Uttar Pradesh now has a new EV policy, blockbuster incentives for buyers

  • Uttar Pradesh aims to attract an investment of over 30,000 crore and become a global hub for EV manufacturing.
File photo of an electric vehicle being charged used for representational purpose only (REUTERS)
File photo of an electric vehicle being charged used for representational purpose only

The Uttar Pradesh government has rolled out its 2022 Electric Vehicle Policy in a bid to further quicken the pace of adoption for battery-powered vehicles in the state. The government has focused on multiple factors which range from attracting investments for manufacturing and for charging to providing incentives to end customers who choose a battery-powered mobility option.

The biggest announcement within the Uttar Pradesh EV policy is the decision to have a 100 per cent exemption on road tax and registration fee on purchase of all segment of EVs during the first three years of effective period of the new policy. If the said EV has been manufactured in the state, this exemption is even extended to the fourth and fifth year.

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There is also a 15 per cent subsidy on factory cost on the purchase of electric two-wheelers up to a maximum amount of 5,000 per vehicle and subject to a maximum of first two lakh such EVs purchased. There is also a subsidy of up to 1 lakh on purchase of an electric car, subject to the first 25,000 such vehicles sold. For electric three wheelers, there is a subsidy of up to 12,000 for the first 50,000 such units while a subsidy of up to 20 lakh is valid on electric buses for the first 400 units sold.

There is a special impetus being given to promote charging infrastructure with a capital subsidy to first 2,000 charging station service providers, developing charging and battery swapping facilities across the State, up to maximum 10 lakh per charging station. A maximum of 5 lakh capital subsidy per swapping station subject to maximum first 1,000 such swapping stations is also part of the policy.

The overall objective of the policy is to promote eco-friendly transportation system in the state while establishing Uttar Pradesh has a global hub for EV manufacturing. The policy aims to attract investment of over 30,000 crore and generate direct and indirect employment for over a million people.

First Published Date: 13 Oct 2022, 15:19 PM IST
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