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Post at: Aug 18 2021


Recent Context :

  • On 13th July 2021, Maharashtra Environment Minister Aditya Thackeray announced Maharashtra Electric Vechile Policy 2021.

About this policy

  • Maharashtra government revealed its plans to attract EV (Electric Vehicle) manufacturing companies and allied businesses by offering incentives to industries and consumers.
  • However this EV policy was approved by cabinet on July 4, 2021.
  • This policy is a revision of the policy introduced back in 2018.

Aim of this policy 

  • Its aim is to make Maharashtra the topmost producer of battery - powered electric vehicles in India.
  • It has a target of having 10% of new vehicle registered to be electric by 2025.
  • The state government has rolled out a `930 crore policy that is vald till 31 March, 2025.
  • EVs will be exempted from road tax and registration charges.

Highlights of Maharashtra EV Policy 2021

  • The state will subsidise the first 100,000 electric two-wheeler buyers, who are eligible for an incentive of `5,000 per KWh of battery capacity (incentive limit `10,000; twice the previous cap of `5,000).
  • It is offering an early bird incentive of up to `15,000 (for an e two-wheeler with a 3kWh battery) for those who purchase the two wheeler before December 2021.
  • With road tax and registration waived, there is also a scrappage incentive of `7,000 on offer.
  • All incentives will be handed directly to the manufacturers of these vehicles to save buyers the hassle of coordinating with government offices to reveive their subsidy.
  • Manufacturers of e-two wheelers will also receive an additional incentive of up to `12,000 for providing a minimum five year warranty on the battery and an assured buyback scheme.
  • E-two-wheelers sold without battery will be eligible for only 50 percent of the full incentive. This policy states urban local bodies will be encouraged to provide property tax rebates to residential owners for setting up private charging infrastructure on their premises.
  • To promote EV adoption, the government has made it mandatory for all upcoming property projects to have dedicated, EV ready parking spaces to the tune of 20 precent in residential apartments, 25 percent in institutional and commercial complexes and 100 percent in government offices.

Gigfactory Planned, Push for Electrifying Public Transport

  • The state government will offer supply side incentives, that have not been disclosed yet.
  • It will work for the electrification of 25 percent of all public transport and last mile delivery solutions over the next four years in Greater Mumbai, Pune, Nagpur, Nashik and Aurangabad.
  • 15 percent of all MSRTC buses will be electrified by 2025.
  • The government had made a plan to offer incentives of up to `30,000 for e-three-wheelers.

Subsidy for Electric Cars and SUVs:

  • The base incentive for electric cars and SUVs as per the Maharashtra EV policy 2021 is the same as for e-two-wheelers - `5,000 per kWh of battery capacity.
  • For those who buy an electric car or SUV before 31 December, 2021, there is an additional incentive of up to `1 lakh which brings the total subsidy up to a substantial `2.5 lakh.
  • There is a scrappage incentive of `25,000 but there is no incentive for manufacturers providing assured buyback or battery warranty.

Charging Infrastructure Incentives and Guidelines

  • The state will develop a comprehensive charging network across the state and is targeting setting up around 2,500 charging stations in seven urban agglomerations in the next four years.
  • Those setting up the first 15,000 slow chargers will be eligible for an incentive of up to `10,000 per charger and those establishing the first 500 fast chargers will be eligible for a subsidy of up to `5 lakh per charger and `20 lakh for electric buses.

Conclusion :

  • In concluding remarks it can be said that Maharashtra Goverment has taken bold step to draw this policy amid rising carbon footprint and other enviromental impacts of fuel-based vehicles in order to address the issue of rising pollution, global warming ,depleting natural resources etc.

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