The government of Maharashtra has reasserted its commitment to promoting electric mobility with its approval of the Electric Vehicle Policy 2025 in its cabinet. This policy is to be in place up to 2030 and marks a collective effort towards accelerating electric vehicle manufacturing and adaptation in the state.
A huge financial outlay of ₹1,993 crore has been provided to achieve the goals of this policy, which among other things aims to bring down the air pollution levels and make Maharashtra the hub of the electric vehicle industry in the country.
The main pillars of policy concern the promotion of the attractiveness and availability of electric cars through a blend of fiscal incentives to prospective buyers, building a strong network of charging facilities, and advancing local manufacturing capacity.
By taking these steps, Maharashtra seeks to shift towards cleaner modes of transport and become a major driver of India’s larger electric mobility vision.
The New Maharashtra EV Policy 2025 introduces a comprehensive framework of provisions and incentives designed to stimulate the electric vehicle ecosystem across the state.
As a direct incentive to promote the acquisition of electric vehicles, the policy grants a purchase discount of 10% over the original price to a broad range of vehicle categories.
These consist of electric two-wheelers and three-wheelers, private four-wheelers, state transport corporations’ buses, private buses, and transport undertaking-operated vehicles of civic bodies.
Appreciating the benefits of some vehicle categories in use in agriculture and transporting goods, the policy grants a further significant 15% reduction in the original price to electric four-wheelers and electric good-carrying three-wheelers and electric tractors and combine harvesting machinery.
Making their financial attractiveness even greater, the policy also impresses upon all-electric vehicles the exemption of motor vehicle tax and registration certificate fees upon both registration and sales in the state of Maharashtra.
These discounts on purchases will be valid through the year 2030 and offer long-term incentives to consumers to shift to electric mobility.
The offer of different levels of subsidies with a more favorable one for commercial and farm trucks shows that it is strategically prioritizing electrification of industries that play a major role in impacting environmental sustainability and operational expenses.
Commercial trucks, with their high utilization levels, play a significant role in emissions, and the prospect of lower operating expenses with EVs renders that incentive highly significant.
In the same vein, promotion of electric tractors and harvesters can bring less pollution with regard to agriculture as well.
The blanket exemption from registration fees and motor vehicle tax also minimizes the up-front cost burden on consumers to make electric cars more affordable in comparison to internal combustion engine cars.
To promote the use of electric vehicles for both personal and commercial intercity travel, the New Maharashtra EV Policy offers significant toll-related benefits.
Electric four-wheelers and buses will enjoy a complete waiver of toll charges when using key expressways in the state, including the Mumbai-Pune Expressway, Atal Setu, and Samruddhi Mahamarg.
Additionally, these same categories of vehicles will receive a 50% concession on the toll when plying on other state and national highways within Maharashtra.
The state government has also announced plans for a phased implementation of toll waivers across all highways maintained by the Public Works Department (PWD), signaling a broader commitment to reducing the cost of travel for electric vehicle users throughout the state.
The complete toll waiver on major expressways directly addresses a potential concern for individuals and businesses that frequently undertake longer journeys. Toll costs can accumulate significantly, and their elimination for EVs on these routes enhances the economic viability of choosing electric vehicles for intercity travel and logistics.
The 50% concession on other highways provides further encouragement for wider adoption across the state’s road network. The phased extension of these waivers to all PWD highways indicates a long-term vision to make electric mobility a cost-effective and convenient choice for all road users in Maharashtra.
Recognizing the critical role of a well-developed charging infrastructure in facilitating the widespread adoption of electric vehicles, the New Maharashtra EV Policy places a strong emphasis on expanding the availability of charging facilities across the state.
A key objective is to establish charging stations at intervals of every 25 kilometres along state and national highways, aiming to alleviate range anxiety and support long-distance electric travel.
To incentivize the development of this crucial infrastructure, the policy includes provisions for providing viability gap funding of up to ₹10 lakh to public charging operators who wish to establish new charging stations.
In a move to integrate EV charging into residential and commercial spaces, the policy mandates that all new residential housing societies must include provisions for EV charging infrastructure in their building plans.
Existing residential societies are also encouraged to adopt EV charging facilities, with the policy allowing for installation if 50% of the residents vote in favor.
Similarly, commercial establishments will also be required to have charging infrastructure available.
The government intends to collaborate with oil marketing companies (OMCs) to develop charging infrastructure at their petrol pumps, leveraging their existing network and accessibility.
Furthermore, State Transport Undertaking (STU) bus depots and terminals will be equipped with fast-charging units to support the transition of public transportation to electric power.
The policy also includes direct financial support for setting up charging stations, offering a subsidy of ₹5 lahks for 1000 stations with a capacity of 5-250 kilowatts and ₹10 lahks for 500 stations with a capacity ranging from 250 to 500 kilowatts.
This comprehensive approach to charging infrastructure development, encompassing mandates, incentives, and collaborations across various sectors, demonstrates a strong commitment to creating a user-friendly and readily available charging ecosystem throughout Maharashtra.
By addressing charging availability at multiple levels – from homes and workplaces to highways and public transportation hubs – the policy aims to remove a significant barrier to EV adoption and foster a seamless transition to electric mobility.
The new Maharashtra EV Policy 2025 broadens the incentives coverage to more vehicle categories than before, from five to thirteen in total.
Such expansion now includes erstwhile ineligible but important vehicle categories which include corporate and municipal corporations’ use of utility vehicles, trucks, private buses, heavy commercial vehicles, and trailers with dumper trucks and agriculture vehicles.
Alarmed by the eco-necessity of proper end-of-life management of electric vehicles, the policy assigns the urban development department with the role of establishing exclusive domains for recycling ageing EV batteries and stimulating a green and closed-loop way of looking at the EV lifespan.
A central aim of the policy is to institute the Clean Mobility Transition Model to promote the use of electric cars by way of incentives up to 2030 with the longer-term intention of substantially addressing carbon and pollutant gas emissions, and also greenhouse gas (GHG) emissions, from the state transport sector by 2030.
The implementation of these ambitious plans will be backed by a significant budget of ₹1,993 crore in five years with another ₹3000 crore invested in particular to subsidize costs incurred in waiving tolls.
The incentivization of medium- and heavy-combustion commercial vehicles and other specialized vehicles is in recognition of their major contribution to total emissions and is part of a strategic shift towards electrifying them.
Investment in the recycling of batteries shows a proactive approach towards addressing the role of the growing fleet of EVs on the environment.
The broad Clean Mobility Transition Model identifies the policy’s aspiration to bring about actual emissions reductions and efforts towards a cleaner transport system in Maharashtra.
Maharashtra has emerged as a dominant force in India’s electric vehicle market, demonstrating robust adoption rates and a leading position across various key vehicle segments.
Maharashtra in the year 2024 contributed a substantial 12% to the overall electric vehicle sales in India.
This positions the state in the second-highest-selling market of EVs in the country. Importantly, Maharashtra is the market leader in the sales of electric two-wheelers, passenger cars (cars and SUVs), and commercial vehicles, in particular electric buses.
Analyzing the fiscal year 2025 data (through early April 2025), the state had registered a total of 246,221 electric vehicles, accounting for a significant 12.52% of the overall Indian EV industry and marking a healthy 16% improvement over the previous year.
In that stellar performance, electric two-wheelers were the standout with 211,880 units being sold, with the highest all-India share of 18% and registering a 15% growth year on year.
The electric car and SUV market also saw massive traction with 17,133 units being sold, with the nation having a 16% market share and a healthy 21% year-on-year growth.
Additionally, Maharashtra is at the forefront of electric bus sales with 2,104 units sold and a market share of 24%, which is also showing a notable growth of 24% from the past year.
The growing pace of electric vehicle use is also reflected in the significant spike in registered Battery Electric Vehicles (BEVs) in the state to 644,779 in December 2024 from 394,337 in December 2023.
Maharashtra’s leadership in various electric vehicle segments consistently over the past few years and noteworthy year-on-year growth reflect a widespread and fast-paced shift towards electric mobility in the state.
Such dominance over multiple vehicle segments indicates a mature and diverse electric vehicle market influenced by favorable policies and a robust established automotive ecosystem. The significant rise in registered BEVs also proves the increasing acceptance and use of electric vehicles among consumers and businesses in Maharashtra.
The uniform market share of approximately 12% in both CY24 and FY24 and leadership in segments such as electric two-wheelers, passenger vehicles and buses reflect a stabilized and healthy base of electric vehicle growth in the state of Maharashtra.
The fact that the state has been able to consistently account for a large share of the country’s EV market and dominate key segments speaks volumes about its role in powering the electric mobility shift in India.
| Vehicle Type | Sales Units (FY2025) | National Market Share | YoY Growth |
| Electric Two-Wheelers | 211,880 | 18% | 15% |
| Electric Cars & SUVs | 17,133 | 16% | 21% |
| Electric Buses | 2,104 | 24% | 24% |
| Total EVs | 246,221 | 12.52% | 16% |
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