# Govt extends e-two-wheeler subsidy to March 2028, caps at Rs 5,000

2026-08-12T06:48:07+00:00 | Governance | Indian Opinion Desk

Corroboration: 4 independent outlets

The Ministry of Heavy Industries extended the PM E-DRIVE scheme for electric two-wheelers until March 31, 2028, with an incentive cap of Rs 5,000 per vehicle. The total scheme outlay rose to Rs 11,900 crore from Rs 10,900 crore, and Rs 2,767 crore has been earmarked for e-two-wheelers. The government aims to support up to 45.8 lakh vehicles priced at Rs 1.5 lakh or less. The incentive is Rs 2,500 per kWh, down from Rs 5,000 per kWh in the first year of the previous phase. The earlier deadline of July 2026 has been extended after the ministry sought additional funds.

## Coverage

- auto.economictimes.indiatimes.com <https://auto.economictimes.indiatimes.com/news/two-wheelers/pm-e-drive-extended-to-march-2028-e2w-incentive-cut-to-5000/133145761>
- timesofindia.indiatimes.com <https://timesofindia.indiatimes.com/business/india-business/govt-to-offer-sops-up-to-rs-5000-for-e-2-wheelers-till-mar-2028/articleshow/133167951.cms>
- livemint.com <https://www.livemint.com/industry/pm-e-drive-subsidy-electric-two-wheelers-budget-outlay-transport-industry-india-11786420332637.html>
- rediff.com <https://www.rediff.com/business/report/pm-e-drive-scheme-government-extends-electric-two-wheeler-subsidy-with-rs-1000-crore-boost/20260812.htm>

Tags: electric mobility, electric two-wheelers, EV incentives, heavy industries, PM E-DRIVE, subsidy
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