial incentives for electric trucks (e-trucks) under the PM E-DRIVE
initiative. This marks the first time the Government of India is extending
direct support for electric trucks, aiming to accelerate the country’s
transition to clean, efficient, and sustainable freight mobility.
Highlighting the significance of the
scheme, Union Minister H.D. Kumaraswamy stated, “Diesel trucks, though
constituting only 3% of the total vehicle population, contribute to 42% of
transport-related greenhouse gas emissions and significantly worsen air
pollution. This pioneering scheme, guided by the visionary leadership of Prime
Minister Narendra Modi, represents India’s first dedicated support for electric
trucks. It will drive our nation toward sustainable freight mobility, a cleaner
future, and the realization of Viksit Bharat by 2047, in alignment with our
net-zero emissions goal by 2070.”
Under the scheme, demand incentives
will be extended to N2 and N3 category electric trucks, as defined under the
Central Motor Vehicle Rules (CMVR).
·
The N2 category includes trucks with a Gross Vehicle Weight (GVW) above
3.5 tonnes and up to 12 tonnes.
·
The N3 category covers trucks with GVW exceeding 12 tonnes and up to 55
tonnes. In the case of articulated vehicles, incentives will apply only to the
puller tractor of the N3 category.
To ensure reliability and
performance, the scheme mandates comprehensive manufacturer-backed warranties.
·
The battery must be covered under a warranty for five years or 5 lakh
kilometres, whichever is earlier.
·
The vehicle and motor must have a warranty of five years or 2.5 lakh
kilometres, whichever is earlier.
To promote affordability, the
incentive amount will depend on the GVW of the electric truck, with the maximum
incentive set at ₹9.6 lakh per vehicle. These incentives will be offered
as an upfront reduction in the purchase price and reimbursed to OEMs via the PM
E-DRIVE portal on a first-come, first-served basis.
The scheme is expected to support the
deployment of approximately 5,600 e-trucks across the country. A dedicated
provision for 1,100 e-trucks registered in Delhi has been made, with an
estimated outlay of ₹100 crore, aimed at addressing the capital’s serious
air quality challenges.
Key sectors set to benefit include
the cement industry, ports, steel, and the logistics sector. Several leading
OEMs such as Volvo Eicher, Tata Motors, and Ashok Leyland are already engaged
in manufacturing electric trucks in India, enhancing indigenous capabilities
under the Atmanirbhar Bharat vision.
The initiative has received a warm
response from both manufacturers and users of e-trucks, who acknowledge the
scheme’s potential to lower logistics costs and reduce carbon emissions.
As a strong show of CPSE leadership,
the Steel Authority of India Limited (SAIL) has committed to procure 150
e-trucks over the next two years for deployment across multiple locations.
Additionally, SAIL has set an internal target to ensure that at least 15% of
all vehicles hired across its units are electric.
To qualify for the incentives, the
scrapping of old, polluting trucks is mandatory ensuring a dual benefit of
modernising vehicle fleets and reducing emissions.
This forward-looking initiative by
the Ministry of Heavy Industries aligns with the Government of India’s broader
objective of building a self-reliant electric mobility ecosystem. By extending
incentives to e-trucks, the scheme aims to reduce operational costs for
transporters, encourage clean energy adoption in the heavy vehicle segment, and
enhance air quality in urban and industrial regions bringing India closer to a
sustainable, low-carbon future.