The EV Club. Telengana becomes 4th State to unveil its EV Policy

Driving in an EV policy right after Karnataka, Maharashtra and Andhra Pradesh is Telangana, becoming the fourth state to announce a policy for greener mobility. Perhaps it is no surprise that the four states are among the most developed in the country too.

The catalyst to bring the electric revolution to India was set in motion last year when the government’s primary think-tank the NITI Aayog released an under work policy which suggested that electric mobility was the future, and those who join in would be benefitted greatly. Whether in terms of cash benefits, concessions on custom duties or market policies and infrastructure investment. But, with no committed involvement of the central government in the matter, individual states have carried on with independent policies that encourage and promote greener mobility. Telengana’s initiatives simply build on that trend.

The newly minted state is set to release a wide range of incentives and benefits in a bid to push forward the relatively inchoate EV infrastructure. Some of the expected policy benefits are listed below based on different categories,

1. EV in shared mobility

a) Battery operated shuttle services at all Hyderabad Metro Stations for last mile connectivity.
b) A time bound mandate for all auto rickshaws within Greater Hyderabad Municipal Corporation (GHMC) to switch to EV, followed by other cities
c) Encourage cab operators/ aggregators to switch to full EV fleet in phased manner.

2. EV in Public/Institutional Transport

a) Telangana State Transport corporation to set a target of 100% electric buses by 2030 for intra-city, intercity and interstate transport (key milestones – 25% by 2022, 50% by 2025 and 100% by 2030)
b) Airport flight shuttles and PUSHPAK buses to be transitioned to EV on priority.
c) Government vehicles (owned and contractual) to switch to all electric by 2025, in phased manner.
d) Contract carriage permits for private operators with EV fleet operations.
e) Tourist places (national parks, ecological sites) in the state to switch to all EVs by 2025 for transportation in and around their premises.

3. EV in Corporate Transport, Hospitals and Educational Institutes

a) Corporate offices with annual turnover of Rs 100+ Crore operating within GHMC limits to compulsorily migrate 25% of their employee commuting fleet to EVs by 2022 and 100% by 2030. The same rule will be extended to corporate entities operating in other cities in the state.
b) Allow use of CSR funds for electrification of employee commuting fleets.
c) Encourage educational institutions & hospitals for a 25% switch by 2022(100% by 2030) of their Buses/ Derivatives/Passenger vehicles fleet to Electric Vehicles.

4. EV in Freight Transport, Logistics & Delivery Services and other applications,

a) Encourage all freight and logistics firms to use Electric Vehicles in a phased manner.
b) Intra-city goods delivery services (sub 2T category) to switch to EVs only by 2030 in a phased manner.
c) Encourage all app based and e-commerce delivery services to migrate 25% of their vehicles fleet to EVs by 2022 and 100% by 2030.
d) Use of Battery operated Application vehicles will be encouraged in government departments such as Municipal Corporations, Postal Services etc. across Telangana State.

5. EV for personal mobility

a) Exemption of registration charges on personal vehicles purchased till 2025.
b) Interest free loans up to 50% of the cost to all state government employees for purchase of EVs.
c) Only Electric vehicles will be allowed in high traffic density areas, Heritage zones, IT SEZs and similar EV Zones in Hyderabad by 2025. Same will be applied to other cities in Telangana State.
d) Free Parking in public parking places and Toll exemption on State Highways for EVs till 2025.

Big, ambitious and hairy goals indeed.
These are the set of policy reforms and benefits that the state has planned to impose with effect immediately. Let’s wish top speed on these for the state government. Read our report on the new FAME policy changes, and how it is different from the state policies.

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