The state of Tamil Nadu envisions to become an EV hub of India. Going forward with the vision, the state government announced its plans to boost the EV sector and in the process, is hoping to attract cumulative investments of Rs 50,000 crore. The state, also known as the Detroit of India is a major automotive manufacturing hub and offers huge employment scope in the sector. With this investment, the state defined its objectives which can be stated as:
- Creating robust infrastructure for Electric vehicles with a proper network of charging points and adequate power supply
- Creating new employment opportunities of over 1.50 lakh
- Provide required infrastructure and environment which will boost innovation in EV and shared mobility
- Recycle and reuse the used batteries and dispose of rejected batteries in a controlled manner to avoid pollution
The state also issued tax exemptions, waivers and fiscal concession schemes as a plan to provide incentives in order to promote the growth of electric vehicles in the span of the next 10 years. These schemes include 100% road tax exemption on two-wheelers and private cars, till December 30, 2022, and waiver on registration fees. Tamil Nadu government aims to convert all rickshaws to electric rickshaws and the government plans to achieve this by issuing a waiver on permit fees and 100 per cent road tax exemption for all-electric rickshaws till December 30, 2022, and the same scheme applies for taxi/tourist cars (including all app-based taxi services) and LCVs. The government also mentioned that it will convert at least 5% of public transport buses by electric buses every year and will also focus on setting up charging stations along the route and at bus terminals.
In addition to the schemes mentioned above, the government will work with public sector units to develop charging stations with the aim to develop one charging station every 25km interval on both sides of highways. The government will introduce subsidy schemes with a provision to set up public charging stations at malls, cinema halls, hospitals, government offices, parking lots, etc.
Mr Mahesh Babu, CEO, Mahindra Electric appreciated the move and said “We welcome the draft policy by Tamil Nadu, which is both progressive and comprehensive in nature. It outlines clear adoption of strategies for last-mile connectivity through three-wheelers and shared mobility by four-wheelers. We appreciate the demand-side incentives provided by the government like road tax exemption, zero permit fees, registration charges waiver for three-wheelers. We are looking forward to the implementation of this draft policy soon. Mahindra is ready with products like the Treo for helping the state to achieve its EV adoption goal.”