Under Telangana's EV policy, first two lakh two-wheelers exempted from road tax, registration fee

Road tax exemption for first batch of two-wheelers, autos, cars etc.

October 29, 2020 10:41 pm | Updated October 30, 2020 01:14 pm IST - HYDERABAD

Photo for representational purpose.

Photo for representational purpose.

For incentivising usage of electric vehicles (EVs) in the State, Telangana government is proposing to exempt the first batch of two lakh such two-wheelers, 20,000 three-seater autorickshaws, 5,000 commercial passenger vehicles such as cabs and an equal number of private cars besides 500 buses from payment of road tax and registration fee.

A similar benefit will be provided to the first 10,000 light goods carriers, including goods carrying three-wheelers, and electric tractors.

The exemption will be applicable if the vehicles are purchased and registered within Telangana, said a government order on the Telangana Electric Vehicle & Energy Storage Policy 2020-2030.

Industries and IT Minister K.T.Rama Rao along with Transport Minister Puvvada Ajay Kumar is set to formally launch the policy on Friday at a programme, in which industry leaders are scheduled to participate.

Passed by the State Cabinet in August, the policy seeks to make Telangana a hub in the EV space through a combination of measure, including by offering incentives for manufacturing of EVs, energy storage systems and related components. The incentives will include capital subsidies, State GST reimbursements and power tariff subsidies.

With an eye on addressing the different facets of the EV ecosystem, the Policy said incentives will be provided for charging infrastructure. The government will facilitate setting of up initial batch of fast charging stations in Hyderabad and other towns in a phased manner by State entities and private players. It also moots a special power tariff category for EV charging stations, by the Telangana State Electricity Regulatory Commission.

The GO said existing state self-employment schemes shall be extended to provide financial assistance for purchase of EVs for commercial purposes. Ride hailing services will be encouraged to operate electric 2, 3 and 4 wheelers through incentivisation. Promoting adoption of EVs at institutional level, starting with government entities, encouraging State Transport Units to purchase electric buses, and provision of preferential parking slots with required charging infrastructure for EVs are among the aspects touched by GO.

The State government will facilitate in dovetailing with the Centre’s schemes and encourage stakeholders to avail benefits available under the latter schemes under the 10-year policy, one of whose objectives is to achieve substantial reduction in total cost of transportation for personal and commercial purposes, supported by a world-class infrastructure.

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