Ather Energy is finalising low-interest loans of 2-3% under the government’s ₹1 trillion research, development, and innovation (RDI) scheme to support its upcoming electric motorcycle and electric light vehicle platforms, according to livemint.com. The company aims to counter the incentive advantage enjoyed by rivals after being excluded from the production-linked incentive (PLI) scheme.
The electric vehicle maker, which ended fiscal year 2026 as India’s third-largest electric two-wheeler player with a 69% increase in sales volumes, is leveraging the RDI fund to bankroll its next-generation products. The company’s move comes amid efforts to expand its product portfolio and maintain competitive positioning in the rapidly growing EV market, as reported by livemint.com.
This development is significant as Ather Energy was locked out of the PLI scheme, which provides financial incentives to manufacturers to boost domestic production. The RDI scheme offers an alternative funding source with low-interest loans, helping Ather bridge the gap and sustain its growth trajectory. The ₹1 trillion fund aims to promote innovation and development in the Indian EV sector, where competition is intensifying among startups and established players.
Ather Energy’s strategic use of the government’s RDI scheme highlights the importance of public support in accelerating EV adoption. The company’s FY26 sales growth and its position as the third-largest electric two-wheeler maker underscore its rising market presence, according to livemint.com.