India’s EV Future as MHI Unveils Draft Guidelines for 22,000 Charging Stations Under PM E-DRIVE Scheme
The Ministry of Heavy Industries (MHI) has recently released draft guidelines for setting up a comprehensive electric vehicle (EV) charging infrastructure under the Prime Minister Electric Drive Revolution in Innovative Vehicle Enhancement (PM E-DRIVE) Scheme. The ambitious plan aims to establish over 22,000 chargers for electric four-wheelers (e-4Ws) and 1,800 chargers for e-buses, along with additional provisions for light electric vehicles, such as electric two-wheelers (e-2Ws) and three-wheelers (e-3Ws).
This initiative comes as part of India’s broader push towards a greener future, with the government allocating ₹2,000 crore for the development of public fast-charging stations. The guidelines are now open for public feedback from stakeholders, including charge point operators, EV charger manufacturers, state governments, and urban local bodies (ULBs). A significant highlight of the scheme is the provision of up to 80% subsidy on upstream infrastructure (the power infrastructure behind the meter) to incentivise the installation of charging stations. In exceptional cases, the Ministry may offer up to 100% funding to cover the entire cost of the project, including the essential power infrastructure. This is a crucial step in ensuring that the necessary infrastructure is in place to support the country’s growing fleet of electric vehicles.
As India’s EV market expands, the role of stakeholders is vital. The government is encouraging active participation from various bodies, including Central Ministries, local governments, and public sector enterprises. Collaboration is essential to identify optimal locations for charging stations. These locations will be selected based on factors such as traffic patterns, proximity to commercial spaces, land accessibility, and the capacity to support additional grid loads. State governments and central ministries are also encouraged to conduct feasibility studies to identify the most suitable locations for setting up these EV charging stations. These studies will help ensure that the infrastructure meets the needs of both urban and rural populations while supporting the growing demand for electric vehicles across the nation. The incentive calculation for each state or central ministry will be based on the price per kilowatt (kW) of the upstream infrastructure cost, as set by the Bureau of Energy Efficiency (BEE). Once the incentives are finalised, the Ministry will release them in three instalments: 30% after the tender is issued, 40% after the deployment of EVSEs (Electric Vehicle Supply Equipment), and the remaining 30% after the charging stations are operational.
However, one of the most notable aspects of the scheme is the collaborative effort across ministries. Various departments, including the Ministry of Petroleum and Natural Gas (MoPNG), Ministry of Road Transport and Highways (MoRTH), and Ministry of Civil Aviation, are involved in ensuring the success of the initiative. A technical committee, led by an Additional/Joint Secretary from the MHI, will be responsible for shortlisting the proposals and making recommendations, which will then be presented to the Project Implementation and Sanctioning Committee (PISC) for approval.
As the nation accelerates towards a future powered by electric vehicles, these guidelines represent a crucial step in the development of the necessary infrastructure. The combined efforts of the government, industry players, and citizens will help shape India’s EV landscape and ensure that the country is ready to meet the rising demand for cleaner, more sustainable transportation. With the draft guidelines now in circulation, the Ministry of Heavy Industries is eager to gather feedback from stakeholders to fine-tune the plan, ensuring that India’s EV revolution is efficient, accessible, and sustainable for years to come.