Hero Electric, Okinawa EV subsidies on hold for alleged wrongful claims of incentives

The government has started penalising companies that are flouting the electric vehicle (EV) incentive scheme norms. CNBC-TV18 has learnt that the government has put the subsidies of Hero Electric and Okinawa on hold for allegedly claiming incentives for products not made in India.

The government had introduced an application programming interface to ensure compliance with domestic value addition criteria in the FAME and the public-linked incentives (PLI) schemes after it received complaints that EV players were wrongfully claiming subsidies without making the components or products in India.

CNBC-TV18 has learnt that approximately Rs 60-70 crore worth of incentives will be adjusted against future payments to Hero Electric and Okinawa.