Telangana EV Policy 2020: The Telangana State Cabinet on Wednesday approved the new Electric Vehicle and Energy Storage Solution Policy to promote the usage of EVs and woo investors in the green mobility sector by giving incentives. Under New Telangana EV Policy 2020, 100 percent exemption from road tax and registration fee will be provided to the first two lakh two-wheelers and 5,000 private cars purchased. 20,000 three-wheelers, 5,000 commercial passenger vehicles (taxi, tourist cabs, etc), 10,000 electric light goods carriers, and 500 e-buses purchase will also get the same exemption.
Aimed at making Telangana a preferred manufacturing destination, the State government will also provide preferential market access to the companies which establish their manufacturing plants in the State. In line with Electronics Policy 2016, 20 percent capital investment subsidy, 100 percent SGST reimbursement up to Rs 25 crore for seven years, power tariff discount of 25 percent, the interest subvention of 5.25 percent for five years, electricity duty exemption, transportation subsidy and other expenditures like stamp duty, transfer duty, registration fee, lease rental assistance will be given.
E-Bus major Electra Greentech-BYD and electric three-wheeler manufacturer Gayam Motor Works already have their manufacturing bases in the state. While several other companies like Mytrah, battery manufacturer Exicom have expressed interest to establish their units. The proposed investment worth Rs 4,600 crore will result in the creation of nearly 4,200 jobs.
The Telangana government is also establishing an energy park at Divitapally and plans to set up another EV Park, besides using the existing electronic manufacturing clusters at Raviryal and Maheshwaram for facilitating the establishment of the new EV plants.
Around Rs, 1,425 crores will be spent towards incentives and making 775 acres land available for EV manufacturers. The Telangana State government is expecting an investment of Rs 30,000 crore in the next few years, apart from providing 1.2 lakh direct and 2.5 lakh indirect employment opportunities.