As the world shifts towards more sustainable forms of transportation, electric vehicles (EVs) have become a key focus in budget discussions. The advancement in technology and decrease in the cost of EVs have made them more accessible to the general public. Governments around the world are starting to realize the potential benefits of EVs, such as reducing air pollution and dependence on fossil fuels. As a result, many countries have started to offer financial incentives and tax breaks for individuals and businesses who purchase EVs. In the upcoming budget, we can expect to see continued support for the EV industry, with an emphasis on increasing the availability of charging infrastructure and reducing the cost of owning an EV. Additionally, we may see new initiatives aimed at encouraging the adoption of EVs in fleets and public transportation. Overall, the budget is likely to play a crucial role in driving the transition to a more sustainable future.
What to Expect in the Budget 2023?
- Providing research and development subsidies and incentives for EV technology, battery manufacture, and charging infrastructure would also contribute to the development of an indigenous EV industry.
- The government should also encourage cooperation between Indian companies and international companies in the field of EV technology by providing incentives for domestic manufacturers of EV components and batteries. It would be beneficial for the government to provide subsidies and incentives for the acquisition of electric buses and other electric vehicles for public transportation in order to promote the use of electric vehicles in public transportation.
- Electric tractors and other electric vehicles for agricultural use should be subsidized and encouraged by the government as a means to promote the use of electric vehicles in the agricultural sector.
It is apparent from the upcoming Union Budget that the Government of India will be able to provide the necessary impetus for further growth in the electric vehicle sector. As part of its efforts to create a robust and sustainable EV ecosystem in India, the Government can provide support for charging infrastructure, extend the time limit for FAME II, rationalize GST rates, provide incentives for research and development, and promote the use of electric vehicles in multiple sectors.