Gujarat CM announces new EV policy; Industry welcomes INR 870 crore EV subsidy

The policy announced by Chief Minister Vijay Rupani offers a subsidy of INR 10,000/kwh. EV buyers will get a subsidy of up to INR 20,000 for electric two-wheelers, up to INR 50,000 for electric three-wheelers and up to INR 1.5lakh for electric 4-wheelers.



New Delhi: Gujarat has announced a new Electric VehiclePolicy 2021 providing subsidy worth INR 870 crore for electric vehicles and for setting up charging infrastructure to promote EV sales in the State.


The policy announced by Chief Minister Vijay Rupani offers a subsidy of INR 10000/kwh. EV buyers will get a subsidy of up to INR 20,000 for electric two-wheelers, up to INR 50,000 for electric three-wheelers and up to INR 1.5lakh for 4- wheelers. The subsidy will be credited directly to the beneficiary account via DBT, a media release said.


Any EV approved by the Gujarat RTO, whether private or commercial, shall be exempted from registration fee and will get other benefits from the FAME-II scheme of the Union government.


“The new EV Policy will boost the adoption of EVs in the state and will contribute to the creation of jobs in the EV sector. The core aim of the policy is to popularise the adoption of EVs in the country and to turn Gujarat into a hub of EV production, reduce pollution and encourage startups and bring investors in the field of e-mobility,” the chief minister said.


He also claimed that in the next 4 years, Gujarat will have more than 2 lakh electric vehicles on the streets comprising around 1.1 lakh 2-wheelers, 70,000 3-wheelers, and 20,000 4 wheelers.


Rupani added that the policy also includes incentives for setting up EV charging infrastructure. The State administration aims to add 250 more stations along with the existing approval for 278 charging stations. It will also provide 25% capital subsidy up to a limit of INR 10 lakh for the same.


With this policy, the prices of Hero’s EVs will further come down making them the most affordable in the state of Gujarat when compared to pricing across the country
Mr. Naveen Munjal, MD, Hero Electric

The Government will also promote charging of infrastructure with different business models and technologies. It will also encourage the swapping of batteries and charging infrastructure among private companies, distributors and investors.


Sharing his thoughts, Mr. Naveen Munjal, MD, Hero Electric said, “The revised EV policy by the state of Gujarat post the recent amendments of the central FAME policy is an excellent move which will further bridge the gap and make the switch to electric vehicles an attractive option. With this policy, the prices of Hero’s EVs will further come down making them the most affordable in the state of Gujarat when compared to pricing across the country."


He also said that with this policy, the prices of Hero’s EVs will further come down making them the most affordable in the state of Gujarat when compared to pricing across the country.


Commenting on the newly announced EV policy Mr Sohinder Gill, DG, Society of Manufacturers of electric vehicles (SMEV) said "We thank the government of Gujarat for announcing a promising and a bold EV policy. The policy certainly has a potential to make Gujarat an EV hub and would mobilize a rapid adoption of electric vehicles in the state. We are excited to be part of this journey and would put our all efforts towards achieving the state government’s target under the policy."


He added that the policy's thrust on the charging infrastructure would also address the issue of range anxiety, especially amongst the people who want to buy an electric four-wheeler.


Nakul Kukar, Founder and CEO, Cell Propulsion, an electric mobility start-up said “With the announcement of the e-vehicle policy the Gujarat government is enabling the inevitable transition from carbon-emitting vehicles to cleaner forms of transportation. The Gujarat Electric Vehicle Policy 2021 comes at an opportune time when both central and state governments are taking encouraging steps to boost awareness as well as the adoption of EVs."


Source: https://auto.economictimes.indiatimes.com/news/policy/gujarat-cm-announces-new-ev-policy-industry-welcomes-inr-870-crore-ev-subsidy/83745635

3 views0 comments