UP EV Policy: Buying EVs to get cheaper with UP EV Policy: Subsidies on vehicle, registration fee, road tax | – Times of India

The Uttar Pradesh cabinet has announced its new EV policy designed to encourage faster adoption of electric vehicles in the state. The Uttar Pradesh Electric Vehicle Manufacturing and Mobility Policy 2022, states that buyers of E2W, E3W, electric cars, buses and E-CVs will not only get registration fees and road tax exemptions but will also be offered subsidies on the ex-factory cost of these vehicles. Here’s everything you need to know about UP’s 2022 EV policy.

Buyers investing in EVs will get a 100 percent exemption from the registration fees and road tax. The subsidy is valid for three years and will be applicable for 50,000 EVs. After the three-year tenure, the exemptions would only apply to EVs manufactured in the state, in addition to being purchased and registered in UP as well. Additionally, the subsidy will be provided through dealers for just one year from the date of notification.
Benefits based on EV category:
Electric two-wheelers will carry a 15 percent discount on ex-factory costs, up to Rs 5,000. Up to 2 lakh, E2Ws will benefit from the subsidy with a total budget of Rs 100 crore.
The new EV policy benefits will also be extended to 50,000 E3Ws. Subsidy of 15 percent on ex-factory cost, up to Rs 12,000 with a budget outlay of Rs 60 crore.
In terms of electric cars and SUVs, the same 15 percent subsidy on ex-factory cost will be offered limited to Rs 1 lakh. The budget outlay for this category is Rs 250 crore.
Subsidy support for 4000 electric buses has been extended as well with a budget outlay of Rs 80 crore. The 15 percent ex-factory subsidy is capped at Rs 20 lakh.
Subsidy on ex-factory cost for electric CVs and goods carriers is lower, at 10 percent, up to Rs 1 lakh. Budget outlay for this segment is set at Rs 10 crore and 1,00 units.

Speaking on the EV policy, Mr Sohinder Gill. Director General, Society of Manufacturers of Electric Vehicles (SMEV) said, “The three-pronged focus is an amplifier for shaping positive consumer and manufacturer sentiment while overcoming the circumspect lines of investment in EV technology. The subsidies, exemptions, and establishment of dedicated facilities will galvanize UP into a pioneering stalwart of the EV discourse among other champion states. This comprehensive move will benefit not only the OEMs but also sub-industries such as battery manufacturing, components, logistics, and so on. This would also help circumvent the struggle to find and purchase quality components from hyperlocal sources, thus paving a seamless path for electric green mobility.”

With its new EV policy, UP has joined the ranks with other union territories and states encouraging faster adoption of electric vehicles across the country. As per India’s 2030 EV targets, the central government aims to achieve 30 percent penetration for electric PVs, 70 percent for CVs and 80 percent for E2W and E3W. The adoption-friendly policies will play a major role in achieving these targets.