New Scheme to Incentivise Electric Trucks under PM E-DRIVE

• 12 Jul 2025

On 11th July 2025, Heavy Industries Minister launched a new scheme under the PM E-DRIVE initiative to incentivise electric trucks (e-trucks), marking the first-ever government support for clean and sustainable freight mobility in India.

Key Points

• Support for E-Trucks: The scheme aims to facilitate the deployment of approximately 5,600 electric trucks to promote indigenous manufacturing and reduce logistics costs and carbon emissions.
• Battery Warranty: Manufacturers will offer a five-year or 500,000-kilometre comprehensive warranty on batteries, ensuring long-term performance and reliability.
• Delhi-Specific Allocation: A dedicated provision of Rs. 100 crore has been reserved for around 1,100 e-trucks registered in Delhi.
• Incentives by Category: The scheme supports N2 (3.5–12 tonnes) and N3 (12–55 tonnes) category trucks, with demand incentives going up to Rs. 9.6 lakh depending on gross vehicle weight.
• Target Sectors: Potential beneficiaries include e-truck users in sectors such as cement, ports, steel and logistics.
• Mandatory Scrappage: Incentives can only be availed by scrapping old polluting trucks, encouraging faster fleet modernisation.
• Net-Zero Vision: The initiative aligns with India's long-term commitment to reducing vehicular emissions and achieving net-zero carbon emissions by 2070.