State EV policies plan in India amidst Covid19
The global coronavirus pandemic lockdown had brought down the pollution levels nationwide. But lockdown is not a sustainable solution to curb the pollution levels in the country. Using cleaner transportation such as electric mobility will help to curb the pollution levels. Let us look at the State EV policies plan in India.
Over 10 State have been committing to electric vehicles policies to reduce air pollution from the transport sector. The transportation sector is one of the pollutants among many other pollutants which contribute to emissions. Around two-thirds of deaths happens due to air pollution caused by diesel and petrol vehicle exhaust emissions in India. Emerging research has also proved the exposure to higher air pollution can increase the COVID19 death rate.
It is becoming something really serious thing, we all are witnessing the results. The national government’s program for cleaner transportation policies are emerging but still, there is a shortage of adoption of electric vehicles targets. The States must take the opportunity and implement and strengthen the plans and schemes to grow the local EV markets.
To support the national electric mobility policies, the ten states in India have final or draft EV policies. Andhra Pradesh, Karnataka, Kerala, Madhya Pradesh, Maharashtra, New Delhi, Tamil Nadu, Telangana, Uttarakhand and the Uttar Pradesh States have approved EV policies and the States like Bihar, Gujarat, Himachal Pradesh and Punjab have draft policies.
Almost all States in EV policies focused and emphasised in two-wheelers and three-wheelers, public transportation, and job creation. However, the policies in various states vary in terms of targets, supply-side incentives, manufacturing and demand incentives, consumers and (consumer and charging infrastructure investments.
The Indian government is taking many initiatives to promote and to adopt the use of electric vehicles in India. To cut down the import of oils and most importantly to reduce the pollution levels in the country. In that regard, the Union Cabinet approved Rs 10,000 crore under the second phase of FAME India (Faster Adoption and Manufacturing of Electric Vehicles in India) for the promotion of electric and hybrid vehicles to incentivize the manufacture of electric vehicles.
State EV policies plan
Andhra Pradesh EV Policy
- Andhra Pradesh has set a target to one of the best Indian States in the electric vehicles field by 2029 and a global destination by 2050.
- It aims to have 1,000,000 EVs on road by 2024.
- Policy focuses on production, services and customer sides of the EV value chain and infrastructure value chain.
- Making Andhra Pradesh a global hub for electric mobility development and manufacturing.
- To promote innovation using the grants and venture funds to research organizations, incubators, and startups working on next-generation battery technology, fuel cell technologies, EV power trains, and EV electronics.
- Making an investment in charging and battery swapping infrastructure and fuelling station and hydrogen generation station development.
- Skilled workforce to meet the needs of the EV ecosystem.
- Promotion of adoption of EVs to make eco-friendly cities.
- Using a vehicle to everything (V2X) platforms building next-generation transportation.
Bihar EV Policy
- Bihar is one of the fast-growing markets for e-rickshaws.
- It aims to promote the e-rickshaws as its market is strong.
- It aims to amend the policy and prioritize the EV sector.\The policy aims to reimburse the stamp duty, registration duty and SGST, other tax benefits.
- A special incentive of INR 10,000 on Li-ion battery e-rickshaws provided by the state.
- Transform all the pedal rickshaws to electric by 2022.
- Making manufacturing environment in the state.
- Sustainable transport sector goals to be fulfilled.
- Making Bihar EV sector investment destination.
- Creating charging infrastructure at every 50 km on state/national highways.
- Creating direct 10,000 employment opportunities in the state.
Delhi EV Policy
- Financial Incentives-Purchase incentives, scrapping incentives, interest subvention on loans
- Waiver of road tax and registration fees.
- Establishment of a wide network of charging stations and swappable battery stations and development of a publicly owned database of the same.
- Administration of the policy including constitution of State EV Board, the establishment of a dedicated EV cell and developing an intensive public outreach programme focused on creating the awareness about the benefits of EVs and key elements of the policy.
- Setting up of skill centres with provision for training related to jobs in the EV ecosystem and creation of jobs.
- Setting up recycling ecosystem for batteries
- Creation of an umbrella, non-lapsable ‘State EV Fund’ fund, to be funded through the air ambience fund, levy of additional taxes, cess, fee etc, on inefficient or polluting vehicles.
Karnataka EV Policy
- Karnataka aspires to be an EV capital of India
- It focusing on R&D, production, services, and customer aspects.
- Provides a special package of incentives and concessions for ultra mega and super mega EV enterprises.
- Interest free-loans on net SGST for EV manufacturing enterprises.
- 100% reimbursement for converting land from agricultural to industrial use to set up EV/components manufacturing units.
- Encourage plant training by providing a stipend of up to 50% per month per trainee.
- Maintain Karnataka’s position as a preferred destination for investment in EV manufacture.
Kerala EV Policy
- Kerala aspires to promote eco-friendly tourism.
- It focuses on both EV value chain and infrastructure value chain
- Localized manufacturing will focus on complete vehicles, electric drivetrain, power electronics, energy systems, and storage.
- It promotes shared mobility and clean transportation.
- Reducing pollution by making the transport system more energy efficient
- Building class training skills and skill centres for EV professionals
- Its target of 2020 to pilot a fleet of 200,000 2Ws, 50,000 3Ws, 1,000 goods carriers, 3,000 buses, and 100 ferry boats.
- Till 2022 1 million EVs on road.
Maharashtra EV Policy
- Developing the state as the leader in the EV manufacturing and use of EVs.
- New job opportunities.
- Promote the export of EV, components, battery and charging equipment.
- Encourage R&D, innovation and skill development in the EV field.
- A sustainable transport system.
- Introduction of EV based curriculum in technology and skill development boards, setting up a centre of excellence, etc.
- Incentives for micro, small and medium enterprises (MSMEs) and large manufacturing units.
- 25% subsidy for commercial public charging stations
- EVs road tax and registration exemption
Tamil Nadu EV Policy
- Tamil Nadu is meant home for the major automobile manufacturing companies.
- It developed the “EV special manufacturing package includes incentives to make supply-side environment strong.
- Encouraging startups by establishing a venture capital and business incubation service.
- 100% reimbursement of state GST paid on the sale of EVs manufactured in the state, 15% capital subsidy on intermediate products used for manufacturing, 100% electricity tax exemption for manufacturing industries and stamp duty exemption.
- 50% of land subsidy if in southern districts 15% for other regions.
- 10% parking space for EVs in all commercial buildings.
- Recycling the reuse used batteries and dispose of the rejected batteries in an eco-friendly way.
- EVs target 2030 to convert 5% of the buses year-on-year, and substantial conversion of shared mobility fleets, institutional vehicles, and e-commerce delivery and logistics vehicles.
Telangana EV Policy
- Aims to have EV sales targets for 2025 to achieve 80% 2- and 3-wheelers (motorcycles, scooters, auto-rickshaws), 70% commercial cars (ride-hailing companies, such as Ola and Uber), 40% buses, 30% private cars, 15% electrification of all vehicles.
- Create jobs for 20,000 workers by 2025 through EVs in shared mobility, charging infrastructure development and EV manufacturing activities.
- Attracting investments worth $3.0 billion and support for charging infrastructure deployment.
Uttarakhand EV Policy
- Uttarakhand compliments the state’s mega industrial and investment policy, 2015.
- It focuses on overall intention to promote research and innovation, skills development in the EV domain.
- Fiscal subsidies including interest subsidy, electricity subsidy, electricity duty exemption, stamp duty exemption, Employee Provident Fund reimbursement, state GST subvention, and incentivizing the manufacture of lithium batteries with high mileage.
- The road -tax exemption, registration-fee exemption, SGST subvention to all buyers of EVs and zero-interest loans to state-government employees to purchase EVs in the state.
- Preferred destination for EV and EV component manufacturing.
- Creating job opportunities on demand and supply sides.
- The target of 2030 to make 100% electrifying public transport, shared mobility including e-bikes taxis and goods and transport using electric 2W, 3W and 4W, and other mini goods transport vehicles in 5 main cities.
Uttar Pradesh EV Policy
- It provides various incentives such as capital interest subsidy, infrastructure interest subsidy, industrial quality subsidy, exemption from stamp duty and electricity duty, SGST reimbursement, etc.
- The land subsidy, reimbursement up to 25% of the cost of land for EV and battery manufacturing.
UP aims to be an R&D hub for EVs by focusing on the next generation of battery management systems, drivetrain components, battery chemistry, fuel cell, and intelligent transportation systems.
- State also planning incubation centres and has a start-up fund in place.
The government will tie up with colleges and universities for more research.
- UP is planning to set up EV testing centres with 24/7 power back-up and can be used by manufacturers and service providers.
- 50% on annual interest on loans taken in the form of reimbursement to set up waste treatment plants.
Himachal Pradesh EV policy
- Aims for a 100% transition to EVs by 2030.
- Encourages the use of hybrid EVs by government entities during the transition.
- Promote the creation of dedicated charging infrastructure, develop a model for private players, and include a provision for charging spots in commercial buildings.
Punjab EV policy
- Aim to have 25% of annual vehicle registrations as EVs in the last year of the five-year policy period.
- Aims to increase the share of electric 2-wheelers to reach 25% of new sales over the policy period.
- Replace 25% of the bus fleet of the transport department with e-buses (presently about 90% of bus fleet runs on diesel).
- Aims to increase the share of e-taxis to reach 25% of new sales over the policy duration period (presently almost 80% of registered taxis are diesel-based).
- Private EVs will be given 100% waiver on motor vehicle tax for a period of five years, while commercial vehicles will be exempted from registration as well as permit fee for the same period.
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