Heavy Industries Ministry Announces Phased Manufacturing Program For EV Chargers

The Ministry Of Heavy Industries has released a notification, dated November 7, 2023, announcing a phased manufacturing program (PHP) for electric vehicle (EV) charger parts. The document shows a range of charger parts, and their implementation dates for domestic production, for charger manufacturers to be eligible under the FAME-II scheme. This is an initiative by the government to promote the domestic manufacturing of chargers and their parts, in correlation with the FAME-II scheme.

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The first page of the document read “In supersession of this Department's earlier communication No. 1/2/2020-NAB 11(Auto) (21949) dated 2nd November 2021 on the subject cited above, the undersigned is directed to forward herewith the revised phased manufacturing program (PMP) to promote domestic manufacturing of EV Chargers, its assemblies/sub-assemblies and parts/sub parts for information”.

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While the implementation dates for many parts such as charger enclosures and charging guns have elapsed, those for other parts still remain, a few of which are valid till June 1, 2024, and the others till December 1, 2024, respectively. The document also says that all manufacturers should have a minimum DVA (domestic value addition) of 50 per cent by December 1, 2024, in order to qualify for benefits under the FAME-II scheme. The domestic value addition is based on the difference between the imported components and domestically manufactured products.

The document also stated that charger manufacturers will have to submit audited financial statements and supporting documents as proof for the following, which are to be certified by a chartered accountant and verified by the MHI.