Telangana EV Policy 2020-30

Telangana EV Policy 2020-30 – The emergence of electric vehicles has brought about significant changes in the transportation industry.

These vehicles, which run on electricity rather than internal combustion engines, are more environmentally friendly due to their zero emissions, advanced battery technology, and simpler engine design with fewer moving parts.

Additionally, they provide cost-effective transportation options. It’s no wonder that the government of Telangana has embraced electric vehicles by offering subsidies under its EV policy. 

Telangana EV Policy 2020-30

About Telangana EV Policy 2020-30

The Telangana state government has presented the Electric Vehicle (EV) Policy 2020-30, with the objective of making Telangana a hub for electric vehicles and energy storage systems. 

The Telangana EV Policy 2020-30 aims to reduce the entire price associated with mobility by raising the number of electric vehicles used in public transportation systems, as well as in privately-owned 2, 3, and 4-wheelers. 

The policy also has light commercial vehicles and conveyed conveyance. One of the essential purposes of the policy is to lower the state’s reliance on fossil fuels and raise the use of domestically produced, cost-effective renewable energy. 

The policy also summarizes the state’s urge to draw investments in the EV and Employee Self-Service (ESS) sectors, with the objective of developing employment opportunities for 120,000 individuals by 2030.

In order to create demand for electric vehicles, the state government has presented incentives such as waiving road tax and registration fees for the first 2 lakh electric two-wheelers purchased and registered within the state, and identical incentives for other vehicle categories such as electric three-wheelers, electric 4-wheeler commercial passenger vehicles, electric buses, and electric tractors and other types of EVs.

The policy also targeted the growth of EV charging infrastructure, with the state government delivering support for the setting up of fast charging stations in cities and towns, and making a unique power tariff category for EV charging stations. 

The state government also plans to set up public charging stations in different places such as parking lots, bus depots, airports, and metro stations. In General, the Telangana State EV policy 2020-30 is an all-around plan aimed at encouraging the adoption of electric vehicles and assembling a conducive environment for the development of the EV industry.

Features of Telangana EV Policy 2020-30

The EV policy introduced by Telangana’s state government has several key objectives, including:

1. Decreasing the total cost of mobility by increasing the number of electric vehicles used in public transportation systems, private 2, 3, and 4-wheelers, light commercial vehicles, and shared transportation.
2. Moving the state’s energy dependence from fossil fuels to domestically produced, cost-effective renewable energy.
3. Positioning the state as the preferred destination for electric vehicles and their component manufacturing.
4. Making the state the primary base for the EV and Employee Self-Service (ESS) sectors, with a goal of attracting investments of USD 4 billion and creating 120,000 job opportunities by 2030.
5. Creating demand for battery storage solutions through EV adoption initiatives.
6. Supporting the development of electric vehicle charging infrastructure in its early stages.
7. Promoting the recycling and cascading of batteries used in electric vehicles.
8. Establishing the state as a global center for R&D in the electric vehicle sector.

Demand-Side Incentives for Electric Vehicles in Telangana

To increase demand for electric vehicles, the state government of Telangana has implemented the following initiatives:

• Incentives for Electric Two-Wheelers: Road tax and registration fees are waived entirely for the first 200,000 electric two-wheelers purchased and registered within the state.
• Incentives for Three-Seater Auto-Rickshaws: The following incentives are available for this vehicle category:

1. Road tax and registration fees are waived entirely for the first 20,000 electric three-wheelers purchased and registered within Telangana.
2. A retro-fitment incentive of 15 percent of the retro-fitment cost, up to INR 15,000 per vehicle, is available for the first 5,000 retrofit 3-seater auto-rickshaws purchased in Telangana.
3. Discounted interest rates are offered for hire-purchase schemes by financing institutions.

• Incentives for Electric 4-Wheeler Commercial Passenger Vehicles: The first 5,000 electric 4-wheeler commercial passenger vehicles (such as tourist cabs and taxis) purchased and registered within Telangana are eligible for a 100 percent exemption on road tax and registration fees.
• Incentives for Light Goods Carriers Including Three-Wheelers: The first 10,000 electric three-wheelers (goods), electric light goods carriers, and e-carriers purchased and registered within Telangana are eligible for 100 percent exemption on road tax and registration fees.
• Incentives for Private Cars: The first 5,000 private electric four-wheeler vehicles purchased and registered within Telangana are eligible for a 100 percent exemption on road tax and registration fees.
• Incentives for Buses: The following incentives are available for this vehicle category:

1. The first 500 electric buses purchased and registered within Telangana are eligible for a 100 percent exemption on road tax and registration fees.
2. Purchase of electric buses by State Transport Units will be encouraged.

• Incentives for Tractors: Electric tractors purchased and registered within Telangana are eligible for a 100 percent exemption on road tax and registration fees, according to existing rules outlined by Telangana’s Transport Department.

Telangana EV Subsidy Applicable to Electric Two-wheelers

The electric vehicle subsidy in Telangana grants a 100% exemption from road tax and registration fees for the first 200,000 two-wheelers purchased and registered within the state.

Subsidies Applicable to Electric Cars and SUVs

Under the Telangana electric vehicle policy, the first 5,000 electric four-wheelers purchased and registered within the state are eligible for a 100% exemption on road tax and registration fees.

Charging Infrastructure Incentives and Guidelines in Telangana

The Telangana state government has implemented a number of initiatives to support and enhance the availability and accessibility of electric vehicle (EV) charging infrastructure. These include:

1. Setting up fast charging stations in major towns and cities with the support of state entities and private players.
2. Offering a special power tariff category for EV charging stations through the Telangana State Electricity Regulatory Commission (TSERC).
3. The State Nodal Agency (TSREDCO) will evaluate the potential for setting up public charging stations, through direct investment or under a franchise/licensee/PPP model.
4. Developing EV charging and swapping infrastructure compliant with Automotive Research Association of India (ARAI) standards and with a viable business model for private players.
5. Ensuring the supply of renewable energy to EV charging stations through TSREDCO and state Distribution Companies (DISCOMs).
6. Encouraging the installation of charging booths in residential townships with over 1000 families.
7. Setting up charging and swapping stations along state boundary highways to cities like Chennai, Mumbai, and Bangalore, as well as other state and national highways.
8. Allowing for reserved parking and charging points at Hyderabad Metro Rail (HMR) stations and Telangana State Road Transport Corporation (TSRTC) bus depots across the state.
9. Developing nighttime community parking.

More Indian States Electric Vehicle Policies:

• UP EV Policy 2022-27
• Rajasthan EV Policy 2022

Conclusion:

The Telangana state government has executed a Telangana EV Policy 2020-30 to facilitate the use of electric vehicles (EVs) as a resolution to the raised pollution and mobility expenses caused by the fast development of urbanization. 

The policy seeks to create Telangana an international leader in the EV industry, which will also direct an expansion in the adoption of electric two-wheeler and electric car insurance.