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EVs Get 100% Exemption

Bhubaneswar: As per the provision made under the Odisha Electric Vehicle Policy, 2021, the State Government has issued official notification for 100 per cent exemption on Motor Vehicle taxes and registration fees for Electric Vehicles (EVs).

Government of Odisha in Department of Commerce and Transport has issued the notification on Saturday.  

“The State Government in exercise of the powers conferred by clause (ii) of sub-section (1) of section 15 of the Odisha Motor Vehicles Taxation Act, 1975, do hereby allow 100% exemption of Motor Vehicles taxes and also registration fees in respect of all types of Battery Operated Vehicles (Electric Vehicles) during the policy period, i.e. up to December 31, 2025,” read the notification.

The Ministry of Road Transport & Highways, in August 2021 had published an Gazette notification on the amended the Central Motor Vehicle Rules, 1989 whereby for the battery operated vehicles have been exempted from payment of such fees.  

On the advice of NITI Aayog, Government of Odisha has notified the Electric Vehicle Policy, 2021 on September 2, 2021 in order to encourage faster adoption of electric vehicles in the State.

Under the policy guideline, the State Government has proposed to extend financial incentives for manufacturing industries, buyers, scrapping along with interest subvention in loans, waiving of road tax & registration fees during the policy period (five years). It has also decided to give incentives under the Startup Policy.

As per the policy, the State will provide 15 per cent subsidy — a maximum of Rs 5,000 for two wheelers, Rs 10,000 for three-wheelers, and Rs 50,000 for four-wheelers — on the base price, officials said.

The State Government employees can avail 100 per cent interest-free loans for purchasing EVs in the State. A subsidy of 10 per cent (maximum limit of Rs 4 lakh per vehicle) will be provided to the buyers for passenger buses registered in the State.