Chhattisgarh has become the latest Indian State to have unveiled a policy aimed at electric vehicles. The recently approved Chhattisgarh EV policy focuses on EV manufacturing, creating employment and addressing environment degradation.
At a cabinet meeting held yesterday, Chief Minister Bhupesh Baghel gave his approval to the policy that aims at EVs accounting for over 15% of overall vehicle registrations by 2027.
EV manufacturers and ancillaries involved in manufacturing EVs, components used in EVs, EV batteries and battery charging infrastructure will be given exemptions (yet to be announced) under the policy. Further, housing policy of the state will be mandating establishment of EV chargers in housing and commercial buildings.
The policy further provisions for the entire amount of State Goods and Services Tax (SGST) and registration fees to be reimbursed on sales of electric buses and electric goods carriages in the State. The government of Chhattisgarh is working on launching an online portal that will contain all the information about EVs, it said.
The policy also envisions developing an EV park, for which around 500 to 1,000 acres of land will be allocated. Once developed, the EV park will also have a start-up incubation centre.
A capital subsidy of 25% (maximum INR 10 lakh) will be provided to select energy operators, who will be involved in setting up the first 300 fast-charging stations in the State. Similarly, the State government has also made provisions for 100% SGST reimbursement to energy operators for purchasing batteries, which will be used in battery swap stations.
Commenting on the development, Suman Mishra, CEO, Mahindra Electric Mobility said the State's EV policy reflects a fine balance between the production and charging infrastructure.
'The government’s target of 15% EV registrations within next five years is amply supported by the SGST manufacturing exemptions to the manufacturers, and incentives to energy operators. The policy, while being conducive to local EV production, does not provide buyers with any demand incentives and this might hamper the faster adoption of electric vehicles in the State.”
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