This blog will provide you the information about the benefits and subsidies for electric vehicles provided by the government to promote electric vehicles.
In the automobile industry, electric vehicles are no less than a boon, especially for India, a country struggling with noise and air pollution as they are eco-friendly. The main focus of the government is to present India as a leader in the field of electric vehicles. Although there are many countries where several people are using electric vehicles even then India can be a leader by introducing new innovative technologies that can encourage customers to buy them. Electric Vehicles are not only personal two-wheelers, three-wheelers, or four-wheelers but also school buses, trucks, etc. are ready to be on the road.
For this, the Indian government planned to provide subsidies on electric vehicles. A subsidy or incentive is a type of government concession that is given to a particular product to increase its sales.
Like other countries, India is also suffering from pollution, so to improve the air quality and keep track of noise pollution; EVs can be a good choice, for this Indian government is contributing to give a push to electric mobility. The government of India urges all to work together in this mission. The government has planned to clarify the doubts of everyone regarding EVs and their charging stations. The main purpose of government is to guide the people about the importance of electric vehicles and set out the way for the future.
Advantages Of Electric Vehicles and Benefits And Subsidies for Electric Vehicles Provided By The Government
The government is organizing an awareness program to make people aware of the benefits of electric vehicles. The given below are the benefits of it
Save Our Environment
Electric vehicles play an important role in keeping the environment clean and cutting down the dependence on fossil fuels. Harmful gases that are emitted from gasoline- vehicles not only make the environment a pollutant but also produce many diseases like asthma, bronchitis, lung damage, etc. that are awful for our health.
The use of electric vehicles either personal or public can be a good choice for us as it saves both our environment and health. There is a need of a time to switch to electric vehicles as soon as possible so that we may save our environment.
Minimize Air Pollution And Better Energy Sufficiency
The use of electric vehicles helps to minimize air and noise pollution. The government is planning that by 2030 every bus you ride on should be an electric bus. Diesel trucks that run on highways emit more harmful gases and make the environment polluted. Transportation of goods by electric trucks can help in making a clean environment as well as they are the best energy saver. Harmful gases like nitrogen oxides and carbon monoxide are found in soot that emits from vehicles that run on petrol or diesel so minimum use of such vehicles, will reduce air pollution.
EVs Are Suitable To Charge
The biggest benefit of electric vehicles is that they can be charged either at home, shopping places, workplaces, garages, etc. So they save our time and we do not need to go to other places to get it charged. Every time whenever we are at our home, it is very convenient to plug in to get the battery charged.
Through our electric vehicles, we ensure to achieve the target of zero emissions. Making electric vehicles accessible to everyone is one step ahead in the field of achieving the target.
Reduce Dependency On Other Countries To Import Crude Oil
We are highly dependent on Russia, Iran, and Saudi Arabia for our crude oil requirement. At least 50 percent of our total crude oil usage is imported from these countries. However, if the ratio of the usage of electricity vehicles is increased, our dependency on these countries would be minimized that would even cost down our transportation. The huge amount that is used in importing crude oil, can be used in manufacturing electric vehicles and this will even surge more employment. We generate our electricity and for this, we are not depending on any country and it would be the biggest benefit to manufacture electric vehicles.
Raise The Value Of The Property
The availability of EV charging stations in societies will raise the value of the property. Installing EV chargers can prepare not only us but also the next generation to be responsible towards nature.
Electric Vehicles Consume Less Energy
When we drive electric vehicles during traffic congestion, we have to stop our electric vehicles again and again. The motor of the electric vehicle stops automatically and consumes very little energy whereas in the fossil fuels car engine does not stop automatically whenever we stop the car. Saving energy is the biggest benefit of electric vehicles.
Electric Cars Will Be More Economical
As soon as the demand for electric cars expands, there will be more competition among its manufacturers and they will have to launch cheaper vehicles in comparison to other ones to increase their sales and the buyers of electric vehicles can make a profit from it. Besides, batteries of electric cars are costlier than other materials so with time, its manufacturers are doing their best effort to cut down its cost and they are getting successful in this.
Benefits and Subsidies For Electric Vehicles Provided By The Government To Promote Electric Vehicles
The Indian government has made up a plan to support the market of EVs so they are providing various subsidies and schemes to encourage the EV buyers.
The following are the schemes provide you the details of benefits and subsidies for electric vehicles provided by the government to promote electric vehicles
Fame (Faster Adoption And Manufacturing Of Electric Vehicles) Scheme
Fame I was set up on April 01, 2015, and its main purpose was to promote electric vehicles. This scheme encourages more adoption of electric vehicles and offers incentives (vary according to state) on the purchase of electric vehicles. This FAME I continued till March 31, 2019.
On April 1, 2019, the FAME II (second phase of this scheme), was launched and its main focus was on developing charging infrastructure, promoting renewable energy, an eco-friendly environment and fuel conservation, etc. The government has allocated a Rs.10,000 crore budget for this scheme. It provides subsidies to different categories of electric two-wheelers, three-wheelers, and four-wheelers. This scheme focuses on the development of new technology in the EV industry. The FAME II was planned to end in March 2022 but the government decided to continue it till March 2024.
The government is planning to meet its target of at least 30% of EVs on roads by 2030. Increasing air and noise pollution are the main reasons that the government is implementing fewer road fees and more incentives for the purchasing of electric vehicles.
National Electric Mobility Mission Plan (NEMMP)
The main purpose of this scheme is to provide benefits and subsidies for electric vehicles provided by the government for the purchase of electric vehicles and create infrastructure for electric vehicle owners. On top of that, this scheme offers the growth of more EVs to conserve pollution and energy.
As the government wants more electric vehicles on the road, they are supporting to start of a new business of electric vehicles to support it. It would play a notable role in promoting electric vehicles.
PLI (Production Linked Incentive) Scheme
In June 2021, the PLI scheme was launched by the Department of Heavy Industry. The primary aim of this scheme is to provide incentives to automobile companies to attract investment that would increase their buyers. The overall payout of this scheme is INR 18,100 crore.
It focuses on advanced technology and vehicle components. In addition, this scheme focuses on cutting down the cost of EVs. This scheme proposes to boost our automobile sector so that our dependency on imports would reduce and generate more and more job options for Indians. Such schemes would be a great help for India to become a global hub.
Delhi, Haryana, and Maharashtra are the top three states that provide the highest subsidy on the purchasing of electric vehicles.
Please find the details of the benefits and subsidies for electric vehicles to promote the sales of electric vehicles in different state of India.
Benefits and Subsidies For Electric Vehicles provided by the Government of Delhi
The biggest benefits and subsidies for electric vehicles provided by the government electric vehicles were offered by THE DELHI GOVERNMENT which is Rs.100 crore. They are providing a 25% subsidy (on the MRP) on the purchasing of e-cycles and 33% on the e-cargo cycles. A scrapping incentive on e-cycles and e-cargo cycles would be provided between 2,000 and 3,000 which may vary according to the parts of the e-cycles.
On the purchasing of two-wheelers, the Delhi government assures to provide an incentive of Rs.5000 depending on the capacity of the battery. Delhi’s government commanded all the owners of the societies that there should be enough space inside the societies for the installation of EV charging stations as in the coming time more EVs would be on the road and facilities of charging stations in the residential societies would not be less than the biggest amenities in the following time.
The Delhi government is providing relief to EV buyers that they would not need to pay road tax as well as no registration cost. Such subsidies would attract consumers to buy electric vehicles and it would succeed the government’s plan of selling more EVs.
The Delhi’s government cut down the GST from 12% to 5% on electric vehicles to promote EVs. On top of that, they are providing distinctive low electricity tariffs that would make the customer understand how beneficial it can be to buy electric cars! Delhi government is offering low-interest rate loans for the buyers of electric cars so that customers will be attracted to buy more electric vehicles. It focuses on e-mobility and its main purpose is to curb pollution and health issues.
The availability of charger stations with proper infrastructure and facilities can encourage consumers to buy electric vehicles so all these areas are covered by the government to promote electric vehicles.
Benefits and Subsidies For Electric Vehicles provided by the Government of HARYANA
Benefits and subsidies for electric vehicles provided by the GOVERNMENT OF HARYANA follows ‘first come, first serve’ and provides benefits for the purchasing of electric vehicles. The state is providing a 15% subsidy up to Rs.6 lakh that would be applicable for electric cars and the cost should be between Rs.15 lakh to Rs. 40 lakh. The electric cars that cost Rs. 40-70 lakh, up to 10 lakh subsidy is provided to them. They provide 100% refund stamp duty for twenty years.
No road tax would be taken from EV buyers. No interest would be taken on a loan from the State Government employee in case he buys an electric vehicle. The government has lessened the per unit rate of electricity for charging the electric vehicle.
Benefits and Subsidies For Electric Vehicles provided by the Government of MAHARASHTRA
When we talk about the electric vehicle policy, benefits and subsidies for electric vehicles provided by the GOVERNMENT OF MAHARASHTRA seems to be a friendly one. First 100,000 electric two-wheeler buyers would be applicable for subsidies that are Rs. 5,000 per kWH of battery capacity.
For two-wheelers, the state is offering a subsidy of Rs. 10,000. Those who want to purchase four-wheelers can also take the advantage of subsidy- the maximum subsidy of the Maharashtra government is Rs. 25000. This subsidy would be benefitted to only the first one thousand electric four-wheelers buyers. To increase the sale of electric vehicles, automobile companies are also providing a five-year warranty to the buyers. There are no road taxes and registration fees in Maharashtra for electric vehicles. Incentives on electric vehicles may vary according to the capacity of batteries and other electronic models fixed in them.
Benefits and Subsidies For Electric Vehicles provided by the Government of UTTAR PRADESH
Benefits and subsidies for electric vehicles provided by the GOVERNMENT of UP (Uttar Pradesh) provide subsidies of Rs 5000 per electric two-wheelers (first two lakh purchases) and one lakh for four-wheelers (first 25,000 early electric vehicles). A subsidy portal was launched by the UP government on October 14, 2022, to claim subsidies according to the given rules. To claim the subsidy, buyers are asked to fill out an online form and provide the necessary information then the subsidy for electric vehicles will directly go to the account. Besides it, there are many states like Odisha, West Bengal, Assam, Andhra Pradesh, Telangana, Tamil Naidu, Karnataka, and Uttar Pradesh that provide 100% discount on road tax for electric buyers.
Conclusion
To sum up it can be stated that providing benefits and subsidies for electric vehicles provided by the government is one of the best ways to shoot up the sales of electric vehicles as unless commuters find some benefit, they are not easily convinced to buy it. The main purpose of launching these schemes and subsidies is to enhance the EV market. Through these strategies, we can build a green India with sustainable development. Successful initiatives by the government pave the way for a better and eco-activist India. The main target of these subsidies is to change fossil fuel cars to electric cars and make the environment clean.
