Gujarat Electric Vehicle Policy 2021: Rs 1.50 lakh subsidy on electric vehicles - Explained
Gujarat Chief Minister Vijay Rupani announced the ‘Gujarat Electric Vehicle Policy 2021’. The policy aims to make Gujarat a hub for electric vehicles. Read all you need to know.
Gujarat Chief Minister Vijay Rupani on June 22, 2021, announced the ‘Gujarat Electric Vehicle Policy 2021’.
The Gujarat Electric Vehicle Policy 2021 aims to make Gujarat a hub for electric vehicles by promoting the use of electric vehicles in the state, reducing pollution generated by non-electric vehicles, and boosting investments in electric mobility.
The State government estimates that the EV policy 2021 will aid in reducing CO2 emissions by 6 lakh tonnes and saving fuel expenditure of up to Rs 5 crore over the next four years.
What is the Gujarat EV Policy 2021?
•The Gujarat Electric Vehicle Policy 2021 is the state’s four-year plan with a budget of Rs 870 crore to accelerate the adoption of electric vehicles in the state.
•The State government will offer subsidies to new buyers of electric vehicles and those investing in the infrastructure for electric vehicles.
Gujarat EV Policy 2021: What are the benefits?
•The Gujarat EV Policy 2021 aims to benefit approximately 1.10 lakh electric two-wheelers, 70,000 electric three-wheelers, and 20,000 electric four-wheelers in Gujarat over the next four years. Approximately a total of 2 lakh buyers will benefit from the policy.
•Under the Gujarat EV Policy 2021, the State government will provide subsidies up to Rs 20,000 on electric two-wheelers, Rs 50,000 on electric three-wheelers, and Rs 1.50 lakh on electric four-wheelers.
•An incentive of Rs 10,000 per kWh of battery capacity will be offered which will be the highest in the country. Delhi currently offers a subsidy of Rs 5,000 per kWh of battery capacity for two-wheelers and Rs 10,000 per kWh for four-wheelers.
•Gujarat state government will provide subsidies to EV buyers along with benefits stipulated by the Central government under the second phase of the FAME India scheme, stated the Department of Information, Government of Gujarat.
•Buyers will not be charged a registration fee for their electric vehicles at any RTO in Gujarat.
How will the buyers get the subsidies?
•Buyers will receive the subsidy in their bank account through Direct Benefit Transfer (DBT).
Gujarat EV Policy 2021: Eligibility of EVs for subsidies
•For Electric Vehicles (EVs) to qualify for the subsidy, the ex-factory price of electric cars cannot exceed Rs 15 lakh, e-rickshaws cannot exceed Rs 5 lakh, and e-two-wheelers cannot exceed Rs 1.5 lakh.
•Both private and commercial buyers of electric vehicles will be eligible for the subsidies.
Gujarat EV Policy 2021: Benefits for charging infrastructure developers
•Currently, there are 278 EV charging stations in Gujarat. The EV Policy 2021 will add 250 more stations taking the total to 528 charging stations.
•The State government will approve fuel pumps to set up EV charging stations on their premises. The first 250 commercial public EV charging stations will be given a 25 percent capital subsidy on equipment or machinery (limited to Rs 10 lakh per station).
•All housing and commercials establishments that propose to install EV charging stations will have to furnish a ‘No Objection Certificate (NOC) and allot designated parking spaces.
•The State government will also waive off electricity duty for EV charging stations for the duration of the policy.