The Ministry of Heavy Industries has approved ₹246 crore in incentives for Tata Motors and Mahindra & Mahindra (M&M) under the production-linked incentive (PLI) scheme for the financial year 2023-24. The incentives recognize sales of electric vehicles and components under the government’s initiative to promote advanced automotive technologies.
Tata Motors received ₹142 crore in incentives based on sales of its electric models, including the Tiago EV, Starbus EV, and Ace EV, which generated ₹1,380 crore in revenue during FY24. M&M was granted ₹104 crore for its electric three-wheeler models, such as the Treo, Treo Zor, and Zor Grand, with sales amounting to ₹800 crore in the same period.
The PLI scheme has a total budget of ₹25,938 crore and provides financial incentives ranging from 8% to 18% of sales, aiming to boost the production and adoption of electric vehicles and their components.