GUWAHATI: The Assam Government has announced the Electric Vehicle (EV) Policy of Assam, 2021, which was approved recently. Under the policy, the State aims to introduce at least 2,00,000 EVs within the next five years through a set of incentives for buyers.
In order to encourage people to buy EVs, the State government will provide a subsidy of Rs 20,000 on two-wheelers, Rs 50,000 on three-wheelers, and Rs 1.5 lakh on four-wheelers. There will be a 100% exemption on registration charges, road tax, and parking fees for EVs. In addition, there will also be a 90% exemption of electricity duty on EV charging stations for the first five years.
The State's mission is to completely phase out fossil fuel-based vehicles by 2030. In addition, they are aiming to convert 100% of public buses and all government vehicles into electric buses by 2030.
As the first step towards implementing the policy, the State Cabinet has approved the procurement of 200 electric buses and 100 CNG-operated (compressed natural gas) buses for Guwahati by April 1, 2022.
Additionally, incentives under the North East Industrial Development Scheme of 2017, and the Industrial and Investment Policy of Assam, 2019, will also be available for the units manufacturing EV or their components. The incentives include - capital subsidy, power subsidy, interest subsidy, income tax exemption, GST and SGST reimbursement, employment cost subsidy, and stamp duty reimbursement, etc.
Principal Secretary of Industries and Commerce KK Dwivedi told national media houses that it is a bold decision taken up by the Central Government, with an eye to improve the air quality by reducing emissions from vehicles.
"As per Centre’s policy, all vehicles older than 15 years found unfit would have to be scrapped by 2030. In order to implement that, we have signed agreements with two firms, one from Kolkata and another from Guwahati,” Dwivedi said.
"This is just the beginning. We will be constantly monitoring and making course corrections in the policy as and when required. We are open to suggestions on improving it further.” the official added.
India started the EV push in 2013 under the National Electric Mobility Mission Plan (NEMMP). According to a Federation of Automobile Dealers Associations of India (FADA) study in 2020, out of over 26,500 automobile outlets in India, barely 500 sell EVs.
However, problems like the lack of charging infrastructure and diversity in EV models and production constraints due to the battery pack being imported to India still persist. While most expensive passenger EVs can travel 250-400 km or more before needing a charge, consumers wanting mainstream models remain anxious about whether their EV will run out of charge in the middle of their commute. Regular check-ups of electrical systems including the battery, electrical motor, and minor electronic systems are also necessary for EVs.
Charging stations are the backbone of the EV infrastructure but we do not have a sufficient number of them in India. Currently, New Delhi has approximately 71 charging stations. Moreover, most of these stations are equipped with a single charging unit, so finding it free would be a matter of luck.
