Bhubaneswar: In a bid to promote electric vehicles (EVs) in the state, the Cabinet, headed by Chief Minister Naveen Patnaik, Friday approved the Electric Vehicle Policy, 2021.
Briefing media about the decision taken by the Cabinet, Chief Secretary Suresh Chandra Mahapatra said the policy has been formulated with an objective to achieve adoption of 20 per cent battery-operated EVs in all vehicle registrations by 2025 and promote the manufacture of EVs and their components including batteries in the state. The policy will also promote innovation and facilitate R&D in areas relating to EVs and batteries, he said. In order to reduce the rapidly increasing global temperature, Mahapatra said, it is now necessary to reduce emissions caused by vehicles running on traditional fossil fuels.
The state government has decided to extend financial incentives for manufacturing industries, buyers, scrapping along with interest subvention in loans, waiving of road tax and registration fees during the policy period (five years).
Under the policy, the government has given a 100 per cent exemption of road tax and registration fees on EVs purchased within Odisha. The government will provide a 15 per cent subsidy — a maximum of `5,000 for two-wheelers, Rs 12,000 for three-wheelers, and `1 lakh for four-wheelers — on the base price, sources said.