PM E-Drive Scheme drives TVS Motor, M&M, Ola Electric, JBM Auto, Ashok Leyland higher; Bajaj Auto hits all-time high

Electric vehicle stocks and truck stocks traded on a posiitve note as the Centre approved the much-anticipated scheme for promoting electric vehicles in the country.  On the development, there will be seen traction in stocks including Ola Electric, TVS Motor, M&M, Bajaj Auto, Olectra Greentech, JBM Auto and Ashok Leyland.

At the last count, Ola Electric, TVS Motor, Bajaj Auto, JBM Auto traded with gains of up to 3 per cent, with JBM Auto up nearly 3 per cent at the last count.

Bajaj Auto in early trade also marked their fresh all-time high of Rs 11,784.05 per share on the BSE.

Importantly, as part of the PM Electric Drive Revolution in Innovative Vehicle Enhancement (PM E-DRIVE), the centre has made an outlay of Rs 10,900 crore for over two years.

Also, the Cabinet has given a go-ahead to the  PM-eBus Sewa-Payment Security Mechanism (PSM) with a total capital outlay of Rs 3,435 crore.  

What is the PM E-Drive scheme?

The government has announced an outlay of Rs 10,900 crore under the scheme for providing incentives to E-2W/ E-3W/ Ambulance (hybrid)/ Trucks/ E-Bus. Nonetheless, E-PV (passenger vehicle) has been kept out of its purview.

The scheme has been launched for two years time.

The scheme after the success of the earlier scheme aims at meeting carbon emission reduction goals as well as achieve EV penetration targets, Information and Broadcasting Minister Ashwini Vaishnaw announced.

How many units will draw benefit from the scheme?

As per Zee Business research inputs

E-2Ws                            24.8 Lakh
E-3Ws                             3.2 Lakh

E-Bus                              14,028

 Particulars                               Fund Allocated (Cr)

E-Buses                                                  4,391
e-2Ws, e-3Ws                                       2,679
Upgradation of testing agencies        780
E- Trucks                                                  500
E- Ambulance                                         500
 
What is the PM E- Bus Scheme?

As part of the scheme, the Centre has earmarked an outlay of Rs 3,435 crore covering 169 cities and 38,000 e-buses.