Updated: Jun 3
As India’s mobility map goes green, and more EVs are added to the Indian rods every day, there are some states which are winning this game.
While the EV adoption has picked up pace in 2022, there still lies a lot of work that needs to be done. The high costs associated with buying an EV and a stigma in consumers’ minds about inadequate infrastructure and range anxiety is something that’s proving to be a hurdle for the policymakers, carmakers and the customers alike.
However, there have been prominent developments in the space, when you look back at the preceding years. As per a report by the Federation of Automobile Dealers Association (FADA), the EV adoption in India has picked up the pace with the sales seeing a 155% year on year increase to 4,29,217 units in FY22.
Let us try and understand what makes a few states ready to adopt EVs, while others are lagging behind.
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What are Our Criteria For Top EV-Friendly States?
In order to determine the top 5 EV-friendly states in India, we’ve taken into consideration, three primary criteria that might influence the consumer sentiment toward EVs in these states in India.
Government initiatives & policies
Number of EV charging stations
These three, when put together can turn out to be the major influencers in EV adoption across states in India in 2022.
Top 5 EV-Friendly States in India
Here are the top 5 states which are looking into the EV transition in India proactively.
The national capital of India has made some notable achievements when it comes to EV adoption in the city. Delhi saw one of the highest numbers for the number of EVs sold in a state in India, standing at around 33,650 (2021-February 2022).
Delhi was amongst the very few states and union territories to announce a comprehensive EV policy for its citizens.
It is also the state with the most EVs per square kilometre. So, that makes it the state with the highest density of Electric Vehicles. The city-state also has a policy that waives the registration fees and road tax on all EVs.
The government of Delhi offers a ₹10,000 per kWh of battery capacity capped at ₹1.5 lakhs for four-wheelers and ₹20,000 for two-wheelers.
Moreover, as of May 2022, there were 597 charging stations in Delhi.
Karnataka recently crossed the 100,000 registered EV mark, which makes it the state with the third-largest number of registered EVs in the country.
While there have been a lot of EV enthusiasts in the state and a ₹31,000 cr investment in the manufacturing of EVs. There also exists a venture capital fund set up in the state to expedite the EV fandom.
The state government has a policy of providing a 100% exemption on road tax and registration.
However, one caveat is that many of the customers have often suggested to the government additional incentives and policy changes in providing subsidies.
3. Uttar Pradesh
Uttar Pradesh is one interesting state in terms of EV sales. According to data, the state has the most number of EV sales in the country. The number stands at 2,55,700 EVs. This can be due to the fact, that the state deploys a large number of electric rickshaws too.
The state government further has a goal of rolling out a total of 1 million EVs on the road across all segments by 2024. This goal further includes deploying 1,000 electric buses in the state by 2030.
Moreover, 200,000 charging stations and a goal to transform up to 70% of public transport into electric vehicles by 2030.
The EV policy presented by the state of Maharashtra is one which is said to have a more balanced approach toward manufacturers as well as the end-users.
The state of Maharashtra offers a ₹5,000 per kWh of battery capacity, making it one of the most substantial subsidies. Furthermore, the state also offers an incentive to the manufacturing company if they provide a five-year battery warranty to their customers.
Adding to the state government’s efforts, the BMC (municipal corporation of Mumbai) has further recently announced to add and reserve 20% of all parking spaces in residential and commercial establishments for electric vehicles.
Gujarat again is a state that offers substantial subsidies on EVs within the state. The subsidy in the state has been locked at ₹10,000 per kWh, which is once again pretty substantial.
The maximum subsidy for four-wheelers is capped at ₹1.5 lakhs, ₹20,000 for two-wheeler EVs and ₹50,000 for three-wheeler EVs.
Adding to this is the exemption of the road tax on all the electric vehicles in the state.
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EV-Friendly States, Make an EV-Friendly Country
In a country such as large as ours, it is integral that the change comes at all levels.
Apart from the states mentioned above, there are some notable mentions in this list. The latest state to adopt an EV policy is Tripura, which became the 15th state to do so.
Moreover, states like Telangana, Bihar, Meghalaya and Rajasthan have been quite proactive in EV adoption. Hence, seeing states rigorously working towards faster adoption of EVs in India is certainly good news for the EV industry as well as the environment.
What’s further to look forward to is the fact, that while these policies are announced, their implementation is done in a robust and action-driven manner.
Who wouldn’t want to see some clean, green, zipping machines on the roads now?