The Odisha state government introduced the Odisha Electric Vehicle Policy in 2021, which came into effect on September 1st. The policy aims to have 20% of vehicles in the state be battery electric by 2025.
On Monday, the Odisha government announced an increase in the subsidy for electric vehicle purchases. This decision was made during a cabinet meeting led by Chief Minister Naveen Patnaik.
According to an official statement, the government decided to increase the subsidy based on experiences and best practices from across the country. This enhancement will make the policy more forward-thinking and motivate citizens to buy electric vehicles.
Odisha Increases Subsidy on Purchase of Electric Vehicles
The Odisha Electric Vehicle Policy, established on September 1, 2021, includes various incentives for both buyers and manufacturers.
The policy currently grants 100% exemption from motor vehicle taxes and registration fees for all battery-operated vehicles until December 31, 2025.
Odisha Electric Vehicles Policy Highlights:
- Complete exemption from motor vehicle tax and registration fees for electric vehicles bought in Odisha until December 31, 2025.
- All electric vehicles, whether for transportation or non-transportation purposes, registered in Odisha, are free from motor vehicle taxes and registration fees.
- Electric two-wheelers: 15% subsidy on the vehicle’s cost, capped at INR 5,000.
- Electric three-wheelers: 15% subsidy on the vehicle’s cost, capped at INR 10,000.
- Electric four-wheelers: 15% subsidy on the vehicle’s cost, capped at INR 50,000.
- Electric buses: 10% subsidy on the vehicle’s cost, capped at INR 200,000 for non-air-conditioned buses, INR 300,000 for air-conditioned buses, and INR 400,000 for air-conditioned deluxe buses.
- Electric goods carriers: Individual and fleet owners will receive a purchase incentive of INR 30,000 for the first 5,000 electric goods carriers registered in Odisha.