Hero electric scooter pricing has remained unaltered even after the revision of the FAME-II subsidy. The new subsidy rates are lower than the previous rates.
KEY HIGHLIGHTS
- The government of India has revised the FAME-II subsidy
- New subsidy rate is Rs 10,000 per kWh
- Applicable from 1 June 2023 in India
Hero electric scooter range prices in India have been unchanged even after the revision of the subsidy. Mind you, the FAME-II subsidy rates for the e-scooters have been reduced from 1 June in India. Due to this, most e-scooters have become more expensive. However, Hero has managed to keep the prices of its lineup unchanged. Read more details about it below. Meanwhile, you can join our 91Wheels Whatsapp Group for all of such latest updates from the automotive industry.
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Hero Electric Scooter Pricing After FAME-II Subsidy Revision
In a recent update, the government of India has reduced the subsidy on the e-scooters. The FAME-II subsidy rates are now reduced to Rs 10,000 from Rs 15,000 (old) per kWh. Hence, the result is that every e-scooter is now costlier in India. But, Hero Electric has somehow managed not to alter its pricing. The new subsidy rates came into effect from 1 June 2023 on the cap of 15 per cent of the ex-factory price. As per the official statement from the company, Hero Electric is aiming for affordable EV ownership. Hence, the unaltered rates are bound to attract more buyers now.
Speaking about the subsidy revision, Sohinder Gill, CEO of Hero Electric, said, The sudden and sharp tapering of subsidies does not bode well with the customer and may lead to the drop in the E2W adoption. While the industry may still clock higher sales than the last year but may not be able to keep the tempo of the exponential growth and may even fall short of the target of 2.3 million units as projected by Niti Aayog. Recently, Hero launched a new Optima CX 5.0 & NYX in the Indian market. These new models get Japanese electric motors for a smoother and more efficient ride.
Verdict
Due to the new FAME-II subsidy rates, the increase in the pricing of e-scooters has led the manufacturers to dismay. In fact, the government recently imposed hefty fines on the e-scooter makes for charging extra on the showroom price; for the portable chargers. Hence, this can also be considered as a second hike in the prices of e-scooters. Hero Electric's decision not to hike prices will surely prove beneficial to the company.
Also Read - 2023 Hero HF Deluxe Launched At Rs 60,760 - Gets New Styling & Features
