Bihar govt to provide up to Rs 1.25 lakh, 75% tax relief to promote EVs

The first 1,000 electric cars purchased for personal use will get the benefit of a Rs 1.25 lakh incentive. There is a similar scheme for the first 10,000 two-wheelers

The Bihar government will provide up to Rs 1.25 lakh on the purchase of the first 1,000 electric four-wheelers for personal use. Alongside, the government will also provide up to 75 per cent relief on the payment of Motor Vehicle Tax. To this end, the Bihar government on Tuesday, December 5 approved the Bihar Electric Vehicle (EV) Policy-2023 to achieve 15 per cent EVs in all vehicle registrations in the state by 2028, a PTI report said, citing a senior government official. The decision was taken in the state cabinet meeting chaired by Chief Minister Nitish Kumar.

The additional Chief Secretary of the Bihar government, S Siddharth spoke with the members of the press and said, "The main objective of the scheme is to encourage faster adoption of electric and hybrid vehicles by the people by offering incentives on the purchase of electric vehicles and also by establishing a necessary charging infrastructure. The scheme will help address the issue of environmental pollution and fuel security".

 

"The Bihar Electric Vehicle Policy-2023, which is designed to steer the state towards a sustainable transport paradigm, outlines ambitious goals for the next five years culminating in 2028".

"There are similar benefits for the first 10,000 personal two-wheeler EVs with subsidies on motor vehicles tax of up to 75 per cent and purchase incentives up to Rs 10,000," he said.

The policy seeks to enhance environmental quality by mitigating air pollution while fostering startups and investments in the electric mobility sector and its associated support industries, Siddharth was cited as saying in the PTI report.

Further, the policy also talks about the provisions for incentives for scrapping EVs and their components, Siddharth said.

The state cabinet also approved a proposal of the transport department to acquire 400 electric buses under the "PM-e Bus Sewa" program for six districts in Bihar.

"These buses, slated to operate in Patna, Muzaffarpur, Gaya, Bhagalpur, Darbhanga and Purnea aim to diminish reliance on conventional petrol and diesel-powered public transport," he said.

(With agency inputs)