Earlier, the UT had proposed that a state-level financial incentive would be given on purchase of all types of electric vehicles above Rs 15 lakh. This status no longer exists.
This is a good step to motivate the buyers towards electric vehicles. This is also in line with the central government’s policy to switch to electric motorized vehicles. Despite boosting sales of electric vehicles, a lot still needs to be done. Provision of affordable accessible chargers in public places as well as incentives to install them at home is of paramount importance.
UT Advisor Dharam Pal had recently constituted a three-member committee to submit its report on financial incentives to be given to buyers for promoting e-vehicles. According to a senior official of the Union Territory, they will be in addition to those introduced by the Centre. The committee consists of Deputy Commissioner, Municipal Commissioner and Crest CEO.
A senior official said there was discussion that the price of electric vehicles starts from around Rs 15 lakh and not subsidizing this segment would defeat the basic objective of the policy. Accordingly, it was decided to remove the upper limit. However, deliberations are on to finalize the policy, he said.
Crest, in its draft policy, proposes to waive off registration fee for e-vehicles already exempted from road tax by 2023. The proposal suggests an incentive of Rs 5,000 for buyers of the first 1,000 electric cars, and Rs 5,000 for buyers of the first 2,000 electric cars. 30,000 for registered owners of electric three wheelers including wheelers, e-rickshaws. The incentive of Rs 5,000 on purchase of four wheelers will be subject to a maximum of Rs 75,000 per vehicle, which means the incentive amount offered by the UT under FAME should not exceed the amount.
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