The Indian government has formally proposed a number of measures to incentivize the adoption of electric vehicles.
- has proposed an amendment to the Central Motor Vehicles Rules so as to allow exemption of registration fees for electric vehicles.
- has also proposed exemption of road tax for electric vehicles
- may also soon consider lowering the tax on electric vehicles.
Apart from these incentives, the government already offers financial subsidy on the purchase of electric vehicles under the Faster Adoption and Manufacturing of Hybrid & Electric Vehicles in India or the FAME-II scheme.
Some other incentives aimed at swift adoption of electric vehicles that could be introduced and have reportedly been discussed in the recent past include
- discounts in insurance premiums,
- free parking and incentives on manufacture
- and import of essential parts for electric vehicles.
The exemption has been proposed only for electric vehicles, and hybrid vehicles will not be covered under the current proposed amendment.
Reference- Clean Technica, NDTV Auto, India Today