Unfolding the electric future; Rajasthan's EV policy receives cabinet's nod
With the rising oil prices and the concerns around climate change getting more serious day by day, electric vehicles seem to be setting the stage for the future of mobility in India. On Tuesday, Rajasthan's new EV policy received approval from the state. The policy seeks to not just promote the use of electric vehicles but also to incentivise people. Notably, this EV policy was first introduced in the Rajasthan budget session 2019-20.
Inching closer within the reach of mass-market buyers
The biggest snag standing in the way of Rajasthan's EV policy, is the cost and lack of infrastructure. However, with every passing day, EV’s are inching closer within the reach of mainstream buyers, spurred on by the state’s initiatives to promote e-mobility. Apart from the many benefits that EVs offer, the implementation of this policy is expected to drastically reduce the pollution caused by diesel-petrol vehicles in the states.
Incentivising EV vehicles in Rajasthan
According to reports, an additional budget provision of ₹40 crores has been approved for the proposed lumpsum contribution and SGST recharge.
Proposed lumpsum contribution is the sum of money contributed by the state or central government department to incentivise the buyer. SGST (State Goods and Service Tax) recharge is the pre-decided amount of money that was paid by the buyer while making the purchase of EV and will later be reimbursed by the concerned state government after considering all the requirements to avail of the scheme.
With such lucrative incentives in the policy, the govt is committed to encouraging the operation of all types of e-vehicles. Under the newly formed policy, EV buyers will be offered reimbursement ranging from ₹5,000 to ₹10,000 per vehicle for two-wheelers and ₹10,000 to ₹20,000 to three-wheelers depending upon the battery capacity.
Additionally, the policy also intends to keep the electric vehicles out of the purview of Motor Vehicle Tax in the state. With the many benefits that Rajasthan’s EV policy (REVP) offers, the state hopes to bring EVs closer to being an accessible option for mass-market buyers.