Greaves Electric Mobility Repays INR 124 Crore Subsidy In FAME-II Scheme Dispute

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Greaves Electric Mobility, formerly known as Ampere Electric Vehicles, has announced that it has refunded approximately INR 124 crore in subsidies it received under India’s FAME-II (Faster Adoption and Manufacturing of (Hybrid &) Electric Vehicles) scheme.

The company emphasized its commitment to consumer interests and its willingness to refund the amount to avoid prolonged legal disputes, without admitting to the allegations made by the government.

Greaves Electric Mobility is one of seven electric two-wheeler manufacturers accused of not complying with the scheme’s localisation requirements. The company has also requested the Ministry of Heavy Industries to withdraw the show cause notice issued to them.

Additionally, the government had asked these companies to return subsidies totalling INR 469 crore in April and barred them from making future claims under the scheme. In August, Revolt Intellicorp, an EV maker owned by RattanIndia, paid INR 50.02 crore as a penalty for violating the FAME subsidy program’s guidelines aimed at promoting local manufacturing and EV adoption.

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The program’s guidelines required OEMs to source 50 per cent of their raw materials from Indian manufacturers, a requirement some OEMs failed to meet by importing products, particularly from China.

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