The prices of electric vehicles (EVs) in India are expected to increase due to the Central Government’s decision to reduce the subsidy provided under the Fame II (Faster Adoption and Manufacturing of Electric Vehicles) scheme. This article aims to provide an overview of the price changes for various EV models and variants in the Indian market.
Electric Vehicle Models and Prices
| Brand | Model | Variants | Prices |
|---|---|---|---|
| Ather | 450X (Gen 3) | – | Rs 1,20,889 |
| Ola | S1 Pro | – | Rs 1,24,999 |
| Ola | S1 | 2 kWh | Rs 99,999 |
| Ola | S1 | 3 kWh | Rs 1,14,999 |
| Ola | S1 Air | 2 kWh | Rs 84,999 |
| Ola | S1 Air | 3 kWh | Rs 99,999 |
| Ola | S1 Air | 4 kWh | Rs 1,09,999 |
| TVS | iQube | – | Rs 1,56,514 |
| TVS | iQube S | – | Rs 1,59,360 |
| Bajaj | Chetak | – | Rs 1,11,161 |
| Bajaj | Chetak Premium | – | Rs 1,21,933 |
| Revolt | RV 400 | – | Rs 1,32,499 |
| Tork | Kratos R | – | Rs 1,68,374 |
| Ultraviolet | F77 | – | Rs 3,00,000 |
| Okinawa | OKHI-90 | – | Rs 1,86,006 |
| Okinawa | Praise Pro | – | Rs 99,645 |
| Okinawa | Dual 100 | – | Rs 1,19,085 |
| Okinawa | Ridge 100 | – | Rs 1,15,311 |
| Okinawa | Ridge+ (With GPS) | Without GPS | Rs 84,606 |
| Okinawa | Ridge+ (With GPS) | With GPS | Rs 90,606 |
| Hero Electric | Photon | – | Rs 86,391 |
| Hero Electric | Optima CX (Single Battery) | – | Rs 67,190 |
| Hero Electric | Optima CX (Dual Battery) | – | Rs 85,190 |
| Hero Electric | NYX HS500 | – | Rs 86,540 |
| Hero Electric | Hero Vida | V1 | Rs 1,39,900 |
Understanding the FAME II Subsidy
The FAME II subsidy, which was introduced in India on April 1, 2019, offers financial incentives for purchasing electric vehicles that meet specific criteria. To qualify for the subsidy, EVs must have a minimum range of 80km and a top speed of at least 40kmph. The subsidy aims to encourage the adoption of electric vehicles by reducing their upfront cost.
Impact of Subsidy Reduction
The FAME II subsidy has been beneficial for EV buyers, providing potential savings of up to Rs 55,000 on the purchase of a new Ather 450X. However, with the recent reduction in the subsidy amount from Rs 15,000 per kWh to Rs 10,000 per kWh, the effective price (excluding state-wise incentives, if applicable) of the Ather 450X will increase by Rs 32,500.
Market Implications
The FAME II subsidy played a significant role in driving the demand for electric two-wheelers, particularly considering the rising price of petrol. However, the increase in EV prices due to the reduced subsidy might discourage some potential buyers. Notably, electric bikes such as the Tork Kratos and Ultraviolet F77 were not eligible for Fame II subsidy benefits and will not be affected by the price changes.
Conclusion
If you are planning to purchase an Ola, Ather, Vida, or TVS scooter, it is advisable to make your purchase before June 1, 2023, to take advantage of the current prices before the subsidy reduction comes into effect. Keep in mind that state-wise incentives may still apply and can further impact the final price of the electric vehicle. Stay informed about the latest offers and subsidies available in the market to make an informed decision regarding your EV purchase.
