Yamaha is developing electric scooters in the international markets. The brand already has the EC-05 in the Taiwan market, where the brand has collaborated with Gogoro. Media reports suggest that the Japanese brand is also planning to develop electric scooters for India and other developing markets. But first, the brand wants to look at a clear roadmap for EV policies in India before introducing its EVs.
Measure Twice, Cut Once
Electric and charging infrastructure is a critical component for electric vehicles. Yamaha would like to observe how India’s EV policies turn out before leaping into the market. The brand wants to first watch how these policies evolve and how they would impact the EV business in the future before they commit to introducing an e-scooter to India.
FAME II Scheme
Recently, the Government of India introduced the updated FAME II scheme. FAME is short for Faster Adoption and Manufacturing of Electric Vehicles in India. Under the policy, the Government of India provides a subsidy to manufacturers involved in producing electric vehicles in the Indian market. The EV must be made in India, with more than 50% localisation.
FAME Subsidy Policy
Such manufacturers get INR 10,000 subsidy per kWh. Recently the subsidy has been increased by 50%, which is INR 15,000 per kWh. This has led to a decrease in the prices of electric vehicles in India as manufacturers can pass on the benefits to their customers. But the scheme came with an outlay of INR 10,000 Crore with a tenure of 3 years, commencing from 1st April 2019. This means next year, the subsidies might end, or India’s Government will bring in new policies to promote electric vehicles and infrastructure.
Yamaha Hybrid Scooters in India
The brand recently unveiled the Yamaha Fascino 125 Hybrid in the Indian market. The scooter comes with a secondary battery and a Starter Motor Generator unit capable of recharging the secondary battery and providing power assist to the internal combustion engine. The brand also plans to add this new hybrid-electric technology to the RayZR and RayZR Street Rally.