In a significant step to accelerate the growth of electric vehicle (EV) infrastructure in India, the Ministry of Heavy Industries (MHI) has allocated ₹2,000 crore under the PM E-DRIVE Scheme. This fund is directed toward the nationwide development of public EV charging stations, including in Tier-2 cities such as those in Tamil Nadu.
As of April 1, 2025, a total of 4,625 EV charging stations are operational in Tier-2 cities. The government clarified that the installation of EV charging infrastructure is a demand-driven activity, making it challenging to set specific targets. The deployment depends on multiple factors, including regional EV adoption rates and local demand.
Importantly, the setting up of EV charging stations is classified as an unlicensed activity, allowing private entrepreneurs and businesses to establish their own facilities. These installations must, however, adhere to the Ministry of Power (MoP) guidelines issued on September 17, 2024, which apply uniformly across metropolitan, semi-urban, and non-metro areas to ensure balanced and inclusive EV infrastructure development.
In addition to the PM E-DRIVE allocation, the Ministry of Heavy Industries has previously allocated ₹873.50 crore under the FAME-II Scheme. This funding supports the installation of 8,932 public charging stations by India’s three major oil marketing companies (OMCs)—Indian Oil Corporation (IOCL), Bharat Petroleum (BPCL), and Hindustan Petroleum (HPCL)—under the guidance of the Ministry of Petroleum and Natural Gas (MoPNG).
These policy steps are part of India’s larger strategy to create a robust and widespread EV charging network, especially in emerging urban markets, as the nation transitions toward cleaner mobility solutions.
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