Telangana Pushes for EV Adoption with New Policy

Shivam Published On November 21st, 2024

In an effort to promote environmental sustainability, energy efficiency, and reduce air pollution, the Telangana government unveiled its new Electric Vehicles (EV) Policy on November 17, 2024. Released by state transport minister Ponnam Prabhakar, the policy aims to curb pollution in Hyderabad and surrounding areas, ensuring the city avoids severe air quality issues similar to those faced by New Delhi. The policy includes several incentives and measures to encourage EV adoption across the state.

Key Features of Telangana’s EV Policy

Tax and Fee Exemptions

100% Road Tax and Registration Fee Exemptions:
Applicable to all EVs for two years, till December 31, 2026.
Includes two-wheelers, four-wheelers, taxis, tourist cabs, three-seater auto-rickshaws, electric tractors, and buses.

Savings

Two-wheelers: Up to ₹15,000 saved.
Four-wheelers: Up to ₹3 lakh saved.
No Limit on Tax Exemptions: Earlier restrictions on the number of EVs eligible for exemptions have been removed.

Support for EV Adoption

Charging Infrastructure Development

Collaboration with EV manufacturers to establish more charging stations.
Focus on cities, towns, and highways (state and national).

Vehicle Scrappage Policy

Introduction of a policy to phase out vehicles older than 15 years.

Public Transport Electrification

Replacement of nearly 3,000 state road transport buses in the Greater Hyderabad Municipal Corporation area with electric buses, in phases.

Promotion of EVs

Encouraging Individual Buyers

The public is urged to purchase EVs for personal and commercial use to reduce pollution.

Corporate Incentives

Electric buses operated by companies for employee transport are tax-exempt.

Why This Policy?

Air Quality Concerns

Hyderabad’s air quality index (AQI) was at 123 (moderate) on November 18, significantly better than New Delhi’s severe AQI of 494.

Greener State Initiative

Aimed at making Telangana a model state for cleaner air and environmental sustainability.

Pollution Control in Hyderabad

Reducing vehicular emissions, which are a major contributor to pollution in urban areas.

Summary/Static	Details
Why in the news?	Telangana new EV Policy
Objective	Reduce air pollution, promote environmental sustainability, and encourage EV adoption.
Duration	Effective till December 31, 2026.
Tax and Fee Exemptions	– 100% exemption from road tax and registration fees for all EVs. – Includes two-wheelers, four-wheelers, taxis, tourist cabs, auto-rickshaws, electric tractors, and buses. – Savings: ₹15,000 for two-wheelers and up to ₹3 lakh for four-wheelers. – No cap on the number of vehicles eligible for exemptions.
Public Transport Measures	– 3,000 buses in Hyderabad to be replaced with electric buses in phases.
Charging Infrastructure	– Collaboration with EV manufacturers to install more charging stations in cities, towns, and highways.
Vehicle Scrappage Policy	Plan to phase out vehicles older than 15 years.
Focus on Air Quality	Addressing pollution in Hyderabad and surrounding areas; current AQI is 123 (moderate).
Government’s Appeal	Encouraging people to purchase EVs to save the environment and reduce pollution.
Corporate Incentives	Tax exemptions for electric buses used by companies for employee transport.
Long-term Vision	Make Telangana a greener state with cleaner air and sustainable mobility solutions.