Gujarat EV Policy Announced; Subsidies Of Up To Rs. 1.5 Lakh On EVs

Vijay Rupani, Chief Minister, Gujarat, recently announced the Gujarat EV Policy 2021 wherein the government will provide Rs. 870 crore as subsidy support over the next four years. The government will offer a subsidy of up to Rs. 1.5 lakh on purchase of an electric car or Rs. 10,000 per kWh. Electric two-wheelers and electric three-wheelers will have subsidies of Rs. 20,000 and Rs. 50,000 each. The policy also says that all electric vehicles will be exempt from registration fees as well. Gujarat plans to have at least two lakh electric vehicles on the roads in the next four years. Gujarat will give double the subsidy of any other state on per kilowatt.

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(250 new EV charging points will be set up in Gujarat over the next four years)

The government of Gujarat has also green-lit the setting up of 250 new EV chargers across the state, with 278 units already deployed. The total tally of EV charging points will reach 528 in the next four years. The government will also make it easier for petrol pumps to house EV charging stations. The plan also includes setting up EV charging stations at various commercial and housing infrastructures. The state government will provide 25 per cent capital subsidy for setting up charging stations with a maximum limit of Rs. 10 lakh.

(Electric two-Wheelers will be given a subsidy of up to Rs. 20,000)

Sohinder Gill, Director General, Society of Manufacturers of Electric Vehicles (SMEV) and CEO, Hero Electric, 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 mobilise 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. The policy also gives thrust on the charging infrastructure that would address the issue of range anxiety, especially amongst the people who want to buy an electric four wheeler."

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(Petrol pumps in Gujarat will be given approvals for setting up charging points)

Adoption of electric vehicles will be encouraged and the start-ups in the field of electric mobility will be encouraged as well. The Gujarat EV policy 2021 also targets to reduce CO2 emissions by up to 6 lakh tonnes in the next four years along with fuel savings of up to Rs. 5 crore. The government aims to make the state of Gujarat into an EV manufacturing hub along with various ancillary industries as well.