Union Minister of State for Electricity and Heavy Industries Krishan Pal Gurjar said the government has taken several measures to encourage the use of electric vehicles.
NEW DELHI: About 8,77,000 electric vehicles were on Indian roads as of December 8, Minister of State for Energy and Heavy Industries Krishan Pal Gurjar told Lok Sabha in a written response on Tuesday. He added that incentives were provided to buyers in the form of initial price cuts to promote electric vehicles.
Gurjar referred to two production-related incentive programs to encourage the use of electric cars. They include approving the establishment of advanced chemistry cellular battery manufacturing facilities, battery storage in India with a manufacturing capacity of 50 gigawatt hours and expenditure of ??18,100 crores for five years. Gurjar said that there is another program for automotive and automotive components with a budget expenditure of ??25,938 crores over the five-year period.
Uttar Pradesh, Delhi and Karnataka have become the top three states in terms of electric vehicle registrations.
To boost sales of electric vehicles, the Center introduced the Faster Adoption and Manufacturing of Electric Vehicles program in 2015. In April 2019, it introduced Phase II of the program for five years with total budget support of ??10,000 crores. The government also reduced the GST on electric vehicles from 12% to 5%. It also reduced the GST on charging infrastructure to promote the development of charging stations.