The Indian Government announced the final list of 20 companies that could receive incentives under India’s $3.5 billion scheme to boost clean fuel vehicles.
Last year, the federal cabinet approved a plan to benefit the automobile sector over five years. The benefits would help boost the production of electric and hydrogen fuel-powered vehicles and their components.
The scheme is part of a broader government plan to cut the fuel import bill and reduce pollution. India hopes that encouraging local production of clean vehicles will help electrify the heavily-populated country.
A total of 115 automakers applied for the incentive scheme.
The incentives will range from 8 per cent to 18 per cent of the sales value of the vehicles or components. Incentives are only available if the company meets specific criteria.
These criteria include things such as a minimum investment over five years and a 10 per cent growth in sales each year.
Interestingly, Ford stopped selling vehicles in India last year. However, Ford maintained two factories in the country.
It is not clear if Tesla applied for the inventive scheme; however, they were not along the twenty selected.