Indian government incentivises companies to produce environmentally friendly vehicles

The total number of electric two-wheelers registered in India stands at 28,55,015 and four-wheelers at 2,57,169 as on 4 December.

Electric vehicle consumers are supported through various government programmes promoting the adoption and production of electric and hybrid vehicles in India. The FAME India programme, envisaged for five years from April 1, 2019, has a total budget of US$1.39 billion, which aims to support electric two-wheelers and three-wheelers, electric buses and charging stations for electric vehicles.

The finance ministry has reduced the Goods and Services Tax (GST) on electric vehicles from 12 per cent to 5 per cent. The Ministry of Road Transport and Highways (MoRTH) announced issuance of green number plates for battery vehicles and exemption from permits. This is reported by IANS, a partner of TV BRICS.

It has also issued a notification to state governments to waive road tax on electric vehicles, which will help reduce their initial cost.