Gujarat to give subsidy on electric cars

The Gujarat government on Tuesday announced ‘Gujarat Electric Vehicle Policy 2021’ aimed at  bringing at least 2 lakh electric vehicles on the state roads in the next four years. The policy seeks to give a fillip to EVs as it intends to make Gujarat a hub for EVs and related components, encourage investments in electric mobility, save fuel worth Rs 5 crore within the next four years and reduce at least 6 lakh tonnes of carbon dioxide emission anually.

Announcing the policy, Chief Minister Vijay Rupani said that approximately 1.10 lakh electric two-wheel vehicles, 70,000 three-wheelers and 20,000 four-wheelers will be used in the state in next four years following the implementation of this policy. It will offer a subsidy up to Rs 20,000 on purchase of an electric two-wheeler, Rs 50,000 for three-wheeler and Rs 1,50,000 on purchase of a four-wheeler. The amount will be transferred directly to the bank accounts of owners through direct benefit transfer.

Under the new policy, registration for EVs at regional transport offices (RTO) in Gujarat will also be free. It also includes building EV charging stations to create demand for the eco-friendly vehicles in the state. “In all, we are aiming for 500 charging stations, which can be set up at petrol pumps or roadside hotels too. This will help electric car owners to travel longer distances. We will also provide capital subsidy on the investment made by entrepreneurs to set up such charging stations,” Rupani said.