In an ambitious move towards sustainable transportation, the Chief Minister of Uttar Pradesh, Yogi Adityanath, has declared that all state government vehicles will be replaced with electric vehicles (EVs) by 2030. This announcement is part of the Uttar Pradesh Electric Vehicle Manufacturing and Mobility Policy 2022, which also includes a 100% exemption from road tax and registration fees for the first three years and a 15% subsidy on the factory price of an EV.
What will the plan look like?
To expedite the transition, the Chief Secretary has directed departments to purchase EVs without tendering, on the basis of nomination. The upper limit on the purchase of vehicles for official use will also be relaxed if needed. This is a significant step, considering that EVs are currently more expensive than diesel and petrol vehicles. However, the government believes that the additional cost will be offset by the savings on fuel in later years.
This move is a massive boost to the EV industry in the state, and it is hoped that other states will follow Uttar Pradesh’s lead. With a growing number of incentives and discounts offered by both the state and central governments, the cost of EVs is likely to reduce significantly, making them more accessible to the general public.
“With infrastructure development, incentives, and the introduction of new EV models, the sale of EVs in the country is expected to grow. Two-wheelers and three-wheelers are likely to dominate this sale,” said the official.
UP government plans to exempt from road tax and registration fees
Effective October 14, 2022, the Uttar Pradesh government has decided to exempt road tax and registration fees for three years on the purchase of EVs. This exemption will also be extended to EVs manufactured in the state for a validity of five years.
The policy offers a 100 percent tax waiver on EVs sold and registered in the state from October 14, 2022, to October 13, 2025.
In the fourth and fifth year of the policy’s effective period, from October 14, 2025, to October 13, 2027, a 100 percent rebate on EVs manufactured, sold, and registered in the state will be provided.
The incentives provided by the Uttar Pradesh Government are in addition to the subsidies provided by the Central Government for the purchase of EVs, ultimately reducing the cost of two-wheelers by Rs 15,000 to Rs 20,000 on-road and cars by up to Rs 1 lakh.
Way Forward for UP’s EV Plan
We hope that other states follow the footsteps of UP and plan to bring a massive change in the EV. It is evident to see who will be the supplier of the government’s electric vehicle and whether can they replace the ultra-security features of top car makers. Will the government include local-level bodies like panchayat institutes in this process will also be evident to see.
The move towards sustainable transportation is essential, and it is commendable to see the Uttar Pradesh government taking proactive measures toward this end. Let us hope that the implementation of this policy is swift and effective, leading to a cleaner and greener future for our country.