EV Policies in India
In order to focus on sustainable and clean mobility options, the Union Budget 2022 has underlined the need for e-mobility and encouraged EV adoption throughout the country. One of the crucial steps to ensuring that the Indian automotive industry competes globally, which will ensure greater value addition in the nation, spur manufacturing, and generate significantly more employment, is giving greater emphasis to renewable energy sources, a clean environment, and initiative coping with climate change. The fundamental revolution of sustainable and clean mobility may be attributed to three main factors: regulation, consumer behavior, and technology.
The National Electric Mobility Mission Plan (NEMMP)
The National Electric Mobility Mission Plan (NEMMP), which was introduced in 2013, is an initiative of the government that offers a roadmap for accelerating the use of electric vehicles in the country and domestic production of those vehicles to ensure national fuel security. According to the idea, 9500 million liters of crude oil, or 62,000 crores of Indian rupees, will be saved. The NEMMP commits to spending approximately INR 14,000 crores to support R&D initiatives, jump-start emerging technologies, hasten the adoption of electric cars, and build essential infrastructure through public-private co-investments.
The FAME India Scheme
A government incentive program for the promotion of electric and hybrid vehicles in India is called FAME India (Faster Adoption and Manufacture of (Hybrid and Electric Vehicles) Scheme). In order to increase the production of electric vehicles and the development of electric transportation infrastructure, incentives are offered in the form of subsidies to automotive manufacturers of electric vehicles and infrastructure providers of electric vehicles. Technology development, demand generation, pilot projects, and charging infrastructure are the four main areas on which FAME focuses. These topics span electric and hybrid technologies such as mild hybrid, strong hybrid, plug-in hybrid, and battery electric vehicles.
Indian States leading the EV sales
According to a government notification, Uttar Pradesh, Delhi, and Karnataka have emerged as the top three states in terms of registration of electric vehicles in India. Nitin Gadkari, Road Transport and Highways Minister said that 870,141 electric vehicles have been registered in India. Moreover, in 2021, 329190 electric vehicles were sold in India, representing a 168% increase over 2020 sales of 122607.
Leading vehicles in the EV segment
The electric two and three-wheeler segments continue to drive EV volumes in India with a combined EV market share.
Current Scenario of EV Policies in different states
Up to 16 states have approved and finalized their EV policies, including Andhra Pradesh, Karnataka, Kerala, Madhya Pradesh, Maharashtra, New Delhi, Tamil Nadu, Telangana, Uttarakhand, Uttar Pradesh, Goa, Gujarat, Meghalaya, Assam, West Bengal, Odisha, and Rajasthan. Among the states with proposed EV policies that have not yet been approved are Punjab, Haryana, and Bihar.
States that do not offer any incentives for EV adoption
While some states, including Karnataka, Telangana, Tamil Nadu, Andhra Pradesh, Madhya Pradesh, Uttar Pradesh, and Kerala, have approved EV policies that include road tax exemption and other provisions, they do not provide incentives per kWh of battery capacity and incentives per vehicle.
States with drafted EV policies
To flow with the electrification drive several states like Punjab, Bihar, and Haryana have also drafted their EV policies but the policies are yet to be approved.
