The Champion OEM Incentive scheme is a ‘sales value linked’ scheme, applicable on Battery Electric Vehicles and Hydrogen Fuel Cell Vehicles of all segments
A total of 115 automotive OEM and ancillary companies have applied for the Production Linked Incentive (PLI) Scheme for automobile and auto component industry which was launched by the Centre ast year.
“The scheme has been a huge success in terms of applications received from local as well as globally headquarted groups,” the Ministry of Heavy Industry said.
Incentives are applicable under the scheme for determined sales of Advanced Automotive Technology (AAT) products (vehicles and components) manufactured in India from 1st April 2022 onwards for a period of 5 consecutive years.
“PLI Scheme for Automotive Sector along with PLI scheme for ACC and FAME to enable India to leapfrog to environmentally cleaner, sustainable, advanced and more efficient Electric Vehicles (EV)-based system,” it added.
The Rs 25,938 crore scheme for Automobile and Auto components proposes financial incentives to boost domestic manufacturing of Advanced Automotive Technology products and attract investments in the automotive manufacturing value chain.
Its objectives include overcoming cost disabilities, creating economies of scale and building a robust supply chain in the area of ATT products.
The scheme has two components viz Champion OEM Incentive Scheme and Component Champion Incentive Scheme.
The Champion OEM Incentive scheme is a ‘sales value linked’ scheme, applicable on Battery Electric Vehicles and Hydrogen Fuel Cell Vehicles of all segments.