New Delhi: The Society of Manufacturers of Electric Vehicles today said it expects electric two-wheeler market to witness 100 per cent growth following a Rs 95-crore incentive package for the remaining part of the 11th Plan.
As per a scheme approved by the Ministry of New and Renewable Energy (MNRE), the government will provide financial incentive for each electric vehicle sold in India during the remaining part of the 11th Plan– 2010-11 and 2011-12.
The scheme, effective from November 11, envisages incentives of up to 20 per cent on ex-factory prices of the vehicles, subject to a maximum limit.
The cap on the incentive will be Rs 4,000 for low speed electric two-wheelers, Rs 5,000 for high speed electric two- wheelers, Rs 60,000 for seven seater three-wheeler and Rs one lakh for an electric car.
“This could have an immediate impact on sales of electric two-wheelers.