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Tamil Nadu Electric Vehicle Policy 2019

To promote electric vehicle adoption in Tamil Nadu, the Tamil Nadu government has announced Electric Vehicle Policy 2019, which exempts all battery-operated Vehicles (electric vehicles) from motor vehicle taxes in the state. The Tamil Nadu government will focus on policy interventions aimed at promoting EV manufacturing as well as EV marketing in the state.

To promote investment in electric vehicle manufacturing, EV battery manufacturing or assembly and EV charging infrastructure manufacturing, and equipment manufacturing enterprises, incentives, and concessions will be given by the Government of Tamil Nadu.

Further, it is envisaged that the network and dissemination effects will lead to initial market creation through demand-side incentives, and the creation of charging infrastructure will promote a culture of EV usage in the state. The vision of the state for each class of vehicles will be as follows.

Incentives on the Purchase of Electric Two Wheeler

  • 100% road tax exemption will be provided till 30.12.2022.
  • Waiver on Registration charges/fees will be done as per Government of India’s notification.

Incentives on the Electric Auto-Rickshaws

An Open Permit System will apply to approved e-Auto Permits to be issued. The list of approved e-autos will be notified by the Department of Transport. The following further incentives will be offered:

  • Auto Rickshaw permit fees will be waived for e-autos till 30.12.2022.
  • 100% Road Tax exemption for e-autos till 30.12.2022.
  • Waiver on Registration charges/fees will be done as per Government of India’s notification.

EV Incentives for Transport Vehicles Such as Taxi, Tourist Cars, etc.

  • Taxi permit fees will be waived for Electric Transport Vehicles till 30.12.2022. ii) 100% Road Tax exemption for all Electric Transport Vehicles till 30.12.2022.
  • Waiver on Registration charges/ fees will be done as per Government of India’s notification.
  • STUs will be provided with subsidy to enable purchase of EV buses.

Incentives for Light Goods Carriers (including E-Three Wheeler)

  • There will be no requirement of permit for the three-wheeler goods, e-carriers as well as electric Light Goods carrier.
  •  100% Road Tax exemption for all e-carriers registered till 30.12.2022.
  • Waiver on Registration charges/fees will be done as per Government of India’s notification.

Incentives for Private Cars by Tamil Nadu Government

  • Private car owners shall be encouraged to switch over to electric cars.
  • Waiver on Registration charges/fees will be done as per Government of India’s notification.
  • Road tax exemption will be enhanced from 50% to 100% till 30.12.2022.

EV Incentives and Support for Charging Stations

Experience in other cities around the world shows that the availability of charging stations is a major driver for EV adoption. The Tamil Nadu EV policy aims to create an enabling environment for providing private and public charging infrastructure in the state. In this regard, the State Government is committed to:

  • The State will invest in setting up charging stations, with the active participation of public sector units including TANGEDCO and private players.
  • The Government will develop schemes with appropriate capital subsidy to enable private operators to set up public charging stations.
  • Provision for charging stations will be made in commercial buildings such as hotels, shopping malls, cinema halls, apartments, etc.
  • The Government will take effort to set up 3*3 Grid charging stations in Chennai, Coimbatore, Trichy, Madurai, Salem and Tirunelveli.
  • One charging station will be set up at 25 km intervals on both sides of NHAI and State Highways.

Tamil Nadu Electric Vehicle Policy 2019 Highlights

  • Electrify 5% of buses every year by 2030, and convert shared mobility fleets,
  • institutional vehicles, and e-commerce delivery and logistics vehicles to EVs by 2030.
  • Convert all auto-rickshaws in six major cities to EVs within a span of 10 years.
  • Establish venture capital and business Incubation service
  • hubs to encourage electric vehicle start-ups.
  • EV-related and charging Infrastructure manufacturing units will
  • receive 100% exemption on electricity tax till 2025.

Download Tamil Nadu EV Policy 2019 (PDF)