Telangana announces 100% exemption from road tax and registration fee on EV purchases

Five out of 100 vehicles in the State are electric now, says Minister for Transport Ponnam Prabhakar.
| Photo Credit: File photo

To promote electric-vehicle adoptionthe government has decided to provide a 100% exemption from road tax and registration fee on purchase of electric vehicles.

The exemption will apply to electric two-wheelers, four-wheelers, commercial passenger vehicles such as taxis, three-seater autorickshaws and electric light goods carriers (including three-wheeled goods carrier vehicles), tractors and buses. There will be a total exemption from road tax and registration fee for the entire life of the electric vehicles operated by the Telangana State Road Transport Corporation as well as the buses owned by any industry to transport its employees exclusively (not used for commercial purposes). The exemption would be valid for two years up to December 31, 2026 initially, irrespective of the number of vehicles registered.

Minister for Transport and BC Welfare Ponnam Prabhakar, accompanied by Special Chief Secretary (Transport) Vikas Raj, announced the decision here on Sunday. Mr. Prabhakar said the step was taken to revamp the department and spread awareness among the public on the use of electric vehicles. This is aimed at bringing down pollution levels and making Hyderabad pollution-free.

Lessons from Delhi

The EV policy has accordingly been put in place to ensure that the State Capital does not meet the same fate as New Delhi. Though an EV policy for 2020-30 had been introduced by the previous government, it was not implemented in letter and spirit.

The Minister said the new policy envisaged spreading awareness among the people on the use of electric vehicles, which, he said, would go a long way in bringing down pollution levels. He said he, along with Mr. Vikas Raj and Transport Commissioner Surendra Mohan, toured four States to study the policies being implemented there. Subsequently, the government came up with the best policy suiting the State’s requirements.

Replying to queries, he said the firms manufacturing electric vehicles should take the initiative of establishing charging stations so that vehicle users do not face any inconvenience in this regard. It was decided to convene a meeting of the departments concerned, including Transport, Home, HMDA and others, in 10 days to ensure effective coordination among them.

Mr. Prabhakar pointed out that thus far, 1.7 lakh EVs have been registered. Giving context to these numbers, he said that five out of 100 vehicles in the State are EVs.