National Incentives

Under the FAME II policy, uniform demand incentive at Rs. 10,000/- per kWh for all vehicles (except buses) with maximum at 20% of cost of the vehicle. For buses, the initial uniform maximum demand incentive is Rs. 20,000/- per kWh with maximum at 40% of cost of the vehicle.

Guidelines for OEMs

To avail the benefits of the scheme, OEMs must apply for registration to Department of Heavy Industry (National Automotive Board), along with complete list of documents. Click here for OEM Registration. OEMs are also required to submit a hard copy of the application along with the complete documents. To ensure their eligibility under FAME-II, each OEM is required to get their vehicle models certified from recognized testing agencies. Once certified, the vehicle is approved by DHI/NAB and the incentive amount for particular model is decided following which the OEMs are required to upload production data of all vehicles for which they intend to avail the demand incentives. Vehicles may be dispatched to the distributors after the production data has been uploaded. OEMs must ensure that the demand incentive is deducted at last, and the financial cost of the incentive amount is borne by the OEM and not by dealer or consumer.

Submitting the reimbursement claims – OEMs are required to submit the reimbursement claims once a month (but no later than 120 days after sale of vehicle at dealer end) followed by an undertaking submitted by email to DHI/NAB.

Guidelines for Testing Agencies

Testing agencies are required to type approve the vehicle received from the OEM as per AIS standards and test the same vehicle as per the FAME II eligibility criteria. After completion of the testing, certificates should be provided to the OEM which is uploaded by them and verified by the respective testing agency.

Guidelines for Dealers

Dealers are required to collect and keep documents from purchasers for at least 5 years from date of sale and ensure that only one vehicle per category per individual claims the demand incentives. They must prepare and upload the invoice on the date of sale, and submit reimbursement claims to OEMs once a month. The reimbursement claims should be submitted to the OEMs within 90 days of the sale of the vehicle. It is also the responsibility of the dealers to obtain a declaration form from the customers stating that they have purchased and claimed incentives for the vehicle.

For more details about the incentives disbursement process, list of documents, roles and requirements visit: FAME INDIA II Scheme.. : Ministry of Heavy Industries, (dhi.nic.in)