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Filed under: EV/Plug-in, India

Electric cars may be subsidized in New Delhi, India


Photo of new Delhi by Wili Hybrid. Licensed under Creative Commons license 2.0.

Drivers interested in an electric cars in New Delhi will likely soon be able to get a government subsidy that will cost the government around Rs 25 crore (Rs 35 crore if two- and three-wheelers are added). Since early February of this year, a 25 paise tax has been added to each liter of diesel fuel and should generate around Rs 48 crore for the governemnt. Up to 2,000 EVs could be subsidized this year, the government estimates, but the exact subsidy per vehicle has not been decided. A 15 percent "significant" amount is possible. The Hindustan Times reports that the Council of Ministers is likely to pass this proposal at its next meeting. The overall intent is to clean the air in New Delhi. Other Indian cities already exempt BEVs from the road tax and some states exempt them from the VAT.
[Source: Hindustan Times]

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