Gujarat enters EV fastlane, announces subsidy of up to 1.50 lakh for buyers

Gujarat government on Tuesday announced its new electric vehicle (EV) policy which could quicken the process of EV adoption in the state. Under the Gujarat EV policy, the state plans to provide 870 crore subsidy support for two lakh electric vehicles over the next four years.

New Gujarat EV policy aims to provide subsidy to EV buyers and capital incentives to EV charging infrastructure developers. (REUTERS)
New Gujarat EV policy aims to provide subsidy to EV buyers and capital incentives to EV charging infrastructure developers.

Also Read : India's roadmap for electric vehicle: Opportunities and obstacles

Gujarat Chief Minister Vijay Rupani announced that the state government will subsidize the electric vehicles on a per kW basis. Under the new Gujarat EV policy, the state government aims to bolster demand for battery-powered vehicles by providing buyers with incentives. There will be capital incentives for EV charging infrastructure developers as well.

Also Read : Auto industry reacts to Gujarat EV policy

Electric two-wheelers will receive a subsidy of up to 20,000 and there will be a subsidy of up to 1.5 lakh on electric cars. These subsidies will be available over and above the FAME-II subsidies that are provided by the central government. The EV policy also announced a 25% capital subsidy of up to 10 lakh for the installation of 250 charging stations across the state.

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Also Read : Maharashtra has big and bold dreams for electric vehicles. Here's the plan

Rupani hopes that the new EV policy will help at least 1.25 lakh electric two-wheelers, 75,000 e-rickshaws and 25,000 electric cars to roll out on state roads.

Here are some of the notable points in the EV policy announced by the Gujarat government:

*Increase in use of electric vehicles in the state in the next four years.

*Make Gujarat a hub for e-vehicles and various materials related to it.

*Address problem of air pollution.

*Add 250 new charging stations across the state, over and above 278 such stations already in existence currently.

*Charging facilities to come up at housing and commercial infrastructures.

*Petrol pumps to be given approvals for establishing EV charging points.

* Encourage young startups and investors in the field of electric mobility.

*An electric vehicle registered at a Gujarat RTO will be exempted from registration fees.

*At least six ton CO2 emission will be brought down.

*Subsidy to be credited directly to bank accounts through DBT.

Also Read : Delhi Govt to provide scrapping incentives under Delhi EV Policy: Nitin Gadkari

The latest announcement about the new EV policy in Gujarat comes a few days after Prime Minister Narendra Modi announced the plan to develop Kevadiya as an electric vehicle city during a World Environment Day event.

First Published Date: 22 Jun 2021, 15:15 PM IST
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