The Telangana government has announced that it has sanctioned the state’s electric vehicle policy that plans to make it an electric vehicle manufacturing hub and encourage acceptance of the eco-friendly vehicles. The state has released an ambitious plan to request the investment of up to $3 billion (Rs 23,000 crore) by 2030. It also aims to generate direct employment of more than 120,000 and 250,000 ancillary opportunities.
The policy has stated incentives for the complete EV ecosystem comprising exclusion of 100 percent road tax and registration for the initial 200,000 e-two-wheelers; 5,000 units of four-wheelers and 20,000 electric autorickshaws.
For customers considering retrofit technology, the policy will incentivize three-wheelers for up to 15 percent of the cost (capped at Rs 15,000 per vehicle) for the initial 5,000 units; first 10,000 electric LCVs (including three-wheelers), 5,000 personal vehicle cars and 500 electric buses.
To lure investment from establishments in the green vehicle space, Telangana will offer 20 percent capital investment subsidy (maximum up to Rs 30 crore), a discount of up to 25 percent in power tariffs (maximum up to Rs 5 crore), full repayment of SGST up to Rs 25 crore for seven years, the interest subvention of 5.25 percent for five years capped at Rs 5 crore and other incentives like exclusions in stamp duty.
Telangana will also set up an energy park at Divitapally and plans to set up another EV park, besides using the existing electronic manufacturing clusters at Raviryal and Maheshwaram for enabling the establishment of the new EV plants.
As per the Telangana government, about Rs. 1,425 crore will be spent on incentives and will make 775 acres of land available for EV manufacturers.