Chhattisgarh government approves Electric Vehicle policy to encourage adoption of EVS

Jul 07, 2022

Raipur (Chhattisgarh) [India], July 7 : With an aim to make Chhattisgarh an EV manufacturing hub, provide employment opportunities and protect the environment, Chief Minister Bhupesh Baghel on Thursday approved Chhattisgarh Electric Vehicle (EV) Policy 2022.
Baghel gave the approval to the policy at a meeting of the state cabinet in Raipur to ensure a healthy environment for a sustainable future for citizens, reduce carbon footprint and minimize the causes of rising concerns of rapidly increasing toxic gas emissions from vehicles, etc. leading to a deteriorating Air Quality Index.
The government has set a target of five years and aims to have 15 per cent of new registrations of vehicles, either under individual use or commercial use as EVs till 2027.
The chief minister said that Chhattisgarh will become a manufacturing hub for electric vehicles and its accessories in the years to come. The policy will create unlimited employment opportunities for the youth of the state.
With the implementation of the EV policy in the state, buyers of electric vehicles as well as manufacturers and people doing research and development in this will also benefit. Electric vehicle manufacturers will also be given exemption under the electric vehicle policy. Charging stations will be built in government and private buildings. Establishment of charging infrastructure will be mandatory in the housing policy.
The policy ensures skill development training in the field of electric vehicle, encourage uptake of EV vehicles and provide EV charging infrastructure. The policy encourages new manufacturing in EV technology and also encourages existing automobile manufacturers to diversify in the EV manufacturing domain.
Electric vehicles, or EVs, are not only better for the environment, but are also more efficient than traditional gasoline-powered vehicles. Furthermore, rising petrol and other fuel prices have contributed to many customers' desire to switch to electric vehicles. EVs are not only cost-effective, but they also have tax advantages.
Chhattisgarh announced its own EV policy to jumpstart the adoption and manufacturing of EVs in the state.
The government aims for rapid adoption of Battery Electric Vehicles (BEVs) so that BEVs account for 15 per cent of all new vehicle registrations by 2027 and bring about a material improvement in the environment of Chhattisgarh by reducing emissions from the transport sector.
Skill Centers with provision for training related to jobs in the EV ecosystem will also be set up which will result in the creation of jobs. Further, the government has also planned to set up a recycling ecosystem for batteries.
To encourage people to buy electric vehicles, the state government has announced to reimburse 100 per cent SGST and the registration fees on the sale of electric buses and electric goods carriages sold and registered in the State during the policy period. The government has also announced to reimburse SGST for the manufacturing of EVs in the State during the policy period.
The state government will also establish high-level industrial plans that set clear targets supporting the state's EV vision. The government will also introduce an online portal for information regarding EVs, applying for EV-related incentives, information regarding charging infrastructure, etc.
Companies manufacturing EVs, components of EV and EV battery, and charging infrastructure will be incentivised with capital subsidy.
The state government will allocate 500-1000 acres of land for developing EV Parks with plug and play internal infrastructure, common facilities and necessary external infrastructure. This industrial park will attract manufacturers across the EV eco-system. An incubation center for handholding startups will also be planned in the EV Park.
The Chhattisgarh will create platforms and programs for industry participation and explore possibilities of entering into MoU with Lithium Cell Manufactures/ EV auto components to start EV components and assembly in the State.
It shall provide capital subsidy of 25% to the selected Energy Operators on the charging equipment/ machinery to the first 300 fast charging stations commissioned in the State up to a maximum of INR 10 Lakhs per station.
The state government will also provide 100 per cent SGST reimbursement to the Energy Operators for purchase of batteries to be used in switching / swapping stations. v. Provision of mobile charging vans to provide on-road assistance for EV users who run out of charge shall be explored so that they can reach the nearest charging station with minimum travel.
Road tax and registration fee waived, SGST reimbursement for manufacture of EV, electricity tariff for EV charging. Apart from this, incentives along with capital subsidy will be given to companies making electric vehicles and its components, EV batteries, charging infrastructure.
Under this policy, setting up of a wide network of charging stations and swappable battery stations, employment generation as well as skill centers for job training in the EV eco-system will be done. The participation of the local people of Chhattisgarh will be encouraged along with promoting the establishment of electric vehicle supply and charging infrastructure.