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Monday, November 30, 2020

Telangana launches electric vehicles policy: Full exemption in road tax, registration fee for early adopters

IT and Industries minister KT Rama Rao announced an overall private investment of Rs 3,200 crore in the sector, promising jobs for about 15,000 people.

By: Express Web Desk | Hyderabad | October 30, 2020 8:49:47 pm
IT Minister KT Rama Rao launches electric vehicles policy. (Twitter/KTR)

In a major step aimed at promoting electric vehicles (EV), the Telangana government Friday formally launched the Telangana State Electric Vehicles and Energy Storage Systems Policy 2020-2030.

Apart from incentivising manufacturing of electric vehicles, energy storage systems (ESS) and its components, the new EV policy offers 100 per cent exemption in road tax and registration fees for early adopters in different categories of vehicles, including tractors.

IT and Industries minister KT Rama Rao announced an overall private investment of Rs 3,200 crore in the sector, promising jobs for about 15,000 people.

According to him, the government is in the process of establishing 178 charging stations across the state. “We invite the industry to come and make Telangana their manufacturing base as we believe local production is the key to achieve price/performance parity and enable faster adoption of Electric Vehicles,” he said.

The new policy aims to make Telangana state the preferred destination for Electric vehicles, ESS, and component manufacturing. Transport minister Puvvada Ajay Kumar and Environment Minister A Indra Karan Reddy were present at the launch of the new policy. It was passed by the State Cabinet earlier in August.

MOUs signed:

At the EV summit Friday, the Vice-Chairman and MD of electric bus manufacturers Mytrah Energy, Vikram Kailas, signed an MOU with the state government and committed to investing Rs 2000 crore and generating 6750 jobs.

Venkateswara Pradeep, the Director of another electric bus manufacturer, Olectra Greentech, signed an MOU committing to an investment of Rs 300 crore while generating 3500 jobs.

ETO Motors signed an MOU and committed to investing Rs 150 crore with employment generation for 1500 persons.

Likewise, Raja Gayam of Gayam Auto Works announced their plans of investing Rs 250cr in the state generating 1400 jobs. Rohit Vadera, Co-founder and CEO of PURE EV announced their plans of investing Rs 500 crore in the state generating 1,500 jobs, said a press statement from the government.

For early adopters

The first two lakh electric two-wheelers, first 20,000 electric 3-wheelers, first 10,000 electric 3-wheelers (goods carriers), first 5,000 electric four-wheelers (commercial passenger vehicles), purchased and registered within the state are offered a 100 percent exemption of road tax and registration fee. A retro-fitment incentive at 15 per cent of the cost, capped at Rs 15,000, is offered to the first 5000 3-wheelers.

This exemption of road tax and the registration fee applies to the first 5,000 Electric 4-wheelers (private vehicles), the first 500 Electric buses, and also Electric tractors, purchased and registered within the state.

Support for charging stations

The EV policy also stresses support for charging infrastructure. It says the Telangana State Electricity Regulatory Commission shall provide a special power tariff category for electric vehicle charging stations.

It calls for setting up charging or swapping stations every 50 km on national and state highways within the state and encourages existing residential townships with 1000 plus families to develop charging stations lots. It says the Hyderabad Metro Rail stations and TSRTC bus depots across the state shall provide reserved parking and charging points for two-wheelers in their parking zones to encourage EVs for the last-mile commute.

The TSREDCO (State Nodal Agency) is to evaluate to establish public charging stations directly or under the licensee/franchise/PPP model. Various public places such as airports, railway/ metro stations, parking lots, bus depots, markets, petrol stations, malls & electric poles shall be examined for the same.

The government, according to the policy, shall develop night-time community parking with charging facilities in PPP mode for e- Autos, taxis, and public transport vehicles within Industrial zones. It envisages the creation of a battery disposal infrastructure for used EV batteries.

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