At a glance
- Subsidy on e-two-wheelers
- ₹2,500 per kWh, up to ₹5,000
- Price limit
- Ex-factory price up to ₹1.5 lakh
- Valid for e-2W bought
- Till 31 March 2028
- Scheme outlay
- ₹11,900 crore
- Private electric cars
- Not covered
- How you get it
- Price cut at the dealer, via e-voucher
Source: Ministry of Heavy Industries
If you are buying an electric scooter or motorcycle, the central government still pays part of the price under the PM E-DRIVE scheme. The Ministry of Heavy Industries has extended the two-wheeler subsidy till 31 March 2028, at ₹2,500 per kWh of battery capacity with a cap of ₹5,000 per vehicle.
This guide explains who qualifies, how the amount is worked out, what you have to do at the dealership, and the cases where you will not get anything.
Key takeaways
- The maximum central subsidy on an e-scooter or e-bike is ₹5,000.
- It is cut from the price at the dealer. You do not apply on your own.
- You must complete an Aadhaar-based e-voucher with face authentication at the time of purchase.
- Private electric cars get no PM E-DRIVE purchase subsidy, but many states waive road tax on EVs.
What PM E-DRIVE is
PM E-DRIVE replaced the earlier FAME scheme in 2024. It supports electric two-wheelers, three-wheelers, buses, trucks and ambulances, and pays for public charging. The scheme period runs from 1 April 2024 to 31 March 2028, and the total outlay is now ₹11,900 crore after the latest increase.
The scheme is limited by funds. If the money set aside for a segment runs out, that segment can close early. The subsidy for L5 electric three-wheelers has already closed after reaching its target.
How much subsidy you get
For electric two-wheelers registered from 1 April 2025, the incentive is ₹2,500 per kWh of battery capacity, capped at ₹5,000 per vehicle. It is also limited to 15% of the ex-factory price, and only vehicles with an ex-factory price up to ₹1.5 lakh qualify.
| Period | Rate per kWh | Cap per e-2W |
|---|---|---|
| FY 2024-25 | ₹5,000 | ₹10,000 |
| 1 April 2025 to 31 March 2028 | ₹2,500 | ₹5,000 |
In practice, any scooter with a battery of 2 kWh or more hits the ₹5,000 cap, as long as it is an approved model under the price limit.
PM E-DRIVE does not pay a purchase subsidy on private electric cars. Check your state’s EV policy instead: many states give a full or partial road-tax waiver and lower registration fees for EVs.
Who qualifies
- The model must be approved under PM E-DRIVE and listed by the manufacturer as eligible.
- It must use an advanced battery, as defined in the scheme, and be registered with the RTO.
- One person can get the subsidy on one vehicle per category, linked to their Aadhaar.
- Vehicles bought by central or state government departments are not covered.
How to claim it at the dealer
You do not fill in a form on a government website. The dealer and manufacturer handle the claim, but your part is required, and the dealer cannot complete it without you.
- Confirm eligibility Ask the dealer to show that your exact variant is on the approved PM E-DRIVE list and that the subsidy is shown as a deduction on the invoice.
- Aadhaar face authentication The dealer completes your Aadhaar e-KYC through face authentication in the PM E-DRIVE app.
- Sign the e-voucher A link to the e-voucher is sent to your Aadhaar-linked mobile number. You sign it and give it to the dealer.
- Dealer uploads it The dealer signs and uploads the voucher with your photo. A copy comes to you by SMS.
Keep the mobile number linked to your Aadhaar with you on delivery day. Without the e-voucher, the manufacturer cannot claim the money, and some dealers then ask buyers to pay the difference.
State EV incentives on top
Several states run their own EV policies alongside PM E-DRIVE, with road-tax waivers, lower registration fees and in some cases their own purchase incentives. These change often and differ by state, so check your state transport department’s current notification before you buy.
Before you pay
- Check that the invoice shows the PM E-DRIVE deduction as a separate line.
- Carry your Aadhaar and the phone with your Aadhaar-linked number on delivery day.
- Ask the dealer when the e-voucher will be generated and wait for the signed copy by SMS.
- Ask about state road-tax waivers for EVs, which are separate from the central subsidy.
Questions buyers ask
How much is the PM E-DRIVE subsidy on an electric scooter in 2026?
₹2,500 per kWh of battery capacity, up to ₹5,000 per vehicle, for approved models with an ex-factory price up to ₹1.5 lakh.
Till when can I get it?
For e-two-wheelers, until 31 March 2028, unless the segment’s funds run out earlier.
Do electric cars get PM E-DRIVE subsidy?
No. Private electric cars are not covered. Check state road-tax waivers instead.
Can I claim it myself after buying?
No. It is applied at purchase through the dealer, using the Aadhaar-based e-voucher.
