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On July 11, 2025, Union Minister H.D. Kumaraswamy unveiled India’s first targeted incentive scheme for electric trucks (e-trucks) under the PM E-DRIVE initiative ([turn0search3]).

Key highlights of the scheme:

• Aims to deploy 5,600 electric trucks nationwide with an upfront subsidy of up to ₹9.6 lakh per truck, reimbursed to manufacturers on a first-come, first-served basis via the PM E-DRIVE portal ([turn0search0], [turn0search2], [turn0search3]).

• Targets N2 and N3 category trucks (3.5–55 tonnes GVW). In N3 articulated vehicles, incentives apply only to the puller tractor ([turn0search3], [turn0search8]).

• Includes strict manufacturer-backed warranties: batteries (5 years or 5 lakh km) and vehicle/motor (5 years or 2.5 lakh km) ([turn0search3], [turn0search8]).

• Features a Delhi-specific allocation: 1,100 e-trucks supported through a dedicated ₹100 crore outlay to improve air quality in the capital ([turn0search3], [turn0search5]).

• Beneficiaries include key sectors like cement, ports, steel, and logistics. CPSEs are also onboard—SAIL will procure 150 e-trucks and ensure 15% of its fleet is electric ([turn0search3], [turn0search6]).

• Diesel trucks constitute only 3% of vehicle population but contribute 42% of transport emissions, underscoring the scheme’s environmental significance ([turn0search3], [turn0search1]).

• PM E-DRIVE carries a total outlay of ₹10,900 crore, of which approximately ₹500 crore is earmarked for the e-truck component ([turn0search0], [turn0search6]).

• The scheme has since been extended to March 2028, maintaining the same budget envelope ([turn0news20]).

Multiple-Choice Questions (MCQs)

Question 1:
Under which initiative has the Indian government launched its first-ever electric truck incentive scheme?
A) FAME–III
B) PM E-DRIVE
C) National Electric Mobility Mission
D) Clean Freight Scheme
Answer: B) PM E-DRIVE
Explanation: The e-truck incentive scheme was introduced under the PM E-DRIVE initiative, marking India's first direct subsidy for electric trucks. ([turn0search0], [turn0search3])

Question 2:
What is the maximum subsidy (in ₹ lakh) available per electric truck under the scheme?
A) ₹5.0 lakh
B) ₹7.8 lakh
C) ₹9.6 lakh
D) ₹10.5 lakh
Answer: C) ₹9.6 lakh
Explanation: The scheme offers up to ₹9.6 lakh per truck as an upfront purchase discount, reimbursed to OEMs via the PM E-DRIVE portal. ([turn0search0], [turn0search3])

Question 3:
Which categories of electric trucks are eligible for incentives under this scheme?
A) Only two-wheelers
B) N1 and N2
C) N2 and N3
D) Only N3 city buses
Answer: C) N2 and N3
Explanation: The scheme covers N2 (3.5–12 tonnes) and N3 (12–55 tonnes) category electric trucks, with special provisions for N3 puller tractors. ([turn0search3], [turn0search8])

Question 4:
Which of the following is a mandatory requirement to avail the incentive?
A) Use of imported battery packs
B) Scrapping old polluting trucks
C) Prior ownership of diesel trucks
D) Installation of solar panels on trucks
Answer: B) Scrapping old polluting trucks
Explanation: Beneficiaries must scrap old polluting trucks, ensuring both fleet renewal and emission reduction. ([turn0search3], [turn0search5])

Question 5:
What special allocation has been made under the scheme to address air quality in Delhi?
A) ₹50 crore for 500 e-trucks
B) ₹100 crore for 1,100 e-trucks
C) No special allocation
D) ₹200 crore for 2,200 e-buses
Answer: B) ₹100 crore for 1,100 e-trucks
Explanation: A dedicated provision of ₹100 crore supports 1,100 e-trucks registered in Delhi to help improve the city's air quality. ([turn0search3], [turn0search5])