Gujarat Electric Vehicle Policy in Detail

The state of Gujarat outlined its EV policy last year with the aim of encouraging the adoption of such vehicles, whether they are two, three or four-wheelers. The provisions of this policy are all set to make electric vehicles more attractive to residents of the state. Not just that, the policy also aims to bring tangible benefits for those who will set up charging stations across the state. And it should be noted that the India-wide FAME-II subsidy scheme will still be active in the state.

Gujarat EV Policy 2021: Benefits for EV buyers

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This particular version of the Gujarat EV Policy will be valid until the 1st of July, 2025. Under it, the state will provide subsidies to those buying EVs under all three categories - two-wheelers, three-wheelers, and four-wheelers. An incentive of Rs 10,000 per kWh of battery capacity will be provided to electric scooters and electric motorcycles in the state. This is the highest incentive offered by any state but it happens to be capped at Rs 20,000. As for e-rickshaws, an incentive of Rs 50,000 per kWh will be on offer, while the number goes up to Rs 1.5 lakh for electric cars and SUVs. To further entice buyers, the Gujarat government has also announced that it will waive off the registration fee for buyers of electric vehicles, making them even more affordable.

The Gujarat Government has made it clear that all these incentives will be credited directly to buyers' bank accounts once the purchase documents of the vehicles are authenticated. The state has also revealed that it targets to subsidise the purchases of 2,00,000 EVs of which 1,10,000 will be two-wheelers, 70,000 will be three-wheelers, and 20,000 will be four-wheelers.

Gujarat EV Policy 2021: Benefits for charging infrastructure developers

At the time of the launch of the Gujarat EV Policy of 2021, the state had 278 EV charging stations. The policy aims to take that number up to 528 by adding 250 more. Those who set up these first 250 charging stations in Gujarat will receive a 25 percent capital subsidy on the equipment. This will be capped at Rs 10 lakh per station. Moreover, the state has also said that it will waive off the electricity duty for EV charging stations for the duration of the policy. Lastly, the Gujarat Government has said that it plans to approve the building of EV charging stations at fuel pumps across the state.

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With the launch of this EV policy, Gujarat estimates to bring a Rs 5 crore reduction to the state fuel expenditure. And then, of course, there's also the promise of a reduction in CO2 emissions. A drop of up to six lakh tonnes is expected in the next four years.